It is a common misconception that if you want to sell your home you need to have an appraisal first. An appraisal is conducted by an licensed appraiser using comparable sold properties that are both similar and proximate to the subject property (your house).
Realtors price a property similarly using similar and proximate properties as well. What we do is called a CMA or comparative market analysis. We use the same process that the appraisers use to determine the most accurate value for your home. If you are considering selling you will not NEED to have an appraisal done, but you will need to have a licensed Realtor do a CMA to determine the proper price for listing your home.
I do CMA's for free, so if you are wondering what the market value of your home is, give me a call. A good realtor should be able to produce a CMA with a value very close to that of a licensed appraiser. The reason we have to be accurate about our CMA's is because once the home goes under contract, the buyers lending institution is going to require the buyer pay for an appraisal.
The lending institution requires an appraisal because they have a very large interest in the property. USDA loans will carry 100% financing. FHA up to 96.5% of the value. You better believe that the investors that are buying these loans want a guarantee that the asset (house) is truly worth the money they are lending. In the instance that the home is foreclosed upon it becomes the property of the investor.
A good investor wants to see the best returns with the least amount of risk as possible.
If you live in or around Gettysburg, PA and want to know the value of your home give me a call. I'll be using the same exact comps and methods as an appraiser to determine your homes value. The best part about it is that I provide this service for free.
Note: A CMA cannot be used to acquire a line of credit, a refinance, or to guarantee any funds leveraged against real property. if you need any of the above you will need a licensed real estate appraiser. If you're looking for one in the area, give me a call and I'll point you in the right direction.
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