There are many reasons why you may need an appraisal. Following are some of the most common:

To Get a Loan
Whether you are purchasing a home, refinancing an existing loan on your home, or opening a 2nd mortgage or home equity line, your lender will likely need to have an appraisal done on your home. There are several different types of appraisals and the requirements vary by lender. Many lenders have their own process for ordering an appraisal and may already have an appraiser in your area that they regularly use. It is important that the appraiser is not only a well trained, thorough professional, but also that they are familiar with your area.

AppraiserSource.com lists appraisers by zip code and county so that you can find someone who is located nearby and who is more likely to have expertise in your particular neighborhood.

Property Tax Appeal
Guidelines for a Property Tax Appeal can vary significantly by City, County and State. In most cases, however, the first step is going to be establishing the market value of your property. In order to reduce your property taxes you must prove that the value of your property is less than the assessed property valuation. A recent bonafide arms length sale of the subject property is the best evidence. If the property was not recently purchased, or the purchase was not at arms length, an appraisal by a state certified appraiser is the next best indication of value.

AppraiserSource.com lists appraisers by zip code and county so that you can find someone who is located nearby and who is more likely to have expertise in your particular neighborhood. Please contact you local tax assessor’s office for information specific to your area.

PMI Removal (Private Mortgage Insurance)
If you purchased your home with conventional financing with a down payment less than 20 percent, there is a good chance that you are paying for private mortgage insurance. Private mortgage insurance (commonly referred to as PMI) protects the lender or investor against loss if a borrower stops making payments. This premium can range from $20 up to over $100 per month. Some homeowners pay this insurance for many years after it is no longer needed. You can imagine how much this could cost over the life of the loan.

Once you have reached at least 20 percent equity in your home, you can request that the lender cancel your private mortgage insurance. This equity may come through paying down the principal balance on your loan, through improvements made to the property, or by the normal increase that comes over time in an appreciating market. The requirements may vary by lender with regards to what steps are needed. Typically all you have to do is request in writing that your private mortgage insurance be canceled which may include filling out a brief form. You must also provide the lender with proof of the necessary equity. This proof is typically made by providing an appraisal completed by a state certified appraiser. AppraiserSource.com lists appraisers by zip code and county so that you can find someone who is located nearby and who is more likely to have expertise in your particular neighborhood.

The Homeowners Protection Act requires servicing lenders to make homeowners aware of the existence of any PMI Insurance they might be paying for and the requirements necessary to have it cancelled. It is not necessary, however, to wait for the lenders notification to rid yourself of private mortgage insurance.

The following links may offer some additional information regarding PMI:

www.fanniemae.com/news/pressreleases/0329.html
www.pmigroup.com/
www.hsh.com/pamphlets/mgicpmi.html
www.frbsf.org/publications/consumer/pmi.html

Selling Your Own Home
Selling your own home has become a popular alternative to using a professional real estate agent. The primary reason being the thousands of dollars you can save in real estate commissions. Although there are distinct advantages, there are also reasons to consider using a real estate professional. They are best equipped with information about the marketplace and can be extremely helpful throughout the negotiating and contractual stages of the sale. Additionally, they have access to many qualified buyers through the local Multiple Listing Service. Whichever route you decide to take, be sure to do your homework so that you are making an informed decision.

An appraisal can be an extremely helpful tool to help establish market value. Before even placing your home on the market, you can enlist the services of a professional real estate appraiser. An appraisal will provide you with an unbiased, realistic perspective on the market value of your home and trends in the neighborhood. This can help to determine an asking price. Additionally, the appraisal might be used as a negotiating tool when offers are made on your home. A state certified appraisal also gives the seller strong support for whatever counteroffer may be made. A seller might also offer an appraisal report as incentive to assist the buyer in securing a loan for the new purchase.

AppraiserSource.com lists appraisers by zip code and county so that you can find someone who is located nearby and who is more likely to have expertise in your particular neighborhood.

Following are some helpful links with tips and other resources for selling your own home.

www.soldbyowner.com/tips.html
www.home_buyer_seller_tips.com/seller.htm