How to Prepare for an Appraisal

For homeowners, a real estate appraisal is the linchpin to buying, refinancing, or selling their home. It allows the property transactions to occur among the buyer, seller, real estate agent and mortgage lender.

Before an Appraiser arrives, there are a few things you should know. By law, an appraiser must be state licensed to perform appraisals prepared for federally related transactions. Also by law, you are entitled to receive a copy of the completed appraisal report from your lender.

To facilitate the appraisal process, it's beneficial to have these documents ready for the appraiser:

• Information on the latest purchase of the property (if in the last three years).
• Written property agreements, such as a maintenance agreement for a shared driveway or private road maintenance.
• List of any personal property to be sold with the home.
• For condo/PUD properties, information on homeowner's association and/or management company, and current HOA fees.
• Home inspection reports, or other recent reports for termites, EIFS (synthetic stucco) wall systems, septic systems and wells.
• Feature sheet that lists major home improvements and upgrades, the date of their installation and their cost (for example, the addition of central air conditioning or roof repairs) and permit confirmation (if available).
• A copy of the current listing agreement and broker's data sheet or Purchase Agreement if a sale is "pending".  These are usually provided by agent or lender.
• A list of "Proposed" improvements if the property is to be appraised "Subject to Completion".

Once your appraiser has arrived, you do not need to accompany him or her along on the entire site inspection, but you should be available to answer questions about your property and be willing to point out any home improvements.

Here are some other suggestions:

• Accessibility: We will usually need to measure your home. Make sure that all areas of the home are accessible, especially to side yard areas.
• Housekeeping: Appraisers see hundreds of homes a year and will look past most clutter, but they're human beings too! A good impression can translate into a higher home value.  Yard areas are more appealing if recently mowed and clutter is removed. 
• Maintenance: Repair minor things like leaky faucets, missing door handles and trim.
• Photos: Exterior photos are always taken.  Sometimes interior photos are also used to show unique characteristics, remodeling, etc.  Interior photos are also needed when lender requirements dictate (ie: high value properties).  The visual aspects of the appraisal might be considered equivalent to a "brochure" on the property for the lender, so present your property at it's best!