What Appraisers Look for During a Home Valuation

A home appraisal plays a critical role in most real estate transactions. It helps lenders confirm that the property’s value supports the loan amount—but many homeowners and buyers aren’t sure what appraisers actually evaluate.

Here’s what appraisers look for during a home valuation.

1. Comparable Sales (Comps)

This is the most important factor.

Appraisers compare your home to:

• Recently sold homes (usually within the last 3–6 months)

• Properties with similar size, layout, and condition

• Homes in the same or nearby neighborhoods

The final value is largely based on these comparisons.

2. Location and Neighborhood

Where the home is located matters.

Appraisers consider:

• School districts

• Proximity to amenities and transportation

• Neighborhood condition and appeal

Location can significantly influence value, even for similar homes.

3. Square Footage and Layout

Size alone doesn’t determine value.

Appraisers evaluate:

• Total livable square footage

• Number of bedrooms and bathrooms

• Functional floor plan

Well-designed layouts often appraise better than larger but poorly planned homes.

4. Condition and Maintenance

The home’s condition sends a strong signal.

They look for:

• Overall upkeep and cleanliness

• Visible repairs or deferred maintenance

• Quality of finishes

A well-maintained home can support a higher valuation.

5. Upgrades and Improvements

Not all upgrades add equal value.

Appraisers note:

• Kitchen and bathroom updates

• Flooring and windows

• Major system upgrades (roof, HVAC, plumbing)

Cosmetic updates help, but structural and system improvements carry more weight.

6. Lot Size and Exterior Features

Outdoor space matters too.

Considerations include:

• Lot size and usability

• Landscaping and curb appeal

• Garages, patios, pools, or decks

These features can enhance overall value.

Final Thought

Appraisers don’t focus on decor or personal style—they evaluate facts, condition, and market data.

Understanding what they look for helps sellers prepare their homes and helps buyers avoid surprises during financing.