Appraisal question

[yellowsnow]

Flat fee. Here usually 3 to 4 hundred.

[Roselvr]

Originally Posted by wCat

I've talked to several people in other areas recently and the topic of real estate appraisals came up.

I'm just curious how appraisers in different areas charge homeowners? By the square foot/lot size?
Or a flat fee? And if by square foot....the average per square foot?

Thanks!

We had 2 done on 2 different properties for different reasons.

House 1 - for sale - $250 charge - it wasn't that involved, a basic appraisal with 3 to 5 houses used as comps. I called a guy out to paint the house; he was interested in buying. We had the appraisal done to show him the price my dad wanted was a good deal. Painter ended up backing out, disappearing one day, never to be heard from again. So he wasted months of our time.

House 2 - new home, taxes were outrageous. $450 charge because he was doing more work and had my dad lived would help him do whatever was needed if we fought the taxes.

Originally Posted by doni

thnx...we will call tomorrow...I realize things need to be in servicable condition..but I think cherry and maple cabinets and marble bathrooms should carry some weight. We'll
see what her worksheet was like. We just want to see where she applied the numbers to come up with the appraisal. Like I said, we are not unhappy..(it was a little higher than we anticipated!) But still We would like to understand her numbers.My husband sold real estate for 7 yrs and he doesn't know either.

Is it possible that these things are expected in your area or as was mentioned could be considered over improving (for my area it would be over improving)

[TimtheGuy]

I think most of the posters missed that fact that you mentioned a 6,000 and a 10,000 square foot homes. These are going to be more work for an appraiser and the report is going to cost more. Appraisers often use the sales price/value as price points ie:

under $500k...$350
$500k-$1mil...$500
over $1mil...$800

etc.

Here in MN it currently averages $350 for your "run of the mill" homes.

[wCat]

Originally Posted by TimtheGuy

I think most of the posters missed that fact that you mentioned a 6,000 and a 10,000 square foot homes. These are going to be more work for an appraiser and the report is going to cost more. Appraisers often use the sales price/value as price points ie:

under $500k...$350
$500k-$1mil...$500
over $1mil...$800

etc.

Here in MN it currently averages $350 for your "run of the mill" homes.

Thank you Tim....for helping me clarify. I was sort of getting the idea that the prices mentioned were for an average home. And yes....one house has a pool/cabana house and other outbuildings....plus 4 stories and an elevator.

Doni....I would definitely question the appraiser if you feel it's low. Ask your realtor for a list of good appraisers. One of these clients had a low ball appraisal because the basement didn't have a bathroom, so he completely disqualified it as part of the square footage. This room is completely finished out with AC and is a very VERY nice extra 1000 sq feet! They got another appriaser out, and he allowed the sq footage but figured it in at about .75.

All the extras were listed as well as the house being 60 years old, but completely updated and upgraded. Their upkeep and added value in granite and other finishouts definitely figured into the bottom line. These were things like you mentioned that were over and above the things that were expected. This particular neighborhood is a mix of old and new, so the comps are a mixed bag. This appraiser definitely knew the neighborhood well and knew the market and what buyers are willing to pay for!

[Pragmaniac]

Originally Posted by wCat

I've talked to several people in other areas recently and the topic of real estate appraisals came up.

I'm just curious how appraisers in different areas charge homeowners? By the square foot/lot size?
Or a flat fee? And if by square foot....the average per square foot?

Thanks!

An appraiser's fee is determined by the complexity of the assignment. It should not be directly determined by anything else, especially the appraised value or sales price. That introduces a direct conflict of interest.

The size of the house or lot does not directly determine an appraisal fee, but may do so indirectly. A house that has 20,000 square feet of living space will likely be a very complex appraisal assignment, take more time to measure, and the methodology of determining value may be quite involved.

When doing work for lenders it becomes impractical to have a different fee for every assignment, so appraisers typically have standardized fees for the typical house in the market. For typical residential assignments the fees can range from $200 to $750, or higher. If the house only varies from what is typical by just a little, there is usually no variance from the standard fee. Appraisers get some assignments that are a little easier than typical, and some that are a little more complex, so its a wash. Complex residential assignments however, can have appraisal fees that go well into the thousands.