When buying and selling a property, whether it be a piece of farm land, a home, or a commercial property, an appraisal is necessary. Appraisals are important to both the buyer and the seller of any piece of property.
As a buyer, an appraisal can help you understand what is included in your property and whether the seller’s asking price is accurate, too low, or even too high. Banks and other financial institutions often require an appraisal prior to approving a loan for the purchase of property, to help them decide whether the property’s value corresponds to the loan amount.
Appraisals are a must for the seller as well. Having as much knowledge about your property as possible is helpful when deciding on the asking price for your home, farm, property, or commercial building. Having an accurate appraisal can also assist you when a buyer starts the negotiation process. You will be able to determine what bargaining range is comfortable for you. No seller wants to ask too low for a piece of property and find out later that it was worth a much higher value. Also, placing too much value on your property can result in fewer prospective buyers, and can lead to problems in the loan approval process.
If you have any questions about the appraisal process as a seller or a buyer, please contact us today, and we will gladly answer them.