Understanding the Difference Between a Home Inspection and an Appraisal
Buying or selling a home involves a multitude of steps, and two critical ones are the home inspection and the appraisal. While both are important in the home buying process, they serve different purposes. Understanding the difference between the two can help you navigate the real estate transaction process more smoothly.
Home Inspection: A home inspection is a thorough examination of the condition of a property. It is typically conducted by a licensed home inspector who is trained to evaluate all aspects of a home, from the foundation to the roof. Here are some key points about home inspections:
Purpose: The primary purpose of a home inspection is to identify any existing or potential issues with the property. This includes structural problems, safety concerns, and any necessary repairs or upgrades.
Scope: During a home inspection, the inspector will assess the condition of the home’s:
Structural components (foundation, walls, roof)
Electrical systems
Plumbing systems
HVAC systems
Appliances
Insulation and ventilation
Other interior and exterior features
Process: A typical home inspection takes a few hours to complete, depending on the size and condition of the property. The inspector will provide a detailed report outlining their findings, including any issues that need attention.
Cost: The cost of a home inspection varies depending on factors such as the size and location of the property. On average, you can expect to pay a few hundred dollars for a home inspection.
Appraisal: An appraisal is an unbiased estimate of the value of a property. It is conducted by a licensed appraiser who evaluates various factors to determine the fair market value of the home. Here are some key points about appraisals:
Purpose: The primary purpose of an appraisal is to determine how much a property is worth. Lenders require appraisals to ensure that the property is worth the amount of money they are lending to the buyer.
Scope: During an appraisal, the appraiser will consider factors such as:
The size and condition of the property
The location of the property
Comparable sales in the area
Market trends
Any unique features or upgrades
Process: An appraisal typically takes a few hours to complete. The appraiser will inspect the property and gather information about similar properties that have recently sold in the area. They will then use this information to determine the fair market value of the home.
Cost: The cost of an appraisal varies depending on factors such as the size and location of the property. On average, you can expect to pay a few hundred dollars for an appraisal.
Key Differences:
While both home inspections and appraisals are important steps in the home buying process, there are some key differences between the two:
Purpose:
A home inspection is focused on identifying any existing or potential issues with the property.
An appraisal is focused on determining the fair market value of the property.
Scope:
A home inspection evaluates the condition of the property, including its structural components, systems, and appliances.
An appraisal considers factors such as the size, condition, and location of the property, as well as comparable sales in the area.
Cost:
The cost of a home inspection and an appraisal is similar, but they serve different purposes and provide different information to the buyer.
In summary, while both a home inspection and an appraisal are important steps in the home buying process, they serve different purposes. A home inspection helps buyers identify any issues with the property, while an appraisal helps lenders determine how much the property is worth. By understanding the difference between the two, buyers can make more informed decisions when purchasing a home.
Fun Things to do this week…
Portland Winterhawks – WHL Playoffs Round 3 Games
For the first time since 2015, the Portland Winterhawks will compete for the Western Conference Championship as one of just four teams remaining in the 2024 WHL Playoffs!
When: May 1, 7PM
Where: Veterans Memorial Coliseum Lloyd District | 300 Winning Way Portland, OR 97227
Classical Up Close
Classical Up Close is the Oregon Symphony’s spring concert series that shares the tradition of chamber music with new audiences through free, casual pop-up performances. This weekend, the series will kick off at Powell’s iconic Burnside location with the string quartet of Emily Cole…
When: Dates through May 8
Where: Various locations arounf Portland Area
THIS WEEKS REAL ESTATE UPDATE
Numbers help tell a story.
Numbers are powerful, especially when it comes to real estate! Whether you are assess whether it’s a good time to buy, sale or invest these numbers can be very valuable in determining offers or best sales price! PLEASE FEEL FREE TO REACH OUT WITH ANY QUESTIONS
Portland, OR 97230
Wed May 01 2024
This week the median list price for Portland, OR 97230 is $500,000 with the market action index hovering around 47. This is less than last month’s market action index of 51. Inventory has decreased to 43.
Market Action Index
This answers “How’s the Market?” by comparing rate of sales versus inventory.
Strong Seller’s Market
The market has been cooling over time and prices plateaued for a while. Despite the consistent decrease in MAI, we’re in the Seller’s zone. Watch for changes in MAI. If the MAI resumes its climb, prices will likely follow suit. If the MAI drops consistently or falls into the Buyer’s zone, watch for downward pressure on prices.
