A residential appraisal is more than a walkthrough of a home. The appraiser researches the property and its market, observes and documents relevant physical characteristics, analyzes comparable market data, and develops an independent opinion of value appropriate to the assignment.
Before the Appraiser Arrives
1. Make the Property Accessible
The appraiser may need to observe the interior and exterior of the residence as well as garages, patios, accessory structures, pools, guest houses, workshops, and other improvements relevant to the assignment.
- Make gates, garages, and other relevant areas accessible.
- Secure pets if they could interfere with the property visit.
- Make significant renovations and special features reasonably observable.
- Provide access to detached structures such as guest houses, workshops, garages, barns, or other improvements.
2. Don't Worry About Normal Housekeeping
Normal clutter, dishes, laundry, children's toys, or an unmade bed generally are not what determines the market value of a home. Condition, however, can matter. Deferred maintenance, damaged finishes, incomplete construction, water damage, or other significant physical conditions may be relevant.
You don't need to stage the house. You should make sure the appraiser can adequately observe it.
Prepare a List of Improvements
A concise list of significant renovations can be very helpful. Consider including the approximate year and scope of kitchen and bathroom remodeling, roof replacement, HVAC replacement, windows, flooring, pool improvements, solar, additions, guest houses or ADUs, major landscaping, electrical or plumbing work, and energy-efficiency improvements.
Gather Useful Property Information
- Survey, site plan, or floor plan
- List of renovations and improvements
- Building permits or addition/remodeling documentation
- Solar-system documentation
- HOA, well, or septic information when relevant
- Guest house or accessory dwelling unit information
- Green-building or energy-efficiency certifications
- Relevant legal documents for estate, trust, divorce, or other specialized assignments
You do not need to assemble a giant file simply for the sake of providing paperwork. Relevant information is more useful than more information.
Tell the Appraiser About Features That May Not Be Obvious
Recent renovations, custom finishes, guest houses, owned solar systems, insulation or building-envelope improvements, high-efficiency HVAC, water-conservation features, workshops, horse facilities, unusual site characteristics, views, private access, easements, or structural improvements may not be obvious during a brief observation. Pointing them out helps the appraiser accurately understand the property.
Green & Energy-Efficient Homes
A high-performance home deserves an appraiser who understands what makes it different.
If your home incorporates substantial energy-efficient or green-building features, have available documentation ready. Useful information can include a RESNET HERS® rating, LEED® certification, Pearl Certification, solar photovoltaic system information, high-efficiency HVAC specifications, enhanced insulation, building-envelope improvements, energy-efficient windows, efficient water heating, water-conservation systems, and other documented high-performance improvements.
Energy-efficient characteristics are not simply another list of upgrades. Their relevance to value depends upon how buyers in the property's market respond to them. As an Earth Advantage Accredited Green Appraiser, I have specialized education in identifying, documenting, and analyzing high-performance residential features.
Should I Give the Appraiser Comparable Sales?
You can provide information you believe may be relevant, but you do not need to perform the appraiser's comparable-sales analysis yourself. If there is a sale you believe is important, provide the address and explain why you think it is relevant—for example, the same floor plan, similar guest house, or comparable renovation. The appraiser remains responsible for independently researching and analyzing the market.
Should I Tell the Appraiser What I Think the Home Is Worth?
You can provide relevant information, but an appraisal is intended to produce an independent opinion of value. It is usually more helpful to focus on facts about the property rather than trying to persuade the appraiser toward a particular number.
Special-Purpose Appraisals May Require Additional Information
Estate Planning / Tax Valuations
Provide the effective date of valuation, relevant estate or trust information, and information about the property's condition as of a retrospective date when applicable.
Divorce or Litigation
The appraiser may need the appropriate effective date, attorney contact information, relevant property documents, ownership information, and clear instructions regarding the intended use and intended users of the appraisal.
Property Tax Appeal
Useful information may include the assessor's valuation, notice of valuation, parcel information, appeal deadlines, and property characteristics that may be incorrectly reported.
Cash Purchase
For an appraisal associated with a cash purchase, provide the purchase contract and amendments when appropriate.
During the Property Visit
Feel free to point out significant features and answer questions. You do not need to follow the appraiser through every room, but being available—or having someone knowledgeable about the property available—can be helpful.
What Not to Do
- Don't hide known problems. The appraiser needs to accurately understand the property.
- Don't assume renovation cost equals value. Market reaction determines contributory value.
- Don't worry excessively about housekeeping. Normal day-to-day living is not the same as property condition.
- Don't overwhelm the appraiser with irrelevant paperwork.
- Don't feel you need to “sell” the property to the appraiser. Provide the facts and let the market analysis do the rest.
Appraisal Preparation Checklist
- ☐ Make the home and relevant improvements accessible.
- ☐ Secure pets.
- ☐ Prepare a list of significant renovations and approximate dates.
- ☐ Gather documentation for additions, guest houses, solar, or unusual improvements.
- ☐ Have green/energy certifications available when applicable.
- ☐ Identify significant features that may not be obvious.
- ☐ Gather assignment-specific documents requested by the appraiser.
- ☐ Be available to answer reasonable questions about the property.
Don't try to make the property look perfect. Help the appraiser understand it accurately.
Preparing for Your Cornerstone Appraisal
Every property is different. A typical suburban home may require very little advance preparation, while a custom residence, acreage property, guest house, equestrian property, high-performance home, or heavily renovated residence may benefit from considerably more documentation. If you are unsure whether something would be helpful, provide it or ask.