Don’t let the appraisal process surprise you—here’s what to expect.

When selling your home, the appraisal process is a critical step that can impact your sale. Whether you’re in Burbank real estate or anywhere else in the Los Angeles area, understanding what to expect during the appraisal can help ensure the process goes smoothly. As your trusted Realtor in Burbank, I want to break down the appraisal process for you and share what you can expect as a seller.

What Is a Home Appraisal?

Before diving into the process, let’s briefly go over what a home appraisal is. An appraisal is an unbiased estimate of your home’s value, conducted by a licensed appraiser. This step is often required by the buyer’s lender to confirm that the home’s value matches the loan amount they're offering.

1. Why Is an Appraisal Necessary?

In a nutshell, the appraisal protects the lender and the buyer. For the lender, it ensures they’re not offering a loan higher than the home’s true market value. For the buyer, it provides reassurance that they’re paying a fair price. For you as the seller, it gives you insight into how the market perceives the value of your home.

2. What Happens During the Appraisal?

During the appraisal, the appraiser will inspect your home both inside and out. Here’s what you can expect:

• Exterior Inspection: The appraiser will assess your home’s curb appeal, including the condition of the exterior, roof, windows, and landscaping.
• Interior Inspection: Inside the home, the appraiser will examine the condition of rooms, flooring, walls, and ceilings. They will also take note of upgrades, square footage, and the layout.
• Comparative Market Analysis: The appraiser will also look at comparable sales (comps) in your neighborhood to help determine your home’s market value. This is why working with a Burbank real estate agent with local market expertise is so crucial—it helps ensure your home is priced right for the appraisal.

3. How Long Does the Appraisal Take?

Typically, an appraisal takes about 30 minutes to an hour, depending on the size and condition of the home. The appraiser will need to take measurements, evaluate the property’s features, and sometimes ask the seller or agent questions about the home’s history or improvements.

4. How Should You Prepare for the Appraisal?

While you can’t control the appraiser’s evaluation, there are a few steps you can take to make the process easier:

• Make Necessary Repairs: Fix any obvious issues, like broken windows, plumbing leaks, or major appliances that aren’t working. An appraiser will take note of the home’s condition.
• Provide Documentation: If you’ve recently made upgrades or renovations to the property, have the documentation ready. This includes receipts, permits, or warranties for improvements like a new roof or kitchen remodel.
• Keep the Home Clean and Accessible: Make sure the appraiser can easily access all areas of the home, including the attic, basement, and any other spaces they may need to evaluate.

5. What Happens After the Appraisal?

Once the appraiser completes their inspection, they’ll compile a report detailing their findings and submit it to the buyer’s lender. The lender will then use this report to decide whether or not to approve the buyer’s loan based on the appraised value of the home.

If the appraisal comes in at or above the sale price, you’re good to go! However, if the appraisal comes in below the agreed-upon sale price, the buyer’s lender may not approve the loan unless you adjust the price or the buyer brings in additional funds.

6. Common Appraisal Issues to Be Aware Of

While a low appraisal is not always a deal-breaker, it can complicate the process. Here are a few potential issues that might arise:

• Overpricing: If the home is overpriced compared to the market, it can lead to a lower appraisal. This is why working with an experienced Burbank real estate agent who understands local market conditions is critical to pricing your home correctly.
• Condition of the Property: Homes in poor condition or those that need significant repairs may not appraise well. Keeping your home in good condition is essential for maximizing its value.
• Local Market Conditions: In a seller’s market, appraisers may struggle to match the high demand for homes with actual sale prices. In this case, working with a real estate agent who has local expertise can help you navigate any challenges that arise.

7. How to Handle a Low Appraisal

If your home appraises for less than the sale price, there are several options:

• Renegotiate the Price: The buyer may ask you to lower the sale price to match the appraised value.
• Appeal the Appraisal: If you believe the appraisal was inaccurate, you can challenge the appraisal and ask for a second opinion.
• Buyer’s Option: If the appraisal comes in low, the buyer may be able to bring additional cash to the table to make up the difference, or they might back out of the deal altogether.

8. Final Thoughts

The appraisal process is an essential part of selling your home, but with the right preparation and support from a Realtor in Burbank like me, you can navigate it smoothly. Remember that appraisals are based on objective data, and while you can’t control the outcome, you can ensure your home is presented in the best possible light.

If you're ready to sell your home in Burbank and want expert guidance throughout the process, give me a call! I’ll help you navigate every step of the process, including the appraisal, to ensure you get the best possible outcome.