Are you trying to refinance with your bank or sell your home and the appraisal comes in at a value lower than expected? Perhaps you are in a divorce situation and you believe the value is too low or too high. Or you have an estate situation where you may pay capital gains – what can you do? An appraisal review is a service we can provide and help you to understand if there is a discrepancy in value or elsewhere.
The first page of the appraisal form report typically describes the subject property, or property being appraised, in detail. This includes information from the tax records like age, square footage, and lot size. It also describes the location, neighborhood, and zoning. In addition, it describes the information about the house itself: room count, style, condition, quality, and amenities. All of this information is reviewed to make sure it is accurate.
By far the most common approach to value is called the sales comparison approach. In this approach, the appraiser selects the most similar and recent comparable sales to the subject property. Important factors to consider are date of closing, location, living area, lot size, age, condition, quality, and room count. The review appraiser not only reviews the comparable sales selected in the original appraisal, but also searches the market (MLS – Multiple Listing Service) to see if there are better and more appropriate comparable sales to use in the analysis.
In the sales comparison approach, each sale selected will be measured up against the subject property in various factors. When there are differences, a monetary adjustment will be made. The review appraiser will look to see if these adjustments were appropriate as well as supported. For example, making a $200 per square foot adjustment for living area, would not be appropriate for a home that is worth $400,000. The appraisal should show support for this adjustment. It is also the review appraiser’s job to observe the interior photos of the comparable sales on the MLS to determine if those adjustments were appropriate.
Once all the adjustments are made the appraiser will reconcile the final estimate of value. Was the original appraiser’s value in the middle of the adjusted range? Were certain comparables weighted higher than others? The review appraiser will read through the report and determine if the reconciliation and final value was accurate.
This section is not applicable to all appraisals however it is an important section if relevant. The review appraiser looks to see if this is an arm’s length transaction. That means the house was exposed to the open market and the sale is between a willing buyer and seller not under duress. This is relevant because if it is not an arm’s length transaction, it could be a factor in determining if it is selling at market value or not. The contract should be analyzed to review any seller concessions (money given to the seller typically toward closing costs) as well as any notes on the listing that could potentially influence value.
If for some reason it is determined that the original appraisal was not accurate, you may be able to have the value reconsidered by the original appraiser if handled appropriately. For bank appraisals, there are proper channels to go through where more appropriate comparables can be submitted for the original appraiser to consider. Or if there are errors in the original appraisal report, notes from the review appraiser can also be submitted through the proper channels. In a divorce case, your attorney may decide that your review appraisal shows that a second appraisal is needed to determine the home’s true value.
If you received an appraisal and believe the value is not accurate, contact American Realty Appraisals for a comprehensive review at 908-233-1337.
Evan from American Realty Appraisals came out to our home last spring to conduct a home appraisal in support of our property tax appeal. He arrived promptly at the agreed time, was very professional and conducted a thorough walk through. We were very satisfied with the results of his appraisal - they were well-researched and accurately captured the features of the home. His appraisal proved to be a crucial element in a very successful tax appeal. I would gladly recommend his services to others.
I was extremely pleased in my experience with American Realty Appraisals. Evan was very knowledgeable and was happy to answer any questions I had. His appraisal was useful in our being able to successfully appeal our taxes. It was worth every penny. He also shared some suggestions on how to shore up insulation efficiency around the house. 5 Star service. thanks!
Evan was extremely helpful in our obtaining a favorable result from our tax appeal and I highly recommend his services
If you want the Do's and Dont's. I would say DO use Evan. It was a very smooth and easy process. He worked around my schedule. His turnaround time was very impressive. Price: He was in line with the other quotes I received. And you DON'T need to worry. I will recommend him and use him again
Prepared the documents to submit for a tax appeal and accompanied me to the tax appeal hearing to present my case. I have used American Realty Appraisals twice and have won my tax appeal each time.
I was appealing my real estate taxes and American Reality did an appraisal on my home. The appraisal went well and as a result the tax appeal was successful and our real estate taxes were lowered.
I was ignoring go through Tax appeal process because I thought it was so cumbersome with very little chance of winning. In this process, I used Evan for a tax appeal. Not only we won but it was very easy and simple process between him and the lawyer. I highly recommend to use Evan, he knows what he is doing!
The tax appeal through you and Lisa Walsh was successful, and you may use me as a reference any time in the future
Evan was great. He was instrumental in helping me to appropriately lower my taxes via an accurate appraisal. I highly recommend his services to anyone in need of an appraisal in NJ.
When the interest rates dropped last year, I decided that it was a good idea to refinance my mortgage. I was recommended to American Realty Appraisals by my mortgage company. They were affordable, expedient, and ultimately put together a very comprehensive report with figures, photos, and local comps. I would highly recommend them to anyone looking for a professional and honest appraisal company.
Evan and his team at American Realty Appraisals are simply the best at what they do. As a mortgage banking professional, I have worked with dozens of appraisal firms over the years and I continually return to American Realty Appraisals when I can for their expert advice and service. I would highly recommend them if you are an individual looking to have your home appraised, or a banker looking to add a high quality appraisal firm to your list of approved appraisers.
Before I went to list my home, I hired Evan at American Realty Appraisals. I wanted an unbiased opinion of what my home was worth. He provided a thorough report that gave me piece of mind and a leg to stand on when it comes time to negotiate. I was also pleased with how fast he turned the report around after the inspection.
I am an attorney in Westfield and I refer all of my clients to American Realty Appraisals. I have worked closely with Evan Siegel for the past two years and I have been impressed with his professionalism, integrity and expertise as an appraiser. Relying on his appraisals, I have been able to negotiate property tax reductions for numerous clients in Union County. I highly recommend American Realty Appraisals for all of your residential real estate appraisal needs.
ARA did a great job of handling my tax appeal. The guidance was spot on and the staff, specifically, Evan Siegel, was professional and knowledgeable. The outcome was excellent and I'm saving a good amount of money on my real estate taxes. Thanks ARA!!
I used Evan for a tax appeal project. It was a seamless operation between him and the lawyer. Zero blips, and we won.
Mr. Siegel performed an appraisal for my home for tax appeal purposes. He was very professional and helped me lower my taxes by 17%. I am quite satisfied with his work.
Highly recommend. Excellent service, professional, prompt. Great result