Experienced real estate developer Babak “Bobby” Bagheri founded North Development in 2020. Babak Bagheri monitors everything from architectural design to construction. He supervises projects from start to finish, including the sale of real estate and residential properties.
When it comes to real estate, an overvalued asset may result in significant loss for the purchaser. If the buyer acquires the property via mortgage lending, foreclosure may become problematic for the lender if the borrower defaults, since the lender will be unable to recover their money via foreclosure of the property.
Home appraisal refers to the process of having a qualified professional evaluate a home to determine its worth. The experts who carry out the valuation have to be unbiased in their approach, as this could compromise either the buyer or seller.
Determining the actual value of a property follows a set process. First, the expert who carries out the analysis must evaluate the property in person. They will compare the property with recent sales of similar properties. They must also be conversant with current real estate market trends. A home appraisal is typically done in purchase-and-sale as well as refinance transactions.
If the transaction is purchase-and-sale, the appraisal will help the buyer confirm if the price is valid. If the transaction is a refinance transaction (where a borrower obtains a new loan in an effort to settle accruing debt), the lender can ensure they are not paying higher than the property is worth.
No comments:
Post a Comment