1. Spruce up the house. Appraisers say that you don't need
to deep-clean under couches and that a few dirty dishes won't hurt your home's
value. But rats, cockroaches and that car you've been tinkering on might.
"Things like overgrown landscaping, soiled carpeting, marks on walls —
those do affect value and are part of the property's overall condition
rating," said Dean Zibas, the president and chief appraiser for Zibas
Appraisal in San Clemente, Calif. In other words, think broom clean, not set
design for a home-decorating magazine.
2. Curb appeal also matters, so mow the lawn, hack those
weeds and trim those hedges. This can also help offset your house from unfair
comparisons with foreclosures nearby. "In today's climate, I can't stress
enough: condition, condition, condition," said Doreen Zimmerman, an
appraiser in Paradise, Calif. "An hour or two, for the most part, will set
your home apart in the actual picture that the lender gets from the appraiser
versus the actual picture that the appraiser will provide of the (foreclosure) down
the street."
3. Keep a list of all the updates you've made and be ready
to hand it over; a sketch plan of the house indicating square footage also
helps. "Have a list of updating done within the past 15 years. Itemize
each update with the approximate date and approximate cost. Also highlight the
notable features of the property," says Matthew George, the chief
appraiser of Eagle Appraisals in Denver. Remember the items that an appraiser
might not notice, such as a new roof or insulation. Don't forget the minor
items. For example, I mistakenly told the appraiser we hadn't updated one
bathroom, but actually we had installed a new sink and had the tub sealed. That
counts, the experts say.
4. Have comps on hand. Yes, this is the appraiser's job, but
every little bit helps -- especially if you are aware of a nearby property that
sold without the aid of a real-estate agent, says Mark T. Smith, the owner and
president of Smith Appraisal Services in St. Augustine, Fla. That can mean it
wasn't posted on the multiple listing service, and can result in other delays
by the time it gets posted through other government data sources.
5. Be mindful of peeling paint. Loans insured by government
agencies, such as the Federal Housing Administration or the Veterans
Administration, will require peeling paint to be removed in houses built before
1978. But don't worry too much about a child's scrawling on his bedroom wall,
unless it's going to require a whole new paint job.
6. Focus. "Don't spend money that won't yield a return
on the investment. The best expenditures for most markets are paint, carpet,
light and plumbing fixtures," George says. Prioritize what you do; if
you're the type of homeowner who has upgraded and fixed items as they broke,
you should be fine.
7. Location still matters. If there have been changes to the
neighborhood, mention them, from a new playground to a new Whole Foods. If the
area has been declared a historic or landmark district, let the appraiser know.
8. Keep the $500 rule in mind. Appraisers often value houses
in $500 increments, so if there's a repair costing more than $500 that can or
should be made, it will count against the property. Fix leaky faucets, cracked
windows, missing handrails and structural damage.
9. Remember the concept of "effective age," the
age the appraiser can assign to a home after taking into consideration updating
and condition. "Say you have a cracked window, threadbare carpet, some
tiles falling off the shower surround, vinyl torn in the laundry room and the
dog ate the corner of the fireplace hearth," says Zimmerman, who wrote the book "Challenge
Your Home Appraisal" and runs a website by the same name. "These
items could still add up to an overall average condition rating as the home is
still habitable. However, your effective age will be higher, resulting in
comparables being utilized which will have the same effective age and resulting
lower value."
10. Lock up Fido and Fifi. Appraisers say they get annoyed
enough by homeowners following them around, but a snarling, growling dog is
even worse. Along the same lines, try to make the appraiser comfortable — if
it's cold out, put the heat on; if it's hot out, the air conditioning. "If
it's 100 degrees out and you never put the air conditioning on, put it on for
the appraiser so they don't question that your unit is broken," Zimmerman
says.
With those things in mind, let the appraiser do his job.
"Questions and banter may make the inspection go slow or make the
appraiser miss something," said James R. Gerot, a residential appraiser in
Ottumwa, Iowa. "My inspections have a rhythm to them, so once I get
started, interruptions are just that. Save questions until after."
