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Why can't appraisers use foreclosure sales as comparables for determining fair market value for a property they are appraising?
Wiki User
∙ 7y ago
A foreclosure sale is a sale made under duress. Foreclosed properties are sold in order for a lender to try to recapture some of the money that was loaned against the property. The properties sell for any amount that can be obtained, and is not representative of the fair market value.
Wiki User
∙ 7y ago
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What are some of the services Seminole County Property Appraiser offers?
The Seminole County Property Appraisers Office offers a wide range of services to the citizens of Seminole County. Their main function is appraising real estate.
Are museum curators qualified to appraise artifacts and antiques?
Try checking out some school's that can recommend individual experts in the field of appraising... i.e. The International Society of Appraisers, or someone like the Asheford Institute of Antiques. They're likely to have lists of qualified appraisers who've graduated from those organizations that might include museum curators.
Real Estate appraisers are experts at?
Taking a home's worth, analyzing it, and determining the value. They use this information to help buyers and sellers get the most for their homes. A real estate appraiser is an expert at valuing homes. They use this information to help buyers and sellers get the most for their homes. Reach us for the best deals Contact Us: +91 8860646116
What is amv in appraising?
AMV stands for "Asking Market Value" in appraising. It refers to the price at which a property is currently listed for sale on the market, which may not be the same as its appraised value. It is important to consider both the AMV and the appraised value when determining the worth of a property.
Things found in a real estate appraisers office?
A lot of rubber band balls are found in a real estate appraisers office. MAYBE a calculator. Appraisers have it easy really. They look up recent sales, pick out three that usually aren't even close in features to the property they're appraising, then if the sales price of the property they're appraising is even close to the average sales price, it's a done deal. It's quite the racket. Some lenders who pretend they don't have any affiliation with the Appraisers will instruct them to value properties especially low so the bank doesn't have to take much of a risk. Having an appraisal done is the worst part about selling a property. Oh, I know what else can be found in a real estate appraiser's office -- a TV. They probably have a lot of time to watch ESPN.
How do you make an age adjusment for appraising?
It depends what and who you are appraising.
Why can't appraisers use foreclosure sales as comparables for determining fair market value for a property heshe is appraising?
Appraisers use sales of homes that were made as arms-length transactions where neither the buyer was desperate to buy nor the seller was desperate to sell as a basis for comparing other similar properties in an area. A foreclosure property does not meet these criteria because of the nature of the legal process that the house is undergoing. Houses in foreclosure are typically classified as distressed properties, which means that there is something wrong with them that induces the owners to sell for less than the fair market value of the property. In some cases, this might mean a condemned house or one that has been severely damaged or fallen into disrepair. In such cases, the buyers of a distressed house are able to offer the sellers less than what the property would sell for if it was in a fairly decent condition. But these types of houses are also difficult to compare to other houses in the geographic area that are in better condition or where the owners have no added reasons to unload the property. Foreclosure cases work slightly different compared to a house that is falling apart or damaged, but the lack of time many people have to sell before losing the home to a county sheriff sale indicates that the buyers have the upper hand in negotiating a beneficial price in order to complete the sale before the eviction. This is one reason that properties in foreclosure often sell for less than their fair market value or the current market value of similar properties, even if there is nothing physically wrong with them. Appraisers know that the sellers may not even have wanted to sell, which can easily skew comparable valuation data. Properties owned by banks after a foreclosure auction has taken place are little different. In these types of cases, banks may not take care of the houses, or vandals may strip them for any useful resources like copper pipes, for instance. Banks also do not want to own these properties and are often willing to entertain lower offers. But again, these types of sales are not between a disinterested buyer and a disinterested seller -- in most instances of foreclosure, the seller is willing to unload the property for just enough to make it worth their while. Owners want to sell to save the house and their credit from foreclosure, while banks just want to unload foreclosure properties from their balance sheets. Thus, foreclosure properties are not good candidates for comparable sales, except for comparing sales of other foreclosed homes. Appraisers would much rather use home sales that were not done under duress, because a certain home was condemned, sales between family members, or foreclosures. The values have too great a tendency to become distorted.
Antonym for appraising?
Neglect and ignore are the two antonyms for appraising. Some synonyms are audit, assess, and price. The word appraising is a transitive verb.
How can the word appraising be used in a sentence?
I'll be doing the appraising around here!
What has the author Kenneth McConville written?
Kenneth McConville has written: 'Appraising an investment appraisal' 'Appraising an economic appraisal'
What is a synonym for obersving?
watching, seeing, appraising
What do appraisers look for when appraising a home?
Appraisers look at a homeÕs proximity to public utilities such as schools and transport, the floor the apartment is located on, property size, and the exterior of the home such as foundation, condition of the house, interiors such as the floor, walls, windows, lighting and their general condition. The homeÕs extra features such as air conditioning, fireplace, garage and swimming pool are of utmost importance to appraisers.
