“Nancy is an amazing agent!. She went “above and beyond” to help us find the perfect home. She took the time to show us many houses. She was patient while we decided. She worked with and for us every step of the way. I recommend her to anyone looking to buy here. We moved from Connecticut and she educated us on the area so we were comfortable moving some-where we had never been before.”
Duncan Brown - Murrells Inlet, SC
Nancy Aborn Wuennemann
8/20/2019 0 Comments
Appraised or Assessed?
I'm trying to buy a house and the seller just wants too much for it. I checked the county tax rolls and the value of the house is much less than the appraisal. What is that about?
One of the trickiest distinctions for homeowners and would-be buyers alike is the difference between a property's assessed value and its appraised value. It likely doesn't help that the two words are so similar, but don't be fooled -- they are two very different values.
One (assessment) is the amount that's used by a municipality to calculate property tax, while the other (appraisal) is intended to represent the property's actual, or fair market, value.
The assessment is conducted by your town or city, typically every five to 10 years.
Often, an exterior assessment is conducted at the five-year mark to update municipal records, while the once-every-10-years assessment is more thorough and includes a review of interior modifications as well.
The assessment is typically lower than the appraised value; an assessor will determine fair market value (FMV) and multiply that by a percentage, which can range from about 70 percent of FMV to 80 or 90 percent.
That's the figure a property owner is taxed on; so if the FMV of your home is $200,000 and assessment is calculated at 70 percent, you pay taxes on the assessed value $140,000.
The appraised value is what a lender will use to determine a loan. If you've purchased a property with a bank loan, you know that one of the steps includes an appraiser heading out to assign it a value. This is the lender's verification that the property is worthy of the amount it's lending.
These are important terms to keep in mind whether you're buying or selling because each can be a negotiating tool in the process.
When you sell your home, you obviously want things to go as quickly and as smoothly as possible. And aside from pricing it right, making sure it's in good condition is as important as it gets.
There are a number of chores to keep in mind to ensure that your home not only looks its best for potential buyers, but does well during inspections, too.
Among others, these include:
* Perform maintenance on your heating and cooling systems to make sure everything works properly.
* Have your chimney regularly cleaned and inspected by a professional. This is a safety measure as well.
* Call in an exterminator, if necessary. Pay particular attention to signs of termites or carpenter ants and other insects that bore into wood.
* Check that all appliances function properly.
* Spruce up your yard.
This is good for curb appeal as well as for warding off unwanted pests or rodents.
The market for selling your home is very lucrative right now along the Grand Strand of South Carolina. We have buyers that are looking in the market and ready to move. Contact me for a FREE market analysis.
First let me be clear: I am not a mortgage professional. I am a professional realtor serving buyers and sellers in Horry and Georgetown counties of South Carolina. My professional services extend to the transactional nature of buying and selling a home. However, in the normal course of business, we are asked hundreds of questions about financing. I can't speak to your specifics. I can present an overview and I can gladly refer you to a mortgage professional. We have an extensive, vetted, list of vendors. THAT list is one of the specialty assets I bring to my real estate servicing of your needs.
The simple answer is... IT ALL DEPENDS.
Here is the overview version: (Again, only a mortgage professional can assist you with your specific needs.) With mortgages still at historically low rates, many people consider refinancing to save money. But is it a good idea? Maybe, maybe not. Refinancing involves a number of moving parts and some understanding of amortization, so make sure to do your homework.
Lenders vary on how long you have to wait to refinance, but you can sometimes do so within a year of purchase.
First, remember that refinancing involves closing costs, which can run into the thousands. So before anything else, calculate how long it will take you to recoup that amount and whether you'll stay in the house that long. Do the long-term math. If you are 10 years into a mortgage and refinance for 30, you could very well wind up paying many thousands more over the lifetime of the loan.
This is of course a personal decision; sometimes it's worth it to free up the cash on a month-to-month basis.
Just understand the numbers. Some homeowners refinance and increase their monthly payments -- on purpose.
You might consider refinancing from a 30-year loan to a 15-year loan to pay off the balance sooner. It's often surprising how little it takes per month to make this happen. Another good reason to refinance is if you're in an adjustable rate mortgage and want to refinance into a fixed rate.
This often occurs when rates are rising and you want to avoid the higher costs; if rates are low, it might not be worth the trouble.
Other folks refinance in order to pay off other debt, like credit cards or student loans, or to pay for a renovation project.
Again, it's time to do the math and consider the scenario.
Transferring that debt to your mortgage, puts your house on the line.
If you are thinking about buying or selling your home in Horry or Georgetown counties in South Carolina, please contact me about a FREE market analysis.
1232-B Farrow Parkway
Myrtle Beach, SC 29577