How Long Does An Appraisal Take? What Should I Expect As A Buyer?
So, you found your dream home, made an offer, and (congrats!) the seller accepted. But before you can call this place yours, in order to get your financing, you’re going to need a home appraisal. That way, you’ll know exactly how much your property is worth, and your lender can feel secure in their investment.
The appraisal can make or break your mortgage loan. You may be feeling a little bit antsy right now — which is a perfectly normal feeling, according to Alan Daniels, a real estate agent who ranks in the top 1% of Colorado Springs, Colorado agents.
Buyers want to make sure that the home appraises at least at the sales price, he says. If it doesn’t, it creates another round of negotiation “and the potential of not closing.”
While the appraisal may take longer than the home inspection, it generally won’t take long enough to leave you on the edge of your seat. Here’s everything you need to know about the appraisal process, including how long an appraisal should take and what to expect.
What is an appraisal?
Despite working out a price between you and the seller, an appraisal report is created by a licensed third-party appraiser to determine the value of the home. Appraisals are typically required by a mortgage lender so they can determine how much they are willing to lend, but sellers will sometimes have appraisals done before listing the house and then will price the property accordingly.
The buyer typically pays for any appraisal required by the lender, which costs anywhere between $314 and $423 on average, though Daniels says it can run upward of $500 or even $900, especially if the home is located in a rural location, which will require a larger trip fee. The lender is the one who will hire an appraiser and will receive the appraisal report.
