When you’re selling your home, some of the steps can start to sound repetitive. Appraisals and inspections look similar on the surface: an expert comes to look around the house and makes an assessment. So, what’s the difference? Appraisals and inspections both help determine your home’s value, but they do so in different and equally important ways, so don’t skip either of them!
What is an appraisal?
Appraisals are meant to provide an objective estimate of a property’s market value. When you’re figuring out how to price your home, appraisals are an essential step in determining what it can potentially sell for. An appraisal will determine value based on factors like square footage, location, comparable recent sales, and the condition of your home.
You likely won’t be able to skip the appraisal even if you wanted to, because unless you get an appraisal waiver or sell your home for cash, most mortgages require one. Appraisals also don’t require a very thorough examination of your property— they can be done through online research, a quick walkthrough of the inside and outside of the property, or even an exterior-only assessment known as a drive-by appraisal.
Appraisals are all about your home’s value, but they don’t paint the whole picture of its actual condition. That’s what a home inspection is for!
How is an inspection different?
When I say I’m not here to judge your home’s worth, I mean that literally. As an inspector, assessing the market value of your home is part of an appraisal, not an inspection. Instead, it’s my job as an inspector to look at the functionality of all the parts of your home, including appliances, electrical systems, safety features, and structural components.
Appraisals and inspections are different, but they are connected. Your home’s condition influences how much it’s valued in the appraisal, so if you get a pre-listing inspection beforehand, you’ll have more opportunity to repair any issues an inspection uncovers. Then, once problem areas have been addressed, your appraisal could potentially come back higher since your home is in better condition.
If you’re anywhere on Long Island and looking to have a pre-listing inspection or a buyer’s inspection, feel free to reach out to me!
