The Zen Real Estate Appraiser

  Just when we thought things were stabilizing around here…. BAM Today I read a post by a realtor where she had over 130 showings in a weekend and received more than 50 offers for her listing. Yup. Spring 2022 is officially here. With the interest rates rising and the cost of goods increasing many would think the home sales prices would come down… but the opposite appears to be happening right now.  This graph reports the median sale prices for single family, detached homes in the 5 county Philadelphia area and we can clearly see:     1- The median sale prices are back up to the peak of last summer.     2- Buyers are once again paying over list price. Why?  Same reason as last summer - low inventory. Keep in mind - these stats reflect the larger market. We also need to take a look at the specifics of smaller markets when estimating value because the Buyer's wants and needs change depending on the type of home they are looking for… There ...

  GO HERE  to learn more about those questions below Adding a bedroom doesn't automatically add value. And also, what you consider to be a bedroom may not be counted as a bedroom in an appraisal. Here's why…. Think about the typical buyer of your home….would they pay more for another bedroom? Where is this bedroom located? How do you access this bedroom? Is there a privacy issue? Where is the bedroom located in relation to a bathroom? What is the size of the bedroom? Does it meet the minimum guidelines for the purpose of the appraisal? Where is the closet for this bedroom located? Is there an emergency exit? What does that look like? I have so many more questions.  And, I always feel so bad for people when they put their time, energy and money into a home project thinking it will raise their value and then when it's finished they discover that if they had made some different choices the end result would have been more profitable. So, the most important takeaway I wan...

  My eyes pop daily at the inflation rates of basic living expenses. Wouldn't it be great to save hundreds or perhaps thousands of dollars this year? If you know someone who has purchased a home recently … keep reading. Homeowners: I may have a way to help you reduce your mortgage payment for either yourself and/or someone that you know. Realtors: Here is a thoughtful idea of how to reconnect with your clients with a purpose of serving them well and reminding them that you are always on the lookout to make life a little bit less stressful. CPA's : During tax time, here is a tidbit of good news for your clients. Attorneys: Here is a simple method to stay in touch with your clients with some beneficial advice. Ready for it? Suppose Jane Doe bought a home in 2020 using conventional financing and her down payment was less than 20%..... That means that Jane is paying a monthly PMI (private mortgage insurance) premium. We all know the market value of homes has increased exponentia...

 tap here to learn more! There are a lot of misconceptions about what is included in the square footage of a home. And I completely understand why....  Many people believe that if they have a finished walkout basement then it should be included in the square footage.  I mean, after all you may have lots of fun down in that basement and use it every day as part of your "living area". Many people also believe that their beautiful new addition is included in square footage.... Maybe yes, Maybe no. And now, beginning April 1st, it's about to get a little bit trickier for anyone who is having their house appraised for lending purposes via typical lending standards. Side Note: Yes, Fannie Mae chose April Fool's Day to implement this mandatory measuring standard.... lol Somebody somewhere is having a good laugh right now. So, what does this change mean for the typical homeowner or realtor?  Basically, this means that the square footage of your home is what it is accord...

  Are you paying too much in real estate taxes? Have you ever looked at your real estate tax bill and thought…. This tax bill seems kinda high? And then, you look at your assessment and think- well that's kinda low… so I guess I'm ahead of the game…. But here's the thing - and keep in mind - I am speaking about the area that I work…. (every area is different) The assessment only represents a percentage of the market value of which the county has determined your house to be worth.  So when you think it's low….. Well… it may in fact be high…. Tricky, right? For example: if you live in Montgomery County, PA go do this right now: Look at your assessment and multiply it by 2.24  = the market value that your current taxes are based upon. Now, how do you feel about that market value? If you are unsure, then we can provide clarity. If you do not know how to find your assessment, then we can show you where/how to find it. If you are really upset because you think it seems way hi...

  The appraiser said I have to fix what?? I am going to attempt to give you a little insight into when and why repairs may be required. The reason I say attempt is because there are a ton of different scenarios that we encounter. Hopefully, I can help you… and not confuse you even more! It begins here: When we visit your property we are looking at all of the readily observable areas of your property. So during our appraisal appointment you'll notice us opening up all of the doors, walking into every room and walking around the outside of the property. We take lots of photos - I personally take photos of every single room, all outbuildings, all deferred maintenance, higher quality improvements and all recent updates. We are not home inspectors or code enforcement officers… so we do not climb on roofs or determine if everything is up to local building codes. Here are a few general things to notice as you look around your home…. 1- Are there any items of deferred maintenance that m...