A recent article in Realty Biz News highlighted the closing gap between home owners and appraisers estimations of the value of homes. Quicken Loans Home Price Perception Index reported that in November 2014 appraisers valued homes 1.56 higher than homeowners.
This is important as mortgage financing often depends on whether the appraised value of a home is in accordance with the value agreed upon by the home seller and buyer. In the case of a refinance, the appraised value should coincide withthe home owner’s estimated value. Industry experts say that appraisers valuing homes above the home owner’s estimates makes for a much smoother mortage process in general