{"id":1416,"date":"2021-01-26T15:43:47","date_gmt":"2021-01-26T15:43:47","guid":{"rendered":"https:\/\/phphouses.com\/blog\/?p=1416"},"modified":"2021-01-26T15:43:47","modified_gmt":"2021-01-26T15:43:47","slug":"whats-difference-appraisal-home-inspection","status":"publish","type":"post","link":"https:\/\/phphouses.com\/blog\/whats-difference-appraisal-home-inspection\/","title":{"rendered":"What\u2019s the Difference between an Appraisal and a Home Inspection?"},"content":{"rendered":"
\"\"

What\u2019s the Difference between an Appraisal and a Home Inspection?<\/p><\/div>\n

If you\u2019re planning to buy a home, an\u00a0appraisal<\/strong><\/a>\u00a0is an important\u00a0step<\/a>\u00a0in the process. It\u2019s a professional evaluation of the market value of the home you\u2019d like to buy. In most cases, an appraisal is ordered by the lender to confirm or verify the value of the home prior to lending a buyer money for the purchase. It\u2019s also a different step in the process from a\u00a0home inspection<\/strong>, which assesses the condition of the home before you finalize the transaction. Here\u2019s the breakdown of each one and why they\u2019re both important when buying a home.<\/p>\n

Home Appraisal<\/strong><\/h4>\n

The\u00a0National Association of Realtors\u00a0<\/em>(NAR)\u00a0explains<\/a>:<\/p>\n

\u201cA home purchase is typically the largest investment someone will make. Protect yourself by getting your investment appraised!<\/em><\/strong>\u00a0An appraiser will observe the property, analyze the data, and report their findings to their client. For the typical home purchase transaction, the lender usually orders the appraisal to assist in the lender\u2019s decision to provide funds for a mortgage.\u201d<\/em><\/p><\/blockquote>\n

When you apply for a mortgage, an unbiased appraisal (which is required by the lender) is the best way to confirm the value of the home based on the sale price. Regardless of what you\u2019re willing to pay for a house, if you\u2019ll be using a mortgage to fund your purchase, the appraisal will help make sure the bank doesn\u2019t loan you more than what the home is worth.<\/p>\n

This is especially critical in today\u2019s\u00a0sellers\u2019 market<\/a>\u00a0where low\u00a0inventory<\/a>\u00a0is driving an increase in\u00a0bidding wars<\/a>, which can push home\u00a0prices<\/a>\u00a0upward. When sellers are in a strong position like this, they tend to believe they can set whatever price they want for their house under the assumption that competing buyers will be willing to pay more.<\/p>\n

However, the lender will only allow the buyer to borrow based on the value of the home. This is what helps keep home prices in check. If there\u2019s ever any confusion or discrepancy between the appraisal and the sale price, your trusted real estate professional will help you navigate any additional negotiations in the buying process.<\/p>\n

Home Inspection<\/strong><\/h4>\n

Here\u2019s the key difference between an appraisal and an inspection.\u00a0MSN<\/em>\u00a0explains<\/a>:<\/p>\n

\u201cIn simplest terms, a home appraisal determines the value of a home, while a home inspection determines the condition of a home.\u201d<\/strong><\/em><\/p><\/blockquote>\n

The home\u00a0inspection<\/a>\u00a0is a way to determine the current state, safety, and condition of the home before you finalize the sale. If anything is questionable in the inspection process \u2013 like the age of the roof, the state of the HVAC system, or just about anything else \u2013 you as a buyer have the option to discuss and negotiate any potential issues or repairs with the seller before the transaction is final. Your real estate agent is a key expert to help you through this part of the process.<\/p>\n

Bottom Line<\/strong><\/h3>\n

The appraisal and the inspection are critical steps when buying a home, and you don\u2019t need to manage them by yourself. Let\u2019s connect today so you have the expert guidance you need to navigate through the entire homebuying process.<\/p>\n

 <\/p>\n

Contact us:<\/strong>
\nPHP Houses
\n142 W Lakeview Ave
\nUnit 1030
\nLake Mary, FL 32746
\nPh:\u00a0(407) 519-0719<\/span>
\nFax:\u00a0(407) 205-1951<\/span>
\nemail:\u00a0info@phphouses.com<\/p>\n

Let\u2019s Connect:<\/strong>
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THE INFORMATION PRESENTED IN THIS ARTICLE IS FOR EDUCATIONAL PURPOSES ONLY AND SHOULD NOT BE CONSIDERED LEGAL, FINANCIAL, OR AS ANY OTHER TYPE OF ADVICE.<\/em><\/h5>\n","protected":false},"excerpt":{"rendered":"

Here\u2019s the breakdown of each one and why they\u2019re both important when buying a home. Finish Reading What\u2019s the Difference between an Appraisal and a Home Inspection?<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[1],"tags":[312,313,27,91,41,86,52,314,25,9,315,49,42,40,63,20,12,48,13,47,19,17],"_links":{"self":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts\/1416"}],"collection":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/comments?post=1416"}],"version-history":[{"count":1,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts\/1416\/revisions"}],"predecessor-version":[{"id":1418,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts\/1416\/revisions\/1418"}],"wp:attachment":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/media?parent=1416"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/categories?post=1416"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/tags?post=1416"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}