At Primary Residential Mortgage, we’re here to help you find the right mortgage program for you and your family, whether it’s a new loan or a mortgage refinance. In the latter case, there’s one big refinance hurdle that can be tough to clear for some people: The appraisal process.
Appraisal is a process where the current value of your home is determined – this then lays out the kind of loan terms you can receive on a refinance, or whether you even qualify for one in the first place. A low appraisal could leave you without approval, or with worse mortgage rates, while a higher appraisal could bring major financial benefits. Here are a few tips for making sure you get as high an appraisal as possible.
Whether or not you pay any attention to things like landscaping, lights and all outdoor visual elements, potential buyers and appraisers definitely do. Improper landscaping can limit a home’s value. Make sure all flower beds and gardens are well-maintained, and place seating areas or pillows on the front porch. Keep outdoor lights working and clean, and use them every night.
Make Repairs, Keep Records
In most cases, the amount you’ll spend on making a few standard repairs around the home will be much lower than the equivalent amount you’ll be dinged on the appraisal if you don’t make these repairs. Any do-it-yourself projects that you’ve been putting off should be completed.
Additionally, make sure you keep detailed records of any repairs you’ve made. This will show appraisers you’ve put in the work, and will help prove any costs you’ve had to cover. Also make sure to keep good records for tax documents.
Know Local Comparison Points
A great way to get a general idea of your home’s value is to compare it to similar homes in the area that have sold recently. You can challenge lowball comps the appraiser makes, rather than waiting until the appeal process – where it’s often impossible to get a decision changed. Online resources make this sort of research a breeze.
Don’t rush the appraiser during their process. Their decision will carry heavy weight for you, and while we’d all like to be completely objective at all times during business, we’re human – rushing the process might place you in a more negative light. State information you may have in an orderly and patient fashion, and as an added courtesy, ask them if there’s anything else they need when they’re finishing their process. Endearing yourself here can never be a bad thing.
Want to learn more about the appraisal process, or any of our other mortgage services? Speak to the brokers at Primary Residential Mortgage today.
*The views and opinions expressed are my own and do not necessarily represent the official policy or position of Primary Residential Mortgage, Inc.