Monday, August 31, 2009
Assuring Accurate Appraisals
An appraisal of a home is always supposed to be a fair, impartial and professional evaluation of a property's true value and not under pressure from special interests. The risk-management tool is designed to assure the owner gets a fair price, the buyer pays the right price and the lender's risk in making the loan is commensurate with the property's true value. Appraisers are typically hired by the lender to protect its stake in a home buying transaction. However, both the seller and the buyer can play a role in the appraisal process through a process of due diligence known as looking over the lender's shoulder. Continue reading.