What is a Pre-Listing Appraisal?

You’re ready to list your home on the market. You’ve found your listing agent and are now in the process of deciding the best list price for your home. One of the first things you should consider during this process is getting a pre-listing real estate appraisal. You may be wondering, “What is the importance of a pre-listing appraisal?” A pre-listing real estate appraisal will provide you and your listing agent with an unbiased opinion of your property’s value.

How Will a Pre-Listing Appraisal Help Me?

A pre-listing real estate appraisal will help you decide on the list price for your property. The list price is very important. Listing your property for the correct price the first time will maximize your profit and minimize the time the property is on the market. If you list too high, you could risk the chance of remaining on the market too long. Most properties are shown during their first 45 days on the market, when the listing is still new and exciting.  Additionally, if the property is listed too high, there is risk of the buyer’s appraisal coming in at less than the list price. If this happens, the buyer may not get their loan and the sale is at risk, putting your property back on the market. Having a pre-listing appraisal provides foresight into where the buyer’s appraisal might come in.  It eliminates the opportunity at being blindsided by information later when you thought everything was going effortlessly. The pre-listing appraisal ultimately saves you both time and money.

Making the decision to get a pre-listing appraisal can protect you from unexpected situations such as these. The pre-listing appraisal sets the stage for you and your agent to evaluate your expectations and possibly even adjust the pricing strategy for the property.

Another great reason to get a pre-listing appraisal is it empowers you, the property owner, with the knowledge about what to update in order to increase your property value. You may want to know if you should paint the entire house or install a new bathroom. Although every update a homeowner makes to their property can affect value, not all updates will have an equal effect. We can help assist you in understanding which updates will maximize your profits.  Should you choose to address those items, you can request to have your appraisal updated to reflect the updated value. Doing this will not only help give you a greater profit margin, but will also potentially eliminate any last minute, time consuming requests for repairs that might delay a closing.

Once your house is listed and begins to show, have your listing agent leave several copies of the appraisal out for prospective buyers so they can learn about the actual value of the property. This is not only impressive and helps the potential buyer remember your property, but it also empowers them with this knowledge thereby giving them peace of mind when considering your home for purchase. It will also help prevent “low ball” offers because they can see printed data about how your property is worth their investment.

Where Can I Order a Pre-Listing Appraisal?

Premier Home Appraisals, Inc. is committed to providing you with the knowledge and tools you need as the seller to work with your listing agent to get your home sold quickly and to maximize your returns. Please feel free to contact us with any questions you might have or click here to order your pre-listing appraisal.

Want to Learn More?

To read more about how to prepare your home for an appraisal, please visit our blog page to read an article about How to Ensure an Accurate Appraisal.

For more advice on selling your home, visit Realtor.com