Financing in 94044>Question Details

R, Other/Just Looking in Pacifica, CA

Want to refinance and have imporved the home since it was last appraised, how do we know the new value?

Asked by R, Pacifica, CA Wed Jul 2, 2008

We purchased the house it was listed as 1 bedroom 2 bath. We will be converting the den into a bedroom - we have been advised that a 2 bedroom, 2 bath home (1500sq ft) would be more valuable than as a 1 bedroom. How can we get a range for the value of the home?

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Most agents have access to county records and can simply get information as to what has sold over what duration of time and for the same type of property in the same area. The MLS, which all agents should have access to, has the same information. Don't expect; however, to get the high end of any appraisal. This is a little different market. I provide this info on a regular basis free of charge and assume that most agents do too
0 votes Thank Flag Link Wed Jul 23, 2008
To do this yourself, you should really look for true comparable homes that have sold recently in the last 6 months that are also on similar lots, usually the same school district. It's even better if you have been in these similar homes to truly compare apples to apples. With the few that may be most comparable, look at what they sold for per square foot. Try applying this to your square footage and see what number you come out at. You really shouldn't go beyond the past 6 months because the market has been so volatile and changing.
Good luck,
Tara and Tim Bebinger
Keller Williams Consultants Realty
0 votes Thank Flag Link Thu Jul 3, 2008
Hello,

You can ask your Realtor to do a Comparative Market Analysis for you to give you an understanding of the value of your home as a one bedroom vs a two bedroom.

If you are looking to refinance, an appraisal will be completed as part of the refinance and you can ask for a copy of the appraisal report.

Good luck!

Lisa Cartolano
Alain Pinel Realtors
0 votes Thank Flag Link Thu Jul 3, 2008
Since you want to understand the value for a refinance, you will get the Appraisal Report following your lender's appraisal - be sure to ask for a copy. The Appraisers use local comps, but usually simply to justify the loan amount. If you want to get an idea of the value before you decide to refinance, you can hire a local Appraiser or ask a local Realtor to run a Comparative Market Analysis. The Realtor's CMA is from the market perspective, not the lender's perspective. I ran two general CMAs, one for Pacifica 1 BR,2 BA and Pacifica 2 BR, 2 BA to get a rough idea of what the numbers look like. There doesn't appear to be any increase in value for the extra bedroom. However, this would be more conclusive if your Realtor were to pick and choose the comps based on Close of Escrow date, age, updates, and area, incorporating what is most like your home. You probably know that Pacifica is in a down market and has been for several months. I would be reluctant to put more money into a Pacifica home solely for a perceived increase in refinance value at this time. It would be okay if you plan to be there for a long time and you need the extra bedroom, but it may not pay off for you in this market. Be careful. I saved the reports if you want them.
Web Reference: http://mariansbennett.com
0 votes Thank Flag Link Wed Jul 2, 2008
You can either ask one of the lenders you are considering for the refinancing or ask an agent to do a comparative market analysis for you. If you ask the lender, they will probably have a realtor they ask to do this for them. Most agents are still doing the CMA's for free.
0 votes Thank Flag Link Wed Jul 2, 2008
Suggest to contact a Real Estate Agent and ask his(her) opinion. they will run a CMA (market analysis) and see how much the property could appriciate.

gene
http://www.gemconsultants.net
0 votes Thank Flag Link Wed Jul 2, 2008
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