When and Why do I Need to Get a Real Estate Appraisal?
A Professional real estate appraisal is needed, when it is necessary to know the true market value of your home, your commercial building or vacant land. Although, mortgage lenders most often arrange for a professional appraisal, property owners, buyers and sellers or their attorneys may need to hire an appraiser for the following situations:
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Asset Distribution
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Arbitration Cases
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Couseling & Consultation
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Determining a fair sale price
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Divorce - Division of Interests
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Estate Evaluation
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Eminent Domain
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Employee Relocation
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Expert Witness Testimony
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Gift Evaluation
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Income Producing Property Evaluation
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Insurance (Cost Purposes)
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Market Analysis
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Market Rent & Trend Studies
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Partnership Dissolution
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PMI Removal (Private Mortgage Insurance)
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Property Disputes - views, easements, etc.
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Tax Assessment Review
What Comprises a Good Real Estate Appraisal?
The most visible part of the appraiser's work, the property inspection, is only the tip of the iceberg of what is involved. Pre-inspection the appraiser must:
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Research public records data
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Obtain a plot map
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Check the zoning
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Scrutinize flood hazard data
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Research the sales and listings of similar properties in the immediate area
The data sources may include information from the Multiple Listing Services, Transamerican inellitech (Metroscan), First American Real Estate Solutions, and the California Marketing Data Cooperative. During the inspection the appraiser identifies and evaluates structural details, makes drawings of the property and other improvements, and notes the quality of construction as well as the current condition. in addition, interior and exterior photographs are taken.
It is the job of the professional appraiser to determine these values by gathering, analyzing and applying information pertinent to the property.