Do You Need Private Mortgage Insurance?

Do You Need Private Mortgage Insurance?

What Takes Place During A Home Appraisal When Selling Your Home?

by Luke Fields

So, you're selling your house. That's exciting, but it will likely require some steps before you transfer the title from your name to the buyer's name. One such step is a home appraisal. If you haven't gone through an appraisal for some time, you might have questions about how it's done.

If you have questions about the real estate appraisal process, you're in the right place. Here is a breakdown of the steps that occur during a home appraisal.

The buyer hires an appraiser

The buyer is responsible for hiring the appraiser for the transaction. The buyer must use a certified appraiser, and their lender can give them names of potential appraisers to hire. The buyer also pays for this service, but you must work with them to ensure that the appraiser can get into your home.

The appraiser schedules the service with you

As a result, the appraiser contacts you to schedule the services. Of course, you can't close on the home sale until every step is complete, so you should be flexible when scheduling the appraisal. After all, the buyer's lender needs this to complete the paperwork for the home sale.

They research your home before visiting it

The appraiser will complete some preliminary work before showing up for the services. The point of this is to find similar homes (comps) to compare your house to, as this is a crucial step in an appraisal. They might also research the home's age, tax history, and other details.

They come to see the home

The appraiser must also visit your home. This step is necessary, as they must see your house in person. The appraiser might spend an hour or more at your home, depending on its condition and size. They will also likely take pictures of the home's exterior while there.

They measure it and record its features

The appraiser will also complete several critical steps while at your home. First, they will measure the house to ensure that they know the square footage. Next, they will record all the details. Finally, they use this information to determine the appraised value of your house.

The appraisal amount affects the sale

When finished, the appraiser completes a report that illustrates the home's current value. The appraised amount might affect the home sale, but only if it's too low. If you have questions or need an appraisal, call a local one to schedule the service.


About Me

Do You Need Private Mortgage Insurance?

Welcome to my website. My name is Larry Silva, and I want to talk a bit about private mortgage insurance. You may have heard the term PMI mentioned when you were in the process of purchasing real estate. When I first heard my lender talking about PMI, I was very confused. It was my realtor who sat me down and explained what private mortgage insurance was and when someone is required to purchase it. He told me that PMI is not lifelong insurance; it can be cancelled when the mortgage principal balance reaches a certain point. Once it was explained to me, private mortgage insurance was no longer a mystery or a confusing concept. I would like to pass on what I learned and hope that you find it to be of value.