HOW TO GET A FREE PROPERTY APPRAISAL
If selling your property and needing an accurate, free house appraisal to find out how much your house is worth to sell, using a vetted real estate agent proven competent at valuing properties is a safe place to start.
All your subsequent decisions will depend on the accuracy of your real estate appraisal - and appraisal accuracy will depend on the integrity and experience of the real estate agent who prepares it.
Unfortunately some real estate agents over-estimate what a property is worth to entice you to list with them, then often come the price reductions and relationship breakdowns.
If a property appraisal value sounds too good to be true, it might be.
Wise Up with these appraisal tips first or ask for advice.
HOW TO ESTABLISH AN ACCURATE PROPERTY VALUE
A property appraisal provided by a real estate agent is also referred to as a Comparative Market Appraisal (CMA) and although provided free, it can end up very expensive if your property was incorrectly appraised from the start.
- To avoid this, it pays to use a vetted real estate agent whose experience, conduct and performance capability has been scrutinised.
- We also recommend requesting more than one house appraisal and then comparing the quality of how the values in each were established. You can do this by checking the properties used to compare yours against for establishing value taking into account uniqueness, land size, number of living or bedrooms, garage size and improvements for example.
- Another tool is to use our Questionnaire to help guide you through the process of interviewing agents when they present the property appraisal to you. This can help you compare the agents and companies objectively and avoid issues commonly encountered.
- Ultimately we all want the best sale price and the higher the property valuation recommended by a real estate agent, the more attractive an appraisal will be.
Due diligence at this point is not to be missed. Call 0800 789 532 - we're here to help.
IMPORTANT TIPS ABOUT HOUSE APPRAISALS
SCRITINISE INFORMATION QUALITY: Most people head straight for the dollar value in their house appraisal but ensure you scritinise it and check the facts on which it should be based. A real estate agent over-inflating a property value to entice a vendor to list is not uncommon so beware.
- METHOD OF SALE HELPS: If the value is not what you expected but is based on reliable information sources, rather than choosing a real estate agent whose appraisal is inflated, the method of sale you choose can help create buyer competition which can help elevate your end result.
- IN WRITING NOT VERBAL: Property appraisals must be provided to you in writing and any recommendations must be backed up by sound data and a property inspection to help you make fully informed decisions. Verbal appraisals are not legal.
COMPETENT REAL ESTATE AGENT: It has been proven that sellers who achieve the best sale prices rely on realistic property appraisals provided by proven competent real estate agents, who then manage marketing to aim for an optimal result. Buyers will often pay more for a house they love or have to compete for.
- UNDUE PRESSURE: Succumbing to undue pressure by real estate agents often results in disappointment, price reduction pressures, a long drawn out time on the market, or no sale at all.
- GOVERNMENT AUTHORITY: The Real Estate Authority has made 'undue pressure' a conduct issue worthy of complaining about and addressing formally.
- DAY ONE: Day one live online is the most important day of your marketing campaign, so having an accurate price range from the get-go is imperative. Find out why here.
- BE ON THE ALERT: We recently heard of a real estate agent using comparative sale prices that were listed with their company only, which is not an objective or reliable method of establishing how much your house is worth in our opinion.
Property sellers are entitled to expect a free property appraisal to be prepared with integrity, accurate data and based upon relevant information in the current property market.
It's all part of a licensed real estate agent's responsibility.
It's important to review the appraisal data carefully, so tell the agent you want more time to review their appraisal information and will get back to them.
Don't be pressured to list there and then.
If you would like an objective approach to finding an agent, request a free shortlist here.
Article updated June 30, 2021 by Trish Willis