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From what’s been written in the news lately it appears that the number of first time home buyers may be on the rise.
I have been appraising for over 20 years and still find the majority of customers, even those that have bought and sold many homes, still do not understand what happens during the appraisal process. One way that an appraiser can benefit a first time home is by verifying if the home they want to purchase is worth what the seller is asking.
The other situation that can occur is when a home is priced based on different criteria than what is supported by the market. If you consider