Are you wondering exactly what it is that happens when your property is assessed? It's a question that many people preparing for their first inspection may worry about and one that can easily be answered.
What Happens When Property is Assessed?
The property assessment process is one that is often steeped in mystery to people trying to sell (or buy for that matter) home. Everyone wants a property to assess well but the actual technique and tactics involved prove elusive to many curious onlookers.
The assessor will come to your home and perform a thorough inspection of the inside and outside of your home. He or she will take note of various property characteristics that buyers may or may not connect with or find appealing. He will then make a determination of the value of your home based on his findings including the good and the bad about your home. It generally takes about two working days to receive the report with the inspector's findings.
How do Assessors Determine Worth?
First of all, you shouldn't be worried about their determination of worth. It is a very narrowly defined scope that allows them to assign one value to a home over another home. It is not a reflection of the worth of the home on an emotional level. They use a formula that enables them to find the value of your home on the market right now or within the next 90 days based on other, very specific criteria.
There are many who believe that evaluating or assessing property is one part art and one part science. There is a little bit of intuition that comes into play. The best or closest evaluators are often those who have been in the business for quite a while and have a "feel" for neighbourhoods, homes, and the people in certain areas. These assessors are usually able to gauge the value a home will sell for within a 90 day window very accurately.
Key Elements Assessors Inspect
In addition to the general condition and state of repair (or lack thereof) of a home, inspectors also take note of the size of the land the home is on, the neighbourhood and its proximity to services, accessibility of the home, condition of the home, architecture of the home, size of the home, and features that may be unique to the tastes and interests of the current home owners but may not exactly be mainstream tastes and interests.
Your home inspector is probably going to open doors and drawers, peak through closets, find cobwebs in the corner and dust bunnies beneath your beds. It is the job of the assessor to inspect the home inside and out for positive features and potential problems. Some inspectors may help you discover problems that can be easily fixed today but might be major problems tomorrow if left alone.
Comparing Properties as Part of the Assessment Process
No one really likes to be compared to another person. It's just as hard to listen as your property is compared to another. However, most property assessors will pull the information from a comparable home in the neighbourhood or area that has sold recently and compare the condition, state of repair, land mass, and features of your home with the other to decide if your home should have more value, about the same amount of value, or less value than the other home in question was sold for.
Home inspections or assessments may sound big bad and scary but they are very important in setting the value for your home when it comes to selling your home or even when refinancing your home for a more favourable interest rate.
This is the perfect opportunity to make all the little repairs you've been putting off and get your home neat and clean prior to the inspection so you can enjoy even better results!
About the Author
This article was written by William. In between surfing, cooking and supporting his favourite football team Liverpool, William writes for a home loan comparison service Home Loan Finder. Visit the Home Loan Finder website to compare home loans for more tips and guides on property valuation.