Several times a week people ask me for an appraisal. This is often an area of confusion for people. When do you need one? Who do I call? How much is it going to cost? All great questions! I am hoping this post will help shed some light on this issue.
There are 3 types of evaluations or appraisals you can get.
Current Market Appraisal (CMA) – This type of evaluation is done by a Realtor. All Realtors will have different formats and styles to the evaluation. They will go to your property collect information such as size, condition, special features, neighbors, age etc. They will then compare your home to similar homes that have sold in the area. This information will come from the MLS (Multiple Listing Service). Realtors will do evaluations free of charge in hopes of you choosing them to sell your property, if and when you choose to sell. Beware of Agents who provide you with an unusually high evaluation. If it seems to good to be true, it most likely is! The average Realtor will not have the proper insurance to certified the evaluation. This means it CAN NOT be used for financing or legal purpose. If you are interested in selling, would like to know about the market or the current value of your home a CMA is a good place to start.
Market Value Appraisal (MVA) – This designation is given to Realtors who complete specialized courses and pay for special insurance which allows their evaluation to be used for financing, estate and legal reasons. This evaluation will look very similar to the CMA but will cost $300 and up. Some banks and lawyers will not accept these types of evaluation for financing and legal applications please check with them first. This can be a good option if you need an evaluation that is a bit more formal but do not want to pay the high cost of a full Appraisal.
Appraisal – This is the top level of evaluation. This is done by an Appraiser. To become an appraiser you must complete a 4-7 year University course and work for an appraisal company. An appraiser is not a Realtor. They do however use the same MLS system to find sold information. An appraisal will cost $500 and up depending on location and size of property. This evaluation is very in depth and can be used for any type of situation. Most commonly used for financing and legal applications. I would recommend a full appraisal for anyone who is dealing with estates, divorces, financing and anything that requires an in depth report.
To find an appraiser here is a handy link: http://www.aicanada.ca/find-an-appraiser/
If you are interested in a CMA or MVA please give me a call or email and I can put you in touch with the right people!
Stacey Harron |Realtor
CENTURY 21 Sun Country Realty
Direct Line: 204.345.2121 | Fax: 204.268.2165 | E-Mail: Stacey.Harron@century21.ca