Charlotte North Carolina Appraisers Discuess Market Value Appraisals

Real estate appraisers use recent sold comparable properties and make adjustments to those homes to make them similar to the subject property.

Here is a preferred list of residential appraisers

1. Valuation Experts, Inc.
www.valuation-expert.com 704-989-7283

1. Real Estate Appraisal - Introduction

Until the recent news reports in many of the local newspapers, many of us was unaware of what a property appraiser in Charlotte, North Carolina does. So what does a property appraiser do?
The first step that the appraiser takes is to determine and discuss the scope of work with the potential client. The scope of work may include the appraiser measuring the property, or may not include measuring of the property. Other issues concerning the scope of work are: how much investigated work will the appraiser do, and to what extent? A appraisal can be done on any property, whether it's an 1900's Victorian, to a new home in a cookie cutter subdivision.

Next the appraiser will determine who the client is, and the intended use of the appraisal, and the intended user of the appraisal. The appraiser will have a contract with the client, and therefore can only discuss the appraisal results only to the client. If at the beginning of the appraisal process, the client instructed the appraiser to include other intended users, then and only then the appraiser can discuss with other individuals the appraisals results.

2. Why get a Real Estate Appraisal and What are the Benefits?

When real estate is appreciating, not much concern to the value of the property is taken into consideration. In these markets, buyers usually buy using more emotions, and wants, and they are not really concerned about the value of the property. Now that the markets are soft, and prices are declining in some areas, a real estate appraisal may help you from making a big financial mistake. A big misconception is that a home appraisal for a lending client, is for the benefit of the home buyer. This is simply untrue. The lender orders the appraisal for their sole benefit, not the buyer. The lender wants to know what the home is worth, so they can know how much to lend on, and determine the appropriate LTV.

In soft real estate markets, I urge home buyers to order their on separate real estate appraisal. By doing this, the home buyer will become the client, and therefore less pressure for a certain value for the appraiser to get will be lessened. Unfortunately, real estate appraisers are pressured to hit values from lenders, and again, in soft or declining real estate markets, the home buyer could loose big.

What are Some of the Items that Add Value?

A real estate appraiser will look at the entire structure, and property improvements to see if any contributory value is noted. For example, in some new subdivisions, there will be a 3,000 square foot home for $400,000, and another 3,000 square foot home for $300,000, and some home buyers and real estate agents do not understand why this can be. Real estate agents and buyers both like using the cost per square foot theory to compare and determine if the property that they are considering buying is within a "ball park" range. The first home was sold for $133.00 a square foot, and the second home sold for $100.00 a square foot. By this example, one can easily see why one should not use the square foot method for determining property values. It is certainly OK to use this method as a starting point, and nothing more.

So why the huge difference in values for homes with the same square footage?

Homes in Charlotte vary in design, appeal, and quality of construction. These are the main culprits that make homes differ in price. In new construction subdivisions, prices will vary mainly do the cost to construction of the home, and the amount of upgrades of the home. The cost of construction includes the pitch of the roof; the amount of corners and out sets of the home; brick veneer front, part or whole; exterior detail, and trim work; height of ceilings, number of rooms, and bathrooms. Next, is the amount of interior upgrades. A home buyer must be careful when choosing interior upgrades. Interior upgrades can add value to your home or detract value from the home. It is also important to realize the price point of other homes in the neighborhood, and determine if the upgrades will support and make sense at the price point of the property that you are considering buying.

For example, if the median price range for the neighborhood is $200,000, it would probably not be beneficial to add travertine tile in the kitchen, and all baths, and add exotic imported Italian marble to the counter tops. Although it may be beneficial to upgrade granite counters in the kitchen, and to add hardwood floors to the lower living area. The point is that a home buyer should study the market, take into consideration the price point of the neighborhood, consider the desirability of the area, and lastly make good upgrade selections. www.charlotte-appraiser.net


1. A appraiser Charlotte NC will consider the intended user and use.
2. A real estate appraiser Charlotte NC will discuss the scope of work with the potential clients.
3. Appraisers Charlotte NC will make a condition rating of the property that is being appraised.
4. An appraiser Charlotte NC will choose comparable sales that are substitute properties for the home being appraised.
5. Appraisers Charlotte North Carolina will take into consideration the quality of construction, condition, location, and size of both the property that is being appraised, and the selected sales.