Appraisal value affected by maximalist design
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Design, style and ‘clutter’: Do they affect appraised value?

The answer is...it depends. As an appraiser, I'm often asked some version of this question: "My house is a mess and I just found out they want to send the appraiser tomorrow. Do you think it'll make a huge difference to the appraised value?" And more recently, in the era of minimalism, I also get asked whether a more 'maximalist' approach to interior design will negatively impact value. The standard, professional answer is, of course: "No, it won't affect value.…...
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Kevin Slemko AACI on the problem of overimprovement

“But that bathroom cost me $27,000!”

When valuations don't reflect the money the homeowner spent I hadn't been an AACI for very long when it happened: I was doing an inspection of a pretty standard, older 3-bedroom bungalow outside of Hamilton, and the homeowner insisted I see the master bathroom first. "You have to see this!" he said, leading me toward the back of the house. When I got to the bathroom door, I guess my face didn't register the amazement he expected, because he started…...
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Kevin Slemko of Hamilton's Midtown Appraisal Group on how properties are valued
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Appraisal explanations: Lists are not enough

How appraisers look at the components of a property, Part 1 If you've recently bought or sold a home that involved a mortgage or loan, chances are an appraiser has been involved at some point to confirm the property's value. And if you asked your agent or mortgage broker what an appraiser looks at, they probably gave you a list of factors: Location, size, condition, comparable sales, etc. That's correct, as far as it goes. But a list like that…...
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Overview of the home appraisal process

Appraisals 101: A handy graphic

You don't have to be an expert, but you should know the basics. I know what it's like: Whether you're buying or selling your home, especially in the current overheated market, the last thing you have time (or interest) for is a deep dive into real estate appraisals. At the same time, as a vendor or purchaser of property, especially if it's your first one or it involves the fairly large sums of money typical of real estate in southern…...
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Midtown appraisal group on types of Ontario home

Types of house in Ontario: The basics

Do you know the differences? At first glance, 'house types' seems obvious: We all know the difference between a 1-storey house and a 2-storey house, right? But different terminology is used for different types of homes based not just on how many storeys they contain, but also on the way the floors are arranged. Here's an overview of the most common types of homes you'll see in Ontario. (There are other types, but most of them are just slight adaptations…...
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unusual homes appraisals
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What happens when there are no comparable sales?

Say what you will about sprawling new subdivisions, they're a residential appraiser's dream. There's nothing easier than putting a value on a house when there have been 4 sales of the exact same model on the street in the past 6 months. But what happens when you're faced with, say, a beautiful 90-year-old home that's been renovated multiple times over the years, has a larger backyard than the newer properties which have sprung up around it - but also a…...
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What appraisers bring to the table
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What is the role of the appraiser in home valuations?

Where data, experience and insight meet In previous posts, we've talked about how appraisers use data and comparable sales in order to arrive at a valuation for properties. For residential properties, comparable sales tend to offer a good starting point: If four similar properties on the street have sold in the past few months, they provide a good indication of what your home is worth. But sometimes, you'll see two homes in the same neighbourhood that seem, on the surface,…...
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Kevin Slemko AACI appraiser
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Appraisal delays driving you bonkers?

There are a bunch of reasons why they're happening. If you've been involved in the sale of a residential property in Ontario in the past 3 years - whether as a vendor, purchaser, real estate agent, mortgage broker or lawyer - you know that residential appraisals seem to take longer than they used to. Unfortunately, the current extended timelines for residential appraisals are a result of several different factors, not all of which are easily solved. However, the more you…...
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Kevin Slemko, AACI on mortgage terms

Mortgage term lengths: Do you know your choices?

Appraisers aren't real estate salespeople or mortgage brokers, and definitely shouldn't be offering advice or counsel to the people whose properties they're appraising. However, as we've discussed before, because of our particular role in the process, and because they often end up meeting home buyers and sellers during their inspections, it's not surprising that we're often asked questions about home mortgages. A recent study showed that as much as 50% of Canadians don't really understand mortgage terminology, and aren't able…...
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Kevin Slemko offers tips on remote appraisals

Remote appraisals: How to prepare

Virtual home inspections are safer (and sometimes easier). While coronavirus and the accompanying lockdowns have meant that most of us haven't been inside another person's home for weeks now, the truth is that homes are still being bought and sold and refinanced - and that means that there's still a (surprisingly healthy) demand for home appraisals. So what do you do? Video calls are a good first step While some appraisers and financial services companies allow homeowners to provide their…...
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