Understanding The Appraisal Process

Once an appraisal has been ordered, whether it’s from a lender, appraisal management company, private homeowner or realtor, the work begins!

what does an appraiser do  

Depending on the size of the home, the time it takes to appraise a home or property can range anywhere from 1 to 4+ hours at the home, and additional time at the office completing the appraisal report. But the work starts before an appraiser ever steps foot inside the residence.

 

Before An Appraiser Visits The Property

To provide the most accurate opinion of the market value of a property, an appraiser needs to do more than look at a property and take pictures. Here is what is involved prior to arriving at the property.

1. Scheduling

When scheduling the appraisal:

  • The appraiser will find a day and time that works for all parties involved, whether the buyer, seller or investor. However, no one beyond the appraiser is required to be present.

  • It’s important that the homeowner or realtor communicate to the appraiser what updates have been done to the property in recent years. Additionally, it's beneficial to have a few documents ready for the appraiser - see the list.

2. Research

Researching a property begins with the county records and the MLS to pull the plat map, tax records and any recent MLS records. While incorporating this information for the appraisal report, an appraiser is looking for:

  • Legal owner
  • APN #
  • Neighborhood information and boundaries
  • Number of bedrooms and bathrooms
  • Square footage
  • Is it a single family, attached,or condo?
  • Is it one or two stories?
  • Does it have a basement?
  • Lot size
  • Year built
  • Does it have a pool?
  • Number of garage spaces
  • Is there a guest house or other buildings on the property?

3. Research Reports

With the information uncovered by researching a property, and appraiser can now run Research Reports (market data I.e. are values increasing or decreasing, what are the potential comparable sales/listings).

    Criteria

    Depending on the property the typical initial search for comparables would include:

    • Year built = 10 years older and 10 years newer
    • Square Footage = 20% smaller and 20% larger
    • Number of exterior or interior stories
    • If the property is a manufactured home or on a large parcel, a lot square footage parameter will be included

    Choosing Comparables

    Comparables, or comps as they are sometimes called, are a list of recent home sales that are nearby and similar, or comparable, to the home that is the subject of an appraisal.

    However, in situations where the subject is unique it is sometimes necessary to exceed the typical guidelines and may include sales from several miles away or sold well over 6 months prior to the effective date of the appraisal.

 

At The Property

Upon arriving at a property, the appraiser will let the occupant know they are there. The first step is to look at the exterior - the appraiser measures the exterior of the home, taking pictures of each side of the home, street, and any amenities such as a pool, shed, built-in BBQ, as well as any recent updates or deferred maintenance.

Once the exterior is measured and pictures taken, the appraiser will inspect the interior of the home for quality and condition, noting any required repairs needed and/or completed. They will also take a picture of each room as well as confirm measurements.

Viewing Comparables

After the property inspection, the appraiser will then drive to each of the identified possible comparables and take a picture of each one.

 

Back In The Office

Once the appraiser returns to the office, photos and sketches are uploaded and the appraiser can begin to analyze all of the data and research gathered so far. They will make adjustments for date of sale, amenities, quality, condition, gross living area, etc. This can take from 2-10+ hours depending on the complexity of the property. Sometimes this means finding other, more suitable comparables if the initial research needs expanding.

The appraiser will then reconcile all this data to determine the value of the property and submit the appraisal report to the client.

 

About Master Appraisal Services

Master Appraisal Services performs appraisals for many different reasons, most commonly for a loan from a bank. This is when an Appraisal Management Company (AMC) will order the appraisal, making the AMC and lender the client.

Attorneys will request a property appraisal for portfolio asset valuations, divorce, trusts, and date of death appraisals. Homeowners will request a property appraisal for divorce, date of death and prelisting purposes. Realtors will refer their clients to us for date of death and prelisting appraisals.

Master Appraisal Services has experience appraising raw land, manufactured homes, condos, multi-family properties, golf course and waterfront properties, new construction, and regular everyday neighborhood homes. We have over 30 years experience appraising properties from $1 to multi-million dollar properties.

Regardless of the reason a client needs an appraisal, you can expect a high-quality appraisal with an appraiser that does their due diligence, abiding by all required laws and expectations of the client to the very best of our ability. This is why Master Appraisal Services is TOP in the field with lenders, AMC’s, homeowners, attorneys, and realtors.

 

Need An Appraisal In Phoenix AZ?

Beyond the obvious cases of buying and selling, appraisals can impact refinancing, tax disputes, estate settlements, and much more. Securing a professional appraisal provides not just peace of mind but a strategic advantage in managing one of your most significant assets.

No matter what you need - single family home, age restricted community. condo, golf property, exclusive estate or mobile home - there's nothing we can't handle in the Phoenix area including Scottsdale, Chandler, Gilbert, Mesa, San Tan Valley and surrounding areas.

Give us a call to schedule your appraisal.

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