What Is Appraised Value?

The appraised value of your current home should play an important part in your decision to sell.  Ideally your home should appraise for more then the owed amount, and leave you with extra funds to deposit towards your new home. Current real estate trends and sales in your area will have a strong impact on your appraised value.  Remember, an appraisal is an objective opinion of value, but it’s not an exact science so appraisals may differ.

For buying and selling purposes, appraisals are usually based on market value—what the property could probably be sold for. Other types of value include insurance value, replacement value, and assessed value for property tax purposes.

Appraised value is not a constant number. Changes in market conditions can dramatically alter appraised value. If the real estate market in your area is not strong, your home may appraise for less then you hope, which may affect your decision to sell.