OHIO CAPITAL CORPORATION FOR HOUSING
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Shop around! When starting out,
get several appraisals on the same property to compare price to do the appraisal
and to see which appraiser has the best final product and has arrived at the most
accurate appraised value for this property. If all appraisals received are fairly
accurate and standard, see which appraiser is the easiest to work with, produces
the appraisal the most quickly, has the best price and is most open to input from
the developer. Be very wary of appraisers who ask you "what would you like the
numbers to come in at?" You are looking for accuracy here, not just a report that
reflects the ideal. You need to know the true value.
Evaluate the need. If you are far enough along into the project that
several properties that you considered purchasing have been accurately appraised
and there is little change between these properties and others you wish to buy,
you may elect not to have an appraisal done every single property to save costs.
This may work for you, providing that the properties are truly similar in size
and condition and located in close proximity.
Ask for recommendations and referrals. When in doubt, use the appraiser
recommended by the lender, mortgage company, or government agency, as they,
too, have "favorites" which can have significant impact on the approval of the
appraisal provided to them. Usually, if you are do business with the same funders
often, they will help you find the best appraiser based on their experiences.
Take the appraiser on a tour of the site and neighborhood.
Provide summary of development plans that describes in as much detail
as possible what you seek to develop and what market you seek to serve.
Provide detailed construction drawings and specifications. If construction
plans exceed prevailing quality of construction, provide appraiser with details
of construction upgrades.
Provide information that documents your project is part of a neighborhood revitalization plan whereby additional investment is planned.
Do not leave the appraiser guessing for anything!