Even if you’ve gone through the process of purchasing real estate several times, you may still ask yourself, “how do home appraisals work?” Briefly, a home appraisal is an expert’s evaluation of how much a property and its structures are worth. To further explain the concept, it’s helpful to understand some of the reasons behind obtaining this type of assessment.
Affect on Mortgage & Lending
Probably the most common reason for having a home appraised is because it impacts the amount a lender is willing to loan to purchase a property. A buyer might have the best credit in the world, and have come to agreement with the seller on a price. Even so, the bank will not automatically loan funds without knowing the value of its collateral. If the home (more…)Read More »