Get The Best Appraisal for Your Rental Property

How to Get the Best Possible Rental Property Appraisal

Whether you’re looking into refinancing a rental property to get a better interest rate and/or mortgage payment or you’re trying to figure out exactly how much you can charge in rental fees for the property, an appraisal is a must. Even if you’re already renting the property to tenants and you aren’t looking at refinancing, though, if you haven’t gotten your property appraised, you should. It’s an important part of getting an accurate look at your investment portfolio and Of course, there’s just one problem with getting a rental property appraisal – it’s not an exact science. In fact, it’s based far more on the opinion of the appraiser than most landlords would like, and it can feel very much like you’re putting your portfolio, your hopes of refinancing, and/or your property’s profitability in the hands of someone who’s just going to say, “This property is worth $15,000 less than you estimated. Have a nice day.”

Fortunately, though, if you know what appraisers look for, you can make the right improvements to the home to get the best rental property appraisal possible.

What Appraisers Look For

For the most part, your appraiser is going to be interested in the structure of the house and the size and quality of the property. They’re going to inspect the roof, the foundation, the quality of construction materials, and functional home systems. They’ll also be interested in the size of the house and the size of the property. Issues like cracks, holes, and leaks will affect your appraisal negatively, and you’ll want to ensure that your home is up to code, as well.

What Appraisers Don’t Care About

You may think that the tool shed in the backyard is a plus for your property, but it won’t actually affect your appraisal, as it’s a temporary structure. Your above ground pool won’t help your appraisal, either, but an in-ground pool or a permanent sprinkler system will improve your appraisal (if they’re functional and maintained).

Furthermore, your appraiser is not going to spend a lot of time looking at your interior design choices. They won’t care whether there’s clutter in the kitchen or you’ve put in a lot of work creating a whole new decorating scheme. However, they will care about your HVAC system, fireplace, home security system, doors and windows, and smoke detectors. Basically, when preparing a rental property for an appraiser, think about function and permanence.

Help Your Appraiser Help You

Getting the best appraisal essentially involves making sure that your property is in good shape and that all of the permanent, functional aspects of the house and property are in good working order. You will want to make sure that the exterior of the house looks its best, and you’ll want to see to it that your appraiser can easily get to all of the things that he or she needs to see to properly evaluate the house and property.

Follow this advice and supply any remodeling documents you have, as well as documentation on your appliances and upgrades, as well, and you’ll be in good shape to get the best appraisal for your rental property.