Address: 28 Hermitage Road
What to consider when ordering an appraisal?
• Names required for the report. First the client named in the report. This is not necessarily the one who pays for the report but rather the one using the appraisers professional service. For mortgage financing this is typically the lender. Borrowers names if applicable. Finally who is ordering the appraisal, broker, care of estate etc.
• Location and any other details of the property that the appraiser should be aware. This can include type of property, single family, duplex, vacant land etc. As well as any health or safety concerns should be relayed to the appraiser.
• Who should the appraiser be collecting the fee from? The fee charged for completing the assignment and identification of the party responsible for making the payment should be negotiated prior to starting the assignment. The fee depends on the complexity of the assignment.
• Purpose of the Assignment. The purpose of the report states what value is being estimated in response to the client’s intended use or needs. Market value, market rent, current, retrospective, as complete etc.
• Intended Use of the Report. Identifies the client’s intended use of the appraiser’s reported opinions and conclusions in the report (i.e. first mortgage financing, refinancing). This guides the appraiser in determining the scope of work required for the report to allow the client to make an informed decision.
• Assumptions Made in the Analysis and Limiting Conditions that may Impact the Value. Specific conditions to an assignment known as Assumptions and Limiting Conditions should be discussed in advance and confirmed in writing by the appraiser as being appropriate for the valuation.
• Conflict of Interest. The appraiser must disclose any conflict prior to taking on an assignment or as soon as uncovered once the assignment has started. Depending on the nature of the conflict, the appraiser may need to decline an assignment.
• Turn around time required. This refers to the date that the final valuation report is expected to be delivered to the client.
Important note regarding appraisals for mortgage financing
Hink Appraisals is approved to work for many lending institutions. However* many lending institutions require that they order appraisals directly. In many cases borrowers cannot simple walk into a lending institution with an appraisal. We always recommend that you speak to your mortgage broker or lending institution prior to ordering an appraisal to ensure the appraisal will be acceptable.