What's your home worth? VRI Homes real estate appraisal services provide full access to Multiple Listings Services, Tax records, Flood information, and more so that homeowners and agents alike can stay current with changes to market data that affect property value.

 

ESTATES | FINANCING | PMI REMOVAL | TAX APPEALS
800-206-4360

 

 

Appraisal 

 


Contact Us Form
If you have any questions, or would like one of our professionals to contact you, fill out the form below.

 Order Form

Type the characters that you see in the above image:

What is an appraisal? A home purchase is the largest, single investment most people will ever make. Whether it's a primary residence, a second vacation home or an investment, the purchase of real property is a complex financial transaction that requires multiple parties to pull it all off. Most of the people involved are very familiar. The Realtor is the most common face of the transaction. The mortgage company provides the financial capital necessary to fund the transaction. The title company ensures that all aspects of the transaction are completed and that a clear title passes from the seller to the buyer.

So who makes sure the value of the property is in line with the amount being paid? There are too many people exposed in the real estate process to let such a transaction proceed without ensuring that the value of the property is commensurate with the amount being paid. This is where the appraisal comes in. An appraisal is an unbiased estimate of what a buyer might expect to pay - or a seller receive - for a parcel of real estate, where both buyer and seller are informed parties.

 To be an informed party, most people turn to a licensed, certified, professional appraiser to provide them with the most accurate estimate of the true value of their property. The Inspection So what goes into a real estate appraisal? It all starts with the inspection. An appraiser's duty is to inspect the property being appraised to ascertain the true status of that property.

The appraiser must actually see features, such as the number of bedrooms, bathrooms, the location, and so on, to ensure that they really exist and are in the condition a reasonable buyer would expect them to be. The inspection often includes a sketch of the property, ensuring the proper square footage and conveying the layout of the property. Most importantly, the appraiser looks for any obvious features - or defects - that would affect the value of the house.

Once the site has been inspected, an appraiser uses two or three approaches to determining the value of real property: a cost approach, a sales comparison and, in the case of a rental property, an income approach.

Cost Approach The cost approach is the easiest to understand. The appraiser uses information on local building costs, labor rates and other factors to determine how much it would cost to construct a property similar to the one being appraised. This value often sets the upper limit on what a property would sell for. Why would you pay more for an existing property if you could spend less and build a brand new home instead? While there may be mitigating factors, such as location and amenities, these are usually not reflected in the cost approach.

Sales Comparison Instead, appraisers rely on the sales comparison approach to value these types of items. Appraisers get to know the neighborhoods in which they work. They understand the value of certain features to the residents of that area. They know the traffic patterns, the school zones, the busy throughways; and they use this information to determine which attributes of a property will make a difference in the value. Then, the appraiser researches recent sales in the vicinity and finds properties which are ''comparable'' to the subject being appraised. The sales prices of these properties are used as a basis to begin the sales comparison approach. Using knowledge of the value of certain items such as square footage, extra bathrooms, hardwood floors, fireplaces or view lots (just to name a few), the appraiser adjusts the comparable properties to more accurately portray the subject property. For example, if the comparable property has a fireplace and the subject does not, the appraiser may deduct the value of a fireplace from the sales price of the comparable home. If the subject property has an extra half-bathroom and the comparable does not, the appraiser might add a certain amount to the comparable property.

 In the case of income producing properties - rental houses for example - the appraiser may use a third approach to valuing the property. In this case, the amount of income the property produces is used to arrive at the current value of those revenues over the foreseeable future.

 Reconciliation Combining information from all approaches, the appraiser is then ready to stipulate an estimated market value for the subject property. It is important to note that while this amount is probably the best indication of what a property is worth, it may not be the final sales price. There are always mitigating factors such as seller motivation, urgency or ''bidding wars'' that may adjust the final price up or down. But the appraised value is often used as a guideline for lenders who don't want to loan a buyer more money that the property is actually worth. The bottom line is: an appraiser will help you get the most accurate property value, so you can make the most informed real estate decisions.

VRI HOMES
Homes of Distinction
Ph: (800) 531-2885Fax:800- 531-7515
Keyport , NJ 07735 US
HOME Search Rentals Holiday City Carefree VRI Blog Real Estate School Insurance New Jersey VRI Listing Presentation Agent Email Login Home Staging ParkWest Mountainside Florida Our Agents Offices List Your Rental Title Insurance Home Warranty Rental Application Parkside Lane Teaneck We Buy Homes Texas Connecticut Short Sale F.A.Q's for Rentals Auction Tax Appeals Repair Request RELOCATION New Home Search Rental Request Form Tips For Sellers Off Market Estates at Holmdel Fields Appraisals Foreclosure Search Flood Homes of Distinction Probate and Estates Local Businesses Notary Home Value Report Property Management Open Houses Local Schools Pre-Qualify Free Buyer or Seller Guide Rent to Own GRANTS Better Homes For All Veterans Calculators Wright Place Westmont Station Westmont Station Whippany Crossing Mortgage Glossary Career Reverse Mortgages Agent Website Login Referral Network Contact Boca Raton, Florida Real Estate Thornbrooke – Shrewsbury NJ Alderbrook – Little Silver, NJ Carriage Gate – Little Silver, NJ Cheshire Square – Little Silver, NJ Club Way – Little Silver, NJ Regency Holmdel NJ River Vue Brielle NJ Westport Belmar NJ Parker Village Estates Riviera at Freehold Freehold Township NJ Silvermead Freehold Township NJ Enclave at Freehold Freehold Township NJ Cedar Village at Holmdel NJ Village Grande at Battleground Manalapan, NJ Village Grande Holmdel NJ Holiday City at Berkeley Toms River, NJ Sonata Bay Berkeley Township, NJ Four Seasons at Mirage Greenbriar at Marlboro - Marlboro, NJ Rosemont Estates - Marlboro, NJ Gatherings at Bel Aire Lakes Four Seasons at Smithville The Oaks of Weymouth The Fairways at Mays Landing Site Map The Village Grande at English Mill The Village Grande at Little Mill Woods Landing Tavistock at Mays Landing Traditions at Blueberry Ridge Woodland Village The Village at Linwood Four Seasons at Millville The Plaza Grande at Garden State Parkway Centennial Mill Montebello Braddock Preserve at Winslow Four Seasons at Forest Meadow Comcast Online Home Buyer Seminar Agent Payment Center Blog Traditions at Laurel Oaks Legacy at Waterford Pines Agent Town Page Kings Run at Haddon Heights The Maples Privacy