Eli5: How do appraisers, appraise a building what kind of consideration do they see then the normal eyes in order to asses a building or property?
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There are different types of appraisals that go into varying degrees of depth. I won’t remember all the details but from what I do recall:
The cheapest way of obtaining an appraisal involves the appraiser simply taking the details of the building and comparing it to sales of similar buildings within a certain timeframe and geographical area.
Beyond that there is what was called (probably still is) a curbside appraisal. This involves the same amount of analysis as the previous version but also includes a visit to the premises to make a visual appraisal and take photographs. The appraiser does not typically enter the building in this type of appraisal.
Then comes a full appraisal which involves all of the above plus an on site inspection to take detailed information for a more complete evaluation of both the property’s added value as well as it’s faults.
I’ve never been an appraiser, so the information above could be improved upon in sure, but I used appraisers when I worked in mortgage lending so I was pretty familiar at the time with how they worked.
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