Residential appraisals are designed to estimate the true value of your propertys—something that may not always be apparent. Appraisals are always a good idea, but they can be especially critical during specific times. During an appraisal, an appraiser will consider all aspects of your property, including the surrounding properties and improvements that you've made.
Get an Appraisal to Refinance Your Home
If you want to refinance your home, you may be able to do more than just save money on your loan. You may also be able to get cash back. If your home's value has significantly improved, you may be able to get additional equity back. But that requires that you first show your bank that the true value of your property has increased. You can then use the funds you acquire for anything—including improving your property.
Get an Appraisal Before a Divorce
Of course, the value of a property can change in either direction. Properties can either go up or down, depending on the temperature of the market. During a divorce, it becomes especially important to determine the true value of a property. Otherwise it is very possible that one spouse may end up more in debt or with fewer assets than is fair.
Get an Appraisal Before Home Renovations
Many homeowners don't think about appraising their home before their renovations. In real estate, it's generally not a good idea to add expensive renovations to a property that is already at the edge of what is affordable in its neighborhood. If your home is already at the higher end of properties, adding home renovations will often not improve its value. Though these home renovations may still be important to you, they might not be the wisest financial investment.
Get an Appraisal If Property Taxes Are Too High
If you suspect that your property value has gone down—which is very common in markets that have "busted"—it becomes important to get an appraisal quickly. Otherwise you may not know whether or not your property taxes are too high. Property taxes are calculated on the value of your property, so if your property value has gone down, your property taxes should have as well.
It likely goes without saying that a full appraisal should also be done before you sell a property, but periodic residential appraisals can also be a good idea for those who want to remain on top of their finances. Talk to a company like Choice Appraisals of Kansas City to get started with an appraisal.Share