Nervous About Your House Appraisal? Don’t Be. Here Is How Your Appraiser Calculates The Value Of Your House

How exactly does the appraiser determine the value of your house?

Home appraisals can be scary. You’ve spent so much time listing your house on the market, meeting with your agent, and meeting with the buyer. You’ve accepted an offer, gone over all of the contingencies, and have arrived near the end of the selling process. Every seller gets very nervous come appraisal time, as this is the time when they find out whether or not their home is actually worth what they estimated it was. Here is how appraisers determine the value of your property:

Exterior Condition

The three major roles the appraiser will pay serious attention to are the foundation, walls, and the roof. He or she will be looking for defects in the general construction of the home, as well as for any damage to these components. They will first focus on the roof, then the foundation issues first, because above all, the home must be habitable.

The appraiser reports back to the bank, and the bank wants to make sure that they are not is lending money on a property that does not have the necessary equity. Read: 5 Areas That Can Hurt Your Appraisal.

Property Size

The size of your home and lot are a large factor, so the square footage of the home will make up a large percentage of the appraised value. The more bedrooms and bathrooms you have, the more you can expect the house to be worth. Home buyers like the opportunity to expand and are more likely to desire a property that will allow this. See: Understanding the Home Appraisal Process.

Interior Condition

To an appraiser, the interior condition of the home is equally as important to an appraiser when assessing value. Things like windows and doors, flooring, walls, plumbing, electrical, kitchen and bathroom are all important parts of a home. The appraiser must know about all of these and be able to tell good from bad.

Any Home Improvements 

The appraiser will look for any improvements you have made and the quality of those improvements. A new floor, a renovated bathroom or kitchen, new appliances, or an HVAC system. All of these are considered by the appraiser to determine overall value.

Extras and Additions

Extras and additions include anything that make a home “special.” For example, built-in pools, heated floors, heated toilets, elevators. Even basic things such as fireplaces, garages, or alarm systems. These all add value to your house.

Jose Williams

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One thought on “Nervous About Your House Appraisal? Don’t Be. Here Is How Your Appraiser Calculates The Value Of Your House
  1. Katherine

    Appraisers mainly get their number from “comps.” They are more concerned with those, and the structural aspects of the property. Yes, your living room might have cost $10,000 to decorate, and be beautiful, but he cares about the house is going to ever fall down.


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