Union County, PAPosted on: January 13, 2016, by : ScottW3
Whenever somebody uses their house to apply for or make a financial transaction (mortgage, equity loans), the bank will need to see an appraisal to determine exactly how much they can offer on the loan. In Pennsylvania guidelines known as the Financial Institutions Reform, Recovery and Enforcement Act of 1989 (FIRREA) is used by appraisers and banks. FIRREA specifies that appraisers need to be independent and state licensed or certified. Their appraisals must be done in writing and be based on the current market trends. For the bank, their loan staff can only have limited contact with appraiser and they cannot offer any information to the appraiser regarding the property. They are also prohibited from exchanging work for higher or beefed up values. You may find more rules in the Home Valuation Code of Conduct (HVCC).
With a population of 44,947, Union County is made up of 90.08% White, 6.91% Black, 1.06% Asian and 3.9% Hispanic or Latino. With many public and private schools to choose from and a median home price of $169,700, Union County could be the ideal place for you.
The visual part of the appraisal includes the appraiser examining both the inside and outside of the home paying attention to the home’s quality of construction, condition and location. They will note how many bathrooms and bedrooms there are as well as amenities like energy efficient appliances. Some appraisers consider proximity to public transit and curb appeal as amenities as well. Improvements and upgrades not noticeable should be pointed out to the appraiser at this time.
Another helpful resource is the Multiple Listing Service (MLS). Appraisers use this to collect tax data, check zoning classification and to review recent comparable home sales. There are also times when they recruit the aid of a local Union County real estate attorney to help fill in some gaps. Once they’re done collecting data, they make their Highest & Best Use Analysis using one or more of three appraisal approaches: Cost Approach, Income Approach and Market Data Approach. At Northeast Valuations, we know how overwhelming appraisals can seem and we want to help simplify the process for you so contact us today.