5 Reasons That Make Home Valuation A Must Before You Buy It
After months of looking around, you may finally have found the perfect property that you would like to call your home. But there are several things that you should be sure about before you seal the deal. Start by getting a good look at the house, more than once if needed. Consider the neighborhood amenities and safety to find if it would be good enough for your family to live in for the long run. Another major step to take before you start negotiating is to get the property valued by a professional appraiser. Basically, home valuation refers to the calculation of the value of the place on the basis of its physical condition, the current market trends and the pricing of similar properties in the same neighborhood. Though valuation is needed by both buyers and sellers, we will talk about the buyers’ side in this article. Let us talk about some good reasons that you should get a professional valuation done if planning to buy a home.
Calculation of Offer Price
The first reason that you would need to know the actual value of a property is for the calculation of the offer price to be quoted to the seller. A professional appraiser has an eye to observe even the minutest of things about the house which you may fail to notice. Similarly, he will consider small legal and market details to establish the correct value of the place. Being armed with this information enables you to make the right offer to the seller so that there are better chances of the deal being finalized.
Procurement of Mortgage
You will need to get home valuation for the purpose of procurement of mortgage to buy the property. As a norm, banks approve mortgage on the appraised value of the property rather than the price at which you buy it. If the purchase price is considerably higher than the appraised value, you may not get a loan approval for the entire price. The bank will demand an independent third-party appraisal of the property before they give you a loan approval.
Another good reason that you should get the value of the prospective home assessed by an expert is to mitigate any unwanted risks. An unbiased, first hand inspection of the property by an appraiser is a good way to determine factors such as its occupancy, actual physical condition, neighborhood amenities and risks and legitimacy of the property. You will probably not be able to get such detailed facts by yourself but a professional appraisal gives you proper risk mitigation and peace of mind.
A layman buyer is seldom able to understand the dynamics of the real estate market, which is complicated by numerous parameters such as list prices, offer prices and sale prices. Moreover, these prices can fluctuate even in the course of negotiations. This exposes them to the risk of fraud at the hands of unscrupulous sellers and real estate agents. However, home valuation is a good way to prevent such frauds as it gives you the true value of the property as judged by qualified and honest appraisers.
Another key benefit of taking property valuation is that it provides a trusted opinion that is based on facts and comprehensive methodologies covering every single aspect of a property’s physical and legal condition. Moreover, it is an unbiased opinion that can help you take the purchase decision in a more objective and informed manner. Buyers are usually taken for a ride because of lack of knowledge and inability to judge the real estate market. But a proper home valuation gives you all the information that you need for taking the right decision.
Now that enough has been said about the significance of property valuation, the next obvious question would be how to value your home. As said before, you need to have it done by a qualified appraiser with the right education, certification and experience to determine the accurate value of the property. Having someone who adheres to strict work ethics is also important as only such a professional can give you a truly unbiased opinion. Buying a home can be a challenge because there is always a temptation to just go ahead and buy a place you like at the first sight, even if you find the price a little higher. But home valuation is the right solution to help you take the right decision and only buy the right property at an optimal price.http://www.beautifyhome.net/new-ideas/5-reasons-that-make-home-valuation-a-must-before-you-buy-it/http://www.beautifyhome.net/wp-content/uploads/2018/08/home-1024x600.jpghttp://www.beautifyhome.net/wp-content/uploads/2018/08/home-150x150.jpgNew Ideashow to value your home