estimate, the buyer offers the asking price. When a professional appraisal comes in at $800,000, and the existing tax records assess the home at $750,000, the buyer wonders why the values are so different and whether he/she overpaid. The house was listed at $825,000 because, at that price, the home would sell in a reasonable amount of time. Why would the appraised value not be whatever a buyer was willing to pay? The fact that they paid $825,000 does not mean that is the true value of the home. Certain factors may weigh in — undesirable businesses located near the property, for example. Online valuations don't consider the condition of the property, the floorplan, or the qualities of the neighborhood. Since an assessed home value is for tax purposes only, it can be much more or much less than the market value because the tax appraiser does not physically inspect the property. Ideally, they should be the same as a formal appraisal but usually not. The appraised value is determined by a professional who must physically inspect the property. The appraiser will consider the title, seller motivation, location, size, condition, upgrades, and potential development. What an appraiser does not consider are paint colors, floor plans, elevation style, and fixtures which still can affect the value.
LIVING IN A SWIRLING FISHBOWL
A house on the market requires keeping the home in a constant “show-ready” condition, and adjustment to changes in day-to- day life that are inherent in the process. Sellers get out-of- business- hours phone calls from unrepresented prospects and buyers’ agents to show the home; frequent updates by phone, email, and text and show appointment scheduling messages from the listing agent; repair and reconditioning appointments; and inspections. The house may be photographed for online, periodical, or brochure presentations.
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