Portland, OR 97220
Wed May 01 2024
This week the median list price for Portland, OR 97220 is $506,900 with the market action index hovering around 67. This is an increase over last month’s market action index of 56. Inventory has held steady at or around 30.
Fairview, OR 97024
Wed May 01 2024
This week the median list price for Fairview, OR 97024 is $525,000 with the market action index hovering around 65. This is an increase over last month’s market action index of 52. Inventory has increased to 5.
Troutdale, OR 97060
Wed May 01 2024
This week the median list price for Troutdale, OR 97060 is $549,990 with the market action index hovering around 58. This is less than last month’s market action index of 60. Inventory has increased to 13.
Gresham, OR 97080
Wed May 01 2024
This week the median list price for Gresham, OR 97080 is $560,000 with the market action index hovering around 47. This is an increase over last month’s market action index of 44. Inventory has decreased to 65.
Portland, OR 97236
Wed May 01 2024
This week the median list price for Portland, OR 97236 is $504,700 with the market action index hovering around 48. This is an increase over last month’s market action index of 44. Inventory has increased to 30.
Portland, OR 97211
Wed May 01 2024
This week the median list price for Portland, OR 97211 is $513,750 with the market action index hovering around 59. This is an increase over last month’s market action index of 56. Inventory has decreased to 42.
Portland, OR 97232
Wed May 01 2024
This week the median list price for Portland, OR 97232 is $774,000 with the market action index hovering around 59. This is less than last month’s market action index of 65. Inventory has held steady at or around 7.
Houses Are Still Selling Fast
Have you been thinking about selling your house? If so, here’s some good news. While the housing market isn’t as frenzied as it was during the ‘unicorn’ years when houses were selling quicker than ever, they’re still selling faster than normal. Read more
Will a Silver Tsunami Change the 2024 Housing Market?
Have you ever heard the term “Silver Tsunami” and wondered what it’s all about? If so, that might be because there’s been lot of talk about it online recently. Let’s dive into what it is and why it won’t drastically impact the housing market. Read more
Have you heard of HOMEBOT?
Find out everything you need to know about your homes current value here! Learn more
Are you thinking about selling your home?
FIND OUT HOW MUCH YOUR HOME IS WORTH?
RECIPE OF THE WEEK!
Salmon En Croute
Ingredient Checklist
- 1 (1-lb.) salmon fillet, about 1″ thick
- Kosher salt
- 2 tbsp. extra-virgin olive oil
- 1 medium yellow onion, finely chopped
- 2 cloves garlic, finely chopped
- 5 oz. baby spinach
- 4 oz. cream cheese
- 1/2 c. grated Parmesan
- 1 tsp. dried dill
- 3/4 c. panko bread crumbs, divided
- Freshly ground black pepper
- 1 (15″ x 10″) sheet puff pastry, room temperature (preferably Pepperidge Farm)
- 1 large egg, beaten to blend
Instructions Checklist
- Preheat oven to 400°. Generously season salmon all over with salt. Place on a plate and refrigerate until chilled, about 15 minutes.
- Meanwhile, in a large skillet over medium heat, heat oil until shimmering. Add onion, garlic, and a generous pinch of salt and cook, stirring occasionally, until onion is translucent, about 5 minutes. Add spinach and stir until vibrant green and starting to wilt. Stir in cream cheese, Parmesan, and dill and cook, stirring frequently, until cheeses are melted and combined, about 2 minutes. Stir in 1/2 cup panko and cook, stirring, until mixture is thickened, about 2 minutes more; season with salt and pepper.
- Rinse salmon under cold water to remove salt, then pat dry with paper towels. Place sheet of puff pastry on a cutting board and arrange salmon in the center. (There should be about 2″ dough on each side of the salmon.) Season salmon with salt. Spoon spinach mixture over salmon, making sure it stays in the center of fish; smooth in an even layer. Sprinkle remaining 1/4 cup panko over spinach mixture.
- Fold long edges of dough over salmon, then fold short ends up. Flip seam side down and transfer to a parchment-lined baking sheet. Brush all over with egg wash, then cut shallow diagonal lines to score top of dough.
- Bake salmon until pastry is golden brown and an instant-read thermometer inserted into thickest part of salmon registers 140°, 25 to 35 minutes. Transfer salmon to a platter and slice.
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