When you need advice on property valuation and the real estate market in general, but don’t need a complete appraisal for your home, appraisal consulting is the service you will need. In the simplest of terms, appraisal consulting is a service where you consult with a professional appraisal team to answer a question or solve a problem. An appraisal consulting service might result in the appraiser providing you with an “opinion of value” for your property, but not a formal appraisal.
Say you are planning to make a few renovations or repairs to your home. You are getting your home ready for sale and want to focus on the upgrades or repairs that are going to yield the highest return on investment. You might schedule an appraisal consulting session to learn about what kind of improvements you should (or shouldn’t do). An appraiser will be able to provide guidance on what types of features are attracting buyers and selling homes right now — particularly in your area. This knowledge can help you improve your home in such a way that it becomes prime real estate.
Another typical scenario where appraisal consulting is often utilized is in the construction of a new home. A builder or property developer might want to know what is best to build in that particular market—regarding home layout, size, location, features, and more. Consulting an appraiser before designing or building the home would help the developer strategize.
This kind of pre-build consultation might also be beneficial for a private owner looking to build their own home. Even if the owner is planning to live in the house for the foreseeable future; knowing the local market trends and norms would be extremely advantageous. Building a home that is markedly nicer or has way more bells and whistles than anything else in the area can leave owners without an exit strategy if they do eventually decide to sell the home. In any real estate market, buyers exist on a bell curve, with most buyers looking at homes in the middle of the price and value range. Homes that fall extremely to the left or right of this bell curve are always harder to sell.
Appraisal consulting is also popular with property investors, as a means of learning more about real estate markets before they start buying. The investor may be used to the real estate market in a different area, but might want to consult with a local professional when moving into a new market. The appraiser could advise the investor on local buying and selling trends, valuations, features, and more, providing a helpful rubric for every stage of the investment process.
If you require real estate expertise—particularly about buying, selling, pricing, and valuation—but don’t need a formal appraisal, you might take advantage of appraisal consulting. At Authority Appraisals, we frequently advise owners, buyers, builders, and investors to help them gain a more thorough understanding of the real estate market. If you are interested in consulting with our team, Contact Us to schedule an appraisal consulting session.