Posted: 12:01 a.m. Sunday, Nov. 11, 2012
By Chelsey Levingston
Frequently Asked Questions
1. Why is the tax appraisal different from the sales price?
Many times tax appraisals do not assess interior conditions of the properties, nor do they have access to the interior. County auditors only do a tax appraisal every three years. — Mark Kottman, Real Living Realty Services
We follow a mass appraisal approach. The best example I can give is if we have three houses that are absolutely identical in every way, one of them sells for $90,000 one of them sells for $100,000 and one of them sells for $110,000, I’m going to tell you the appraised value for all three of those is $100,000 — David Graham, Greene County auditor
2. How does a vacant property in my neighborhood impact my home value?
If the property is well maintained — the grass is cut, no boarded up windows — the vacant house has no negative impact. It all depends on the condition and outside curb appeal.
It will have a negative impact if it’s not well maintained. It depends on how much the buyers are willing to pay. Buyers are willing to pay more if they don’t have to do a lot, which is better for the neighbor to keep their value up.
-Cora Diggs, Real Living Realty Services
3. How does a house on the market for a year or more in my neighborhood impact my home value? What if it sells?
It doesn’t necessarily. It tells you what the house is not worth, if the house can’t sell at the listed price.
That property sale will be used as a comparable when you go to put your home on the market. There could be three or four other comparable sales. It doesn’t necessarily have to impact the value of your home unless it’s the only sale out there. — Mark Kottman, Real Living Realty Services
4. What is a bank appraisal for? What if it doesn’t come through?
The bank has to qualify the loan. The bank will not loan the money if its appraisal doesn’t match the contract price. The bank appraisal can go over. If it comes in under, the lender is not going to allow that loan to go through and the seller has to agree to the lower price or choose not to sell.
If the seller is desperate to sell, they’ll take the loss or do a short sale. A short sale is an agreement between the seller/owner and their bank. — Cora Diggs, Real Living Realty Services
5. What is the better value to use for my home—the auditor appraisal or sales price?
Most recent sales price as long as it’s a valid sale between a willing buyer and a willing seller — David Graham, Greene County auditor