When you get one or more offers on your home, it’s important for your real estate agent to carefully review the offer and explain the contingencies that it may include.
A professional home inspection is an important element in the sale of your home. Buyers will hire an inspector to complete a thorough review of your home. Remember, an inspector’s job is to find any and all issues with the home, whether they are small or large. So, it’s important for you to be prepared prior to the inspection, and know what to expect. Ask your agent what specific items the inspector will be checking for, and see if there might be anything that you should have fixed prior to inspection.
A few of the things an inspector will look for include:
- Structural integrity
- Roof damage
- Mold problems
- Condition of the heating, cooling and water systems
- Electrical testing
- Appliances in working order
- Termite inspections
A home inspector does not do the same job as your real estate appraiser. The home inspector is there to evaluate your home for structure and safety – not value. That’s where the real estate appraiser comes in.
For an existing residential property, a real estate appraiser will find a value for your home by comparing it to similar homes, called comparables or “comps” for short. He or she will consider many factors such as the size and age of your home, the property that it sits on, the number of rooms and extra features like swimming pools, garages and the like. The real estate appraiser will also include considerations of current market trends in the final report that determines the appraised value of your home.
Why isn’t the appraisal amount the same as the amount your real estate agent suggested after the market analysis? Your real estate agent goes through that process with you to create a realistic asking price – that’s not the same as the final market value. That can only be established once your property has been sold. If you’ve ever heard the phrase, “it’s only worth what someone will pay for it,” that’s certainly true in real estate.