If you’re selling your home, you’ve probably seen every single real estate agent advertising for a ‘free home appraisal’. But what is it? And what is the difference between an appraisal and a valuation?
We’ve put together this list of FAQs about home appraisals to hopefully answer any questions you may have. However, if you still have a question we haven’t answered, please do not hesitate to contact us
What happens during an appraisal?
During an appraisal, your sales agent will walk through the house with you to make an assessment on the condition of the property. This is the best time to point out features of the property or other benefits of living at the property that may not be so obvious to the agent or a buyer.
Your agent may also make suggestions that could increase the value of the property including improvements to the property and suggestions on presentation
. The agent may give you an indicative price at the time, however it ismore likely they will withhold an opinion until they have completed more research. This could take 24 – 48 hours, at which point you will receive your property appraisal.
How long will it take?
A price appraisal alone will take on average 45 – 60 minutes. Add another half an hour if you have asked our agent to do a listing presentation.
What’s the difference between a listing presentation and an appraisal?
The purpose of an appraisal is for our sales agent to make an assessment on what price your property would fetch in the current market.
During a listing presentation, the sales agent will go through all of the services that will be provided to you should you sell your property with our agency, including their commission, marketing package, and pricing strategy.
You may also request our agent do a listing presentation while they are with you at your property for the appraisal, or you can request they come back to the do presentation when you are ready to sell and deciding which agent to choose.
Do you have to be present for an appraisal?
No. You can provide your agent with access if you can’t be present for the appraisal. Alternatively, your agent can perform a fairly accurate appraisal without entering the property using CoreLogic RP Data
, providing there has been no major improvements or damage to the property since you purchased it. The more information you provide to your agent, the more accurate your appraisal will be.
I have a tenant in my house, can I get an appraisal?
Yes. As previously mentioned, your agent can perform a fairly accurate appraisal without entering the property. If you do not wish to disturb your tenants, this is the best option for you.
For a more accurate appraisal, you can issue an entry notice (or authorise your property manager to issue the notice) to your tenants, giving them notice that we will be entering the property on a specific day and time to perform the appraisal.
I’m in the middle of a renovation or making repairs on my house, can I get an appraisal?
Absolutely. Your agent will simply take into consideration what impact the repairs will have on the property price, and the impact and total value of the renovations, when preparing their appraisal.
What’s the difference between an appraisal and a valuation?
An appraisal is an opinion on the price of your property, based on research performed by the agent that takes into consideration the age and condition of the property, the condition and value of included features, land value, and the value of recent sales for similar properties in the area. This service is usually provided free from most real estate agents.
Real estate agents are, however, not licensed to carry out a valuation. A formal valuation can only be conducted by a qualified valuer (usually appointed by your bank when assessing your finance application), who will charge around $400 - $500 for the service. Click here to read our article on the difference between a valuation and an appraisal.