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Home Appraisals

When you apply for a mortgage to buy a home, your mortgage lender will require the home to undergo an appraisal, which helps the lender determine how much the home is worth and how much money they can potentially loan you for it. Appraisals protect both you and the lender's investment by making sure that you aren't overpaying for the property, and the lender isn’t over-investing. For most homeowners a home is their most valuable asset, so it’s important to have a fair assessment of its market value. However, instances of bias and discrimination in the appraisal process can lead to homes in certain communities being undervalued.

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What Is Appraisal Bias?

Differences Between a Home Inspector and a Home Appraiser

Home Inspector

A home inspector’s role is to conduct a thorough examination of your home. They will analyze and assess various aspects of the property for damage, wear, tear, and other issues that can affect the buyer’s investment. An inspector works for the buyer to determine what condition the property is genuinely in before they buy it. An inspection is a key step in the home-buying process, and it will ensure that buyers make an informed decision about the property.

Home Appraiser

An appraiser visits the property with a goal to survey the home and come to an accurate conclusion about its real value compared to similar properties. An appraiser works for the lender to help them determine if they should back the loan for a property. As a neutral third-party, appraisers are legally bound to provide an unbiased estimate of the home’s worth.

Common Signs of Appraisal Bias

What Can I Do If I Believe my Appraisal is Too Low?

home appraiser

What if I Believe I Have Been Discriminated Against in the Appraisal Process?

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Frequently Asked Questions

Last Modified on 02/04/25