Home prices are rising. With more buyers than sellers, there is often disparity between what a buyer is willing to pay versus the property’s appraised value. This can impact the buyer’s financing options and leave the seller with less than what the property is worth.
We spoke with our friends at Valuecentric to get insight on how to get the highest and best value for your seller. Be prepared with the following information and submit it to the appraiser before the appraisal and bring the same information on appraisal day in hard copy form to hand to the appraiser.
- Neighborhood Information
- Clearly defined neighborhood and school district boundaries
- Relevant area information and/or trends and changes for the area
- Multiple Offers
- Submit copies of multiple offers (black out any personal information)
- Comparable Sales
- Provide sales, pending, and listings that are best and offer details about each one
- Address sales that show up in a search but are NOT comparable (and why)
- Other Items
- Floorplan (preferably from an old appraisal)
- Plat of survey
- Clear copy of the sales contract (verify contract price)
If the value still comes in low, ensure there are no material defects in the appraisal (3 baths not 2.5) or provide comparables that were not used that you believe should have been, as well as a reason why these are better than what was used in the appraisal report.
The best protection you have as an agent is having the lender who only works with local, vetted appraisers — not a big box or online lender using a third party appraisal management company who doesn’t know the local community. Key Mortgage only works with local, reputable appraisers that understand that real estate is hyper-local.
This is just one more reason to partner with Key Mortgage. Contact one of our loan officers today!