Frequently Asked Questions about Appraisals


Finding the value of your home can be lengthy and time consuming. At San Diego Home Appraisals we are certified, trained and experienced in the industry and have a keen eye from detail, knowledge and history to understand the value of home property. Below are some frequently asked questions about appraisals.


- What is an appraisal?

An appraisal is a written document that estimates a property's market value and is to be completed by an appraisal. See "who completes an appraisal?" to get more information on appraisers. The property's market value is based on the appraiser's analysis of recent sales price for properties that are similar to the subject property. 


- Who completes an appraisal?

Appraisals are completed by an appraiser. An appraiser should be a third party whose job is to provide an objective and professional analysis of the market value of the home. 


- What kind of appraisal do I need?

Cost Approach

This type of appraisal estimates what it would cost to replace or reproduce the improvements as of the date of the appraisal, with deductions for issues like physical deterioration. Land value is added into this calculation to determine the value of property. 

Comparison Approach

This type of appraisal compares the subject property to other properties of similar size, quality and location that have sold recently. The differences in the properties are factored in by adding and/or subtracting amounts for adjustments in property value. 

Income Approach

This type of appraisal is typically for commercial properties and is not relevant for residential properties.


- Why is an appraisal required? 

Lenders require an appraisal to help determine the loan amount. Since home values can vary considerably, it is important for lenders to have the objective opinion of an appraiser to make sure the loan will be secured by the property. Lenders will not lend more than the value of a home and appraisals are used to determine ratios that help factor into the loan approval process, most commonly known as loan to value (LTV).


- What property factors determines the value? 

There are several factors that the appraiser takes into consideration when calculating the value of your home. The general condition and age of the home, size of the home and property, location, number of bedrooms and bathrooms, enhanced or remodeled rooms and architectural features like skylights and fireplaces. 


- How do I receive an appraisal? 

Every customer and their lender will receive a copy of their appraisal. More detailed arrangements for receiving appraisals can be discussed by calling San Diego Home Appraisals at (858) 254-3848 or emailing us at