Is it better to do inspection or appraisal first?

When it comes to buying or selling a home, determining whether to do an inspection or appraisal first can be a common dilemma. Both processes are important in the home buying and selling process, but the order in which they are done can impact the overall transaction. So, which should come first?

Typically, it is better to do the inspection first before the appraisal. This is because the inspection will reveal any potential issues or repairs needed in the home, which can have an impact on the home’s value. By knowing the condition of the home upfront, you can better assess if the asking price is fair and negotiate any necessary repairs with the seller.

Here are a few FAQs related to this topic:

1. What is a home inspection?

A home inspection is a thorough examination of a property’s condition, typically performed by a licensed home inspector. The purpose of an inspection is to identify any potential issues or structural problems with the home.

2. What is a home appraisal?

A home appraisal is an unbiased estimate of a property’s value, typically conducted by a licensed appraiser. The purpose of an appraisal is to determine the fair market value of the home.

3. Why should I do an inspection before an appraisal?

Doing an inspection before an appraisal allows you to identify any potential issues with the property that could impact its value. This can help you make a more informed decision about the property’s true worth.

4. Can I skip the inspection and go straight to the appraisal?

While it is possible to skip the inspection and go straight to the appraisal, it is not recommended. An inspection can reveal important information about the home’s condition that an appraisal may not uncover.

5. What happens if the inspection reveals issues with the property?

If the inspection reveals issues with the property, you can use this information to renegotiate the purchase price or request that the seller make necessary repairs before closing.

6. Does the appraisal take into account the condition of the home?

While appraisers do consider the overall condition of the home during their assessment, they do not perform a detailed inspection like a home inspector would. This is why it is important to have an inspection done first.

7. How much does a home inspection cost?

The cost of a home inspection can vary depending on the size and location of the property, as well as the specific services offered by the inspector. On average, a home inspection can cost anywhere from $300 to $500.

8. How much does a home appraisal cost?

The cost of a home appraisal can also vary depending on the location and size of the property, as well as the complexity of the appraisal. On average, a home appraisal can cost anywhere from $300 to $800.

9. How long does a home inspection take?

A typical home inspection can take anywhere from 2 to 3 hours, depending on the size and condition of the property. The inspector will evaluate all accessible areas of the home, including the roof, foundation, plumbing, electrical, and more.

10. How long does a home appraisal take?

A home appraisal can take anywhere from a few days to a week to complete, depending on the availability of the appraiser and the complexity of the appraisal. The appraiser will visit the property, evaluate its condition, and compare it to similar properties in the area to determine its value.

11. Can I use the inspection report to negotiate the price?

Yes, the inspection report can be used to negotiate the purchase price with the seller. If the inspection reveals significant issues with the property, you can ask the seller to lower the price or make necessary repairs before closing.

12. Can I waive the inspection contingency in my offer?

While it is possible to waive the inspection contingency in your offer, it is not recommended. An inspection can provide valuable information about the property that may not be apparent during a visual inspection. It is always better to know the condition of the home before making a purchase.

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