Alleviate buyer concerns about price with an advance appraisal
Be it Holmby Hills real estate, a cottage on a frozen lake in Nova Scotia, or Texas real estate, the same rule goes into effect: Buyers are going to have doubts about the asking price. It's simply human nature. Can you blame them? It is the largest financial investment they will ever have made.There isn't much more assurance a buyer can get than a disinterested professional certifying your home's value.
Since real estate dealings involve such serious financial decisions, sellers do well to get the advice of real estate appraisers. Appraisers are third party experts, in effect arbitrators who have no vested interest in the transaction. What they are certified to do is provide an impartial estimate of the value of the home. An advance appraisal can help you get the most money possible because of how that appraisal will give the buyer a better feeling about the home's true value.
While inspecting the home, the real estate appraiser determines the quality of construction, the condition of the total property, and how dated (or outdated) the home may be compared to other homes that have sold. They compile data on the property as a whole by making notes and searching public records for the details of other property assessments, past sales and leases, and any other transactions.
Pre-negotiate with the appraiser to make sure he/she will transfer the appraisal to the new purchaser.
If used properly, an advance home appraisal is a tangible asset that is part of the home, but it loses its value to the seller as soon as the home is sold. Why not let the borrower use your appraisal? It can save the buyer $250 to $500 (or even more), which, in turn, can help you increase your odds of actually having a meeting of the minds to begin with. In addition to helping the buyer accept a reasonable figure for your home's value, you can work it out to get the cost of the appraisal reimbursed by simply transferring it to the buyer. In addition to saving the buyer money, you also guarantee that the loan won't fall through because of a different (lower) appraisal, because if the borrower hires their own appraiser, there's always a chance that appraiser will think the home isn't worth what they're paying.
For a nominal fee, $25 to $50 in most cases, you can usually have the appraiser re-write the appraisal to the new owner. In a real estate market with buyers as fickle as they are, sellers must use every tool possible to make sure their deal makes it to the closing table. This is an inexpensive consideration you can toss into the deal to show your good faith and cooperative spirit as a seller. It not only raises the purchaser's level of trust in you, but it might make you a few more bucks too!