So, you own a property you’re not planning to sell anytime soon. Maybe you’re curious about its current market value, considering renovations, or need an appraisal for insurance or estate planning purposes. The question arises: can you get a professional real estate appraisal even if your property isn’t officially on the market?
The short answer is yes, absolutely. However, understanding the reasons behind your need and the process involved will make the experience smoother. There are several legitimate reasons why you might need a real estate appraisal for a property that’s not for sale. These include:
- Insurance purposes: Your insurance company may require an updated appraisal to ensure your coverage adequately reflects the current market value of your property. This is particularly important after significant renovations or in areas experiencing rapid property value changes.
- Estate planning: As part of estate planning, an appraisal provides an accurate valuation for inheritance tax purposes or to fairly distribute assets among heirs.
- Divorce settlements: In divorce proceedings, an independent appraisal can help determine the fair market value of the marital home, avoiding disputes and ensuring a just division of assets.
- Tax assessment appeals: If you believe your property tax assessment is too high, a professional appraisal can provide the evidence needed to support your appeal. This can save you significant money over time.
- Personal knowledge: Simply wanting to know the current market value of your home for your own information is a perfectly valid reason. This can help inform decisions about renovations, refinancing, or future financial planning.
The process of obtaining an appraisal for a non-listed property is largely the same as for a property on the market. You will need to contact a qualified and licensed appraiser in your area. They will likely require access to the property for an interior and exterior inspection.
They will also need information about the property, including its size, features, recent sales of comparable properties in the neighborhood (comparables or “comps”), and any recent renovations or improvements.The cost of an appraisal will vary depending on the size and complexity of the property, the appraiser’s fees, and your location. It’s crucial to choose a reputable appraiser with experience in your area to ensure an accurate and reliable valuation. Don’t hesitate to ask for references and check their credentials
Conclusion
Obtaining a real estate appraisal for a property not currently for sale is entirely feasible and often necessary for various reasons. Whether for insurance, legal matters, or personal knowledge, understanding the process and selecting a qualified appraiser will ensure you receive an accurate valuation and achieve your desired outcome.
Remember to be prepared to provide the appraiser with all necessary information to expedite the process and receive your report in a timely manner. Don’t delay in seeking an appraisal if you need one; it’s an investment in your financial security and understanding of your property’s worth.