Pre-Listing Home Appraisal And Home Inspection: Pros and Cons

Most sellers in Chicago and Chicago Suburbs, Illinois draw a blank when it comes to putting a price tag on their homes. They don’t have any idea as to how they should conduct a Comparative Market Analysis (CMA), a study of homes of similar size and condition sold in a neighborhood in the recent past, and how an array of factors including appearance and location influence a property’s asking price. In order to avoid any confusion, homeowners usually conduct a pre-listing home appraisal, which is basically to hire a professional to appraise the value of a property. An appraiser takes into consideration all the factors to evaluate the value.

While pre-appraisals have become quite common in Chicago, most home sellers are yet to warm up to the idea of conducting a professional pre-inspection.

Let’s discuss in this article what things home sellers should know before ordering a pre-appraisal, how they can get it for free and why it is important to conduct a pre-inspection also:

Important Things To Do Before You Order A Pre-Listing Appraisal

  • It’s very important that you hire an appraiser who is familiar with your local real estate area. Property prices fluctuate all the time. An appraiser who doesn’t have firsthand knowledge of your real estate market can make serious mistakes while evaluating the price your home. You may wind up losing thousands of dollars.

Home appraisals work is key to knowing the value of your home

  • Declutter and deep-clean your home before scheduling an appointment with an appraiser. It’s very important because how your home appears will have a great deal of impact on the appraised value. Making small cosmetic repairs like removing stains from carpet or replacing broken hinges can make a big difference. You can hire a professional cleaning service to make your home look great on the day of home appraisal.

The home appraisal is based on your property information & recent comps in your neighborhood.

  • Explain the most attractive features of your home to the appraiser. Don’t assume that since he is a professional, he would already know everything. If a close proximity to amenities is a selling point for your home, bring this to the notice of your appraiser. Have an open discussion on all the factors which will influence your appraiser’s report.

Keep in mind that an appraisal report can actually help you sell your home for the right price. If your appraiser estimates the value lower than the actual price, you will leave a lot of money on the table. Make sure that you get the value of your home evaluated by not just by any appraiser, but an experienced professional.

How To Get A Free Home Estimator

An appraiser’s primary job is to estimate the value of a property. Well, no one can evaluate a home’s value more accurately than a real estate agent who has experience of working with sellers like you in your community. Real estate agents keep a hawk eye on fluctuations in property prices and how various factors affect a home’s value. An experienced real estate agent can even suggest what small modifications can add value and help you net more money.

The Delphine Team provides a detailed Comparative Market Analysis (CMA) report to homeowners.

Here at Delphine Team, we provide a home estimation for free. Sellers will know what price range they should sell without paying the appraiser.

We have extensive experience working with homeowners in Chicagoland. We conduct comparative market analysis to evaluate a property’s value on a regular basis and also keep a tab on fluctuations in the market. We know what issues can have which type of impact on your asking price.

You can call us anytime for a free consultation and have your home evaluated completely free of cost. 

Why Pre-Home Inspection Is a Great Idea

Most people believe home inspection and appraisal to be the same thing, but they are completely different. An appraisal primarily focuses on estimating the value of your home, while an inspection reveals defects and problems.

Most home sellers don’t conduct pre-inspection primarily because they believe it to be a complete waste of money. Buyers would anyway conduct a home inspector, so why bother. But nine times out of ten, a home inspection by the seller can be a smart move. Here is why:

  • A pre-inspection will give you piece of mind as you will know beforehand what issues with the property could be a deal breaker. You won’t beat your head over what problems home inspection ordered by the buyer could reveal.

The pre-sale home inspection provides a written report as to the condition of the property.

  • You will be prepared to negotiate on any potential issues that home inspection conducted by the buyer’s home inspector may reveal. Having an edge over the negotiation table can go a long way in selling your property for the right price.
  • You will know what repairs you absolutely need to make before listing your property. You will able to able to avoid wasting money on repairs and renovations that don’t add any value.

Buyers can negotiate to reduce the price if they see issues show up on the inspection report.

  • The only potential pitfall is that you will have to reveal any defects your home inspection revealed in the seller disclosure statement. While you may think it won’t help your case, it’s basically a good thing. The home pre-inspection will also establish a relationship of trust between you and the buyer. Most buyers will appreciate your being forthcoming about defects with the property. Trust plays a great role when such a huge amount of money is on the table.
  • A pre-home inspection will speed up the closing. Since you will already be aware of potential issues, you will be ready whenever they come up for negotiations during the property transaction process. You will have already either fixed the problems or thought of how to negotiate your way out of them.

Another thing you need to keep in mind when conducting a pre-inspection is that it is possible your report is slightly different from that of the buyer. Don’t be too worried about this. You can explain to the buyer that it can happen and discuss the new issues that the buyer’s home inspection report revealed. You need to understand that a buyer would give priority to his or her inspection report and demand repairs accordingly.

In Conclusion

Real estate is an ever changing market. Prices go up and down all the time. The estimate of your home’s value should be based on current market conditions. It will help you sell your home quickly and for the right price. Carefully read and follow the steps you read in this blog and you will likely make the most out of the sale.

Contact The Delphine Home to know how much your home is worth in today market.

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