What does a property appraisal involve

What does a property appraisal involve?

posted in: Selling advice | 0

What does a property appraisal involve – and what questions should you be asking?

You’ve probably had many real estate agents tell you they are happy to provide you with a free property appraisal – but if it has been a while since the last time you sold, you may be a little unsure about what this means.

Will you have a contract to sell thrust under your nose before you’re ready? Is there pressure to choose the first agent that comes through your front door? With me, the answer to both of these is no.

 

The key objectives of an appraisal

The first point to note is that an appraisal is not the same as a valuation. Only a qualified valuer is able to provide an independent value of a property. My role as an agent is to view your home and using my experience and knowledge from the local marketplace, provide an estimation of what you could potentially sell your property for.  

What I will be looking for will be elements such as the location of your home and its aspect, the quality of your fixtures and fittings compared to a comparably-aged property, how close your house is to amenities like schools and transport, the layout, and also the appearance of the rest of the neighbourhood.

It is likely that you will invite two or three real estate professionals to give you an appraisal, and the figures you get from each will probably vary. So how do you know which one is right? Talk to the agents and find out how they arrived at the price point – there needs to be substance to what they have presented to you. It is also important to ask yourself if they could they be giving you a higher estimate just to win your business, or a lower number to get a quick sale.

 

What questions should you ask?

When you arrange a property appraisal with an agent, you should consider the things you would like to ask them. It is a great chance to get to know them, and find out if they could be the right real estate professional to sell your home.

The kinds of questions you should ask them are:

  1. How long have they been working in the local area?
  2. What experience do they have in real estate?
  3. What is the property market currently doing in your region?
  4. Who are actively buying (investors/downsizers/first home buyers), and what are they looking for?
  5. What are some recent sales they have achieved in the local neighbourhood, and how long did it take to get those results?
  6. Through what method are most properties being sold – and why?
  7. Are they members of the REIQ (Real Estate Institute Queensland)?

The next steps…

You will get your appraisal back from the agent, and as mentioned above –  any good real estate professional will provide the facts and background as to how they reached that figure.

As an agent who prides themselves on honesty and transparency, my price estimations will never mislead with an inflated sale price just to earn a listing.  

My appraisals also include insights as to anything about your home that may have a negative effect on the potential sale price. I have sold more than $40 million dollars of property in South Brisbane over the past two years, and I know what buyers are looking for, as well as what turns them away.

But it is important to note – you are under no obligation to move forward with a listing just because you have had an appraisal. Ideally, it is better to move onto finding out more about how each agent would approach the sales and advertising of your property, how they create competition amongst buyers and what will be the ideal way to get a satisfactory result in a reasonable timeframe.

As an independent agency, We are free of franchise fees, and we choose to invest those savings back into our home sellers by offering a complimentary marketing campaign, which comes with proven results.

I give people upfront advice about their property’s value, and what will work best to sell it. So if you’re looking for an honest and transparent appraisal of your home, please give me a call for a confidential, obligation-free chat on mobile 0418 886 410 or e-mail sales@regstrow.com.au.