Bad Credit Remortgage - 5 Questions to Ask a Real Estate Appraiser So You Get a Good One

People with bad credit about to remortgage or refinance have less room for mistakes. Everyone, no matter why they’re having their home appraised should get the best appraiser to do it.

But how can you tell a good appraiser from a bad one. It’s not like you rub shoulders with them all the time. Even if someone recommends an appraiser to you, the reason they were happy with that appraiser often has nothing to do with the appraiser’s skills as appraiser; often it has to do with how friendly and agreeable that appraiser was. You need better.

Here are 5 questions you can ask appraisers when you are interviewing them so that you have a better idea of what kind of appraiser you are dealing with. You should ask them even if they are hired by the lender. And if you don’t like their answers do not let them come to your home. Instead, tell the lender to hire another appraiser.

1. Do you have to go into the attic or crawl space of a house you’re appraising?

Unless you’re hiring them directly and you’re the only person who’s going to use the appraisal and you told them they do not have to, the correct answer is Yes. FHA requires this specifically.

Common sense says that since the value appraisers come up with is based on the condition of the entire property, they should know the condition of the entire property. If that’s not possible, they have to comment on it, let you know what assumptions they are making and why. They might be assuming that the attic is in good condition, for instance. They might be doing it because you said it is and they believe you. Even so, the appraisal has more meaning to you if you know that’s what they did.

2. Do you take your own photos of the comparable properties?

One of the things an appraisal report has to have is certifications. One of the certifications (for a full appraisal) is I have personally inspected the interior and exterior areas of the subject property and the exterior of all properties listed as comparable. So the correct answer is, Yes, I do.

3. Have you appraised in this neighborhood before? What kind of properties?

Two correct answers here.

a) Yes, I have. I appraised x number of houses just like yours.

b) No, I have not. I have done the following to get ready for the appraisal. Then they list things like, I partnered up with an appraiser who’s done lots of appraisals in this neighborhood, on this type of property; or like, “I am going to drive through the neighborhood, go to the township office, speak to the people at the Development Department at your town hall or some other ideas that common sense says are good ways for them to familiarize themselves with your neighborhood.

4. Can you give me a rough idea of what my house is worth when you get here?

The correct answer is: I do not know. I will not know until I’m done with the appraisal.

By the way, be wary of appraisers who want to know what you think your home is worth. Some of them do it because they will use that as a guideline. It allows them to not look at sales that are too far from that number.

5. Does the appraisal cost more if the house is more expensive? Or something else on those lines.

The correct answer is: No. The fee for appraising more expensive houses is often higher but that is because those houses are larger, sit on larger lots, have one or more features that make them more difficult to appraise (they either take more specialized skill or more time to appraise).

You want to work with appraisers who have a base price and then add based on level of difficulty. $400 base price; add $50 for houses over 2,500 square feet, another $50 for houses over 4000 square feet. Add $50 for each apartment over 2. Add $100 if your home is a luxury home. For high end luxury homes, please call. Something like that.

The best time to set the fee is after appraisers learned what type of property they are dealing with. You should not mind paying more if you have a larger house, an atypical house, a house that takes more skill or more time to appraise.

Do not hire appraisers because they are cheap. Do not hire them because they are the most expensive. But keep in mind that the ones who charge more tend to do it because they know more and are able to produce. Keep in mind that it takes skill and time to produce a good appraisal.

Here is a bonus question: Do you have to measure everything even if I give you a survey? The correct answer is: No. But I do have to verify that the survey is correct. (The way to verify is to measure for yourself a few walls.)

So interview the appraisers before they come to see your property. There is a huge difference between good and bad appraisers and you don’t want a bad one, especially if you are about to remortgage and you have bad credit. You most certainly can’t afford a lousy appraisal.

Did you find this article helpful? Find more remortgage information at http://www.RemortgagesBadCreditOrNot.com