The 3 biggest mistakes home owners will make when an appraisal is required

We recently asked Damian Guiducci (CRA – Appraiser) from Home Value Appraisal for the TOP 3 mistakes home owners generally make when an appraisal is required. Please see the mistakes below and make sure to do the necessary if you want to maximize the value of your property.

  • They do not conduct minimal decluttering or complete basic maintenance. The lenders go through all the pictures of the appraisal report. The home does not have to be spotless or be ready to list for sale but should display some type of ongoing maintenance. I do think it’s in the homeowner’s best interest to indicate to whoever is lending that the home is being cared for and their life is somewhat organized. This also includes basic lawn care and weed maintenance. Remember a picture says 1000 words.
  • Complete all unfinished/renovations work prior to inspection. Unfinished work can complicate the lending process and usually implies a lower appraisal value. Sometimes time constraints do not allow for unfinished work to be completed, however it is important to communicate this with the appraiser before booking an inspection. This will allow the appraiser and mortgage agent to discuss what type of appraisal that is most appropriate for the situation.
  • They do not inform everyone in the home that the appraiser is coming in for an inspection. It can make it difficult and uncomfortable to gain access to certain rooms. This is especially necessary when part or all of the property is tenanted. Majority of lenders require the entire home to be inspected, so this can disrupt or delay the process of obtaining financing.