How Long Does a an Appraisal Take?

July 21, 2024 by Georges Benoliel

The appraisal process is a crucial step in buying, selling, or refinancing a property. The home inspection portion of an appraisal typically takes between 30 minutes and 2 hours. However, the entire appraisal process can take three business days to two weeks, from scheduling to getting the report. The appraiser must also perform a home comparison and prepare their report. Here’s what you can expect:

Home Appraisal Process Duration

Once the lender has hired an appraiser, the appraisal report can be completed in a few days to a couple of weeks. The appraisal process involves three steps: conducting a home inspection, comparing similar homes, and compiling the report.

1. Hiring an Appraiser: 1 Day
2. Appraiser Home Inspection: 1 Day
3. Appraiser Home Comparison: 1 Day
4. Appraiser Report: 1 to 5 Days

 Hiring an Appraiser: 1 Day

Once the house is under contract, you must start negotiating with mortgage lenders. Once you find a lender with agreeable terms, the lender will ask for an appraisal. The appraisal needs to be approved by the lender before you can close on the mortgage.

The lender will usually recommend a few appraisers; you’ll need to hire one to perform the appraisal. On average, a home appraisal costs $800, but the exact amount depends on several factors, including the appraiser’s expertise and the home’s location.

2. Appraiser Home Inspection: 1 Day

Once an appraiser has been hired, they will arrange a visit to inspect the house inside and outside. To get a comprehensive understanding, the appraiser may request details about any significant home improvements or repairs from the seller or broker.

The inspection is carried out to complete a Uniform Residential Appraisal Report, which covers the house itself, repairs, neighborhood trends, lawn condition, utility quality, and dimensions.

Interior Inspection

• Dimensions
• Number and purpose of rooms (e.g., bedrooms, bathrooms, and kitchens)
• Functional layout and structural integrity
• Included utilities, appliances, and amenities
• Condition of walls, stairs, floors, doors, and ceilings
• Health and safety regulations

Code Compliance

• Exterior Inspection
• Age and location
• Quality of the property’s site
• Quality of the construction
• Integrity of the roof and foundation
• Condition of gutters
• Parking and garage
• Exterior paint or siding condition
• Neighborhood
• Porch/patio quality
• Insulation

How Long Does the Appraisal Inspection Take?

Please take note of the following information:

This inspection typically takes 30 minutes to a few hours and is completed within one day. The duration depends on factors such as the condition of the home, the buyer’s preparedness to provide information, the size of the house, and its location.

If you are seeking an FHA or VA loan, the appraisal process will be more rigorous. FHA and VA appraisals require more thorough examination and attention to detail than most conventional appraisals. While these appraisals historically took several weeks to complete, in recent years, the process has been shortened to an average of just one week.

3. Appraiser Home Comparison: 1 Day

After completing the home inspection, the appraiser returns to the office to finalize the report. The next step involves verifying the age and size of the property with city records. The appraiser then compares the house to similar homes.

The comparison process assesses properties of similar size, age, and location that have been recently sold or are currently on the market. Advanced appraisal software has made this process relatively quick and easy. The appraiser can input a few data points, and the software will generate a list of comparable homes. The appraiser will verify that the houses are similar before calculating.

The duration of this process can vary. The process will be quick if the home in question is comparable to many nearby properties. However, finding comparable homes with the software might take longer if the house is unique in style and location.

4. Appraiser Report: 1 – 5 Days

Please keep the following information in mind:

At this stage, the appraiser will determine the fair market value and compile all the data into a report. The report will encompass critical points from the inspection and comparison process and explain the reasoning behind the house’s evaluation.

The valuation will likely be the result of one or more of these three strategies:

1. Cost approach: Previous listing prices for this home
2. Income approach: Potential rental income
3. Comparison: Focuses on the pricing of similar homes

Since the reports can be lengthy (10-15 pages) and must be written clearly and accurately, this part of the process may take some time to complete. Typically, you can expect to receive your home appraisal a few days after the appraiser has conducted the in-person home inspection.

Expedited Appraisals

Some appraisers offer expedited services for an additional fee, which can significantly shorten the turnaround time. In this case, the appraiser usually performs an in-person inspection within 24 to 48 hours and prioritizes the appraisal report. This option is often used in competitive markets or time-sensitive situations.

What can cause a delay in a home appraisal?

Appraisers are generally good at completing the report within one week. However, factors such as market demand, unforeseen weather, or the seller or broker’s unavailability can prolong the process. For example, high-demand areas or rural locations may experience delays due to appraiser availability and the complexity of finding comparable properties. Even so, these delays typically only add a day or two to the process.

Here are some tips for a Smooth Appraisal Process:

1. Prepare the Property: Make sure the property is clean and accessible. Address any minor repairs or maintenance issues before the appraisal to present the home in its best condition.
2. Provide Documentation: Have relevant documents ready, such as recent home improvements, permits, or property surveys, to assist the appraiser.
3. Communicate Promptly: Respond quickly to scheduling requests and provide any necessary information to avoid delays.
4. Work with a Reputable Lender: Choosing a reputable lender or appraisal management company can help ensure a smoother and more efficient appraisal process.

Home Appraisal Duration Bottom Line

Keep in mind the following information. The appraisal process usually takes 2 to 5 business days but can vary based on location, property type, and market conditions. Understanding these factors and preparing accordingly can help ensure a smooth and efficient appraisal experience.

Once you receive your appraisal, if the report shows that the market value is at or above the agreed-upon terms, you can proceed to close on your dream home. However, if the appraisal is lower than the offer, you will likely need to renegotiate the terms. This means you can still purchase your dream home at a different price.

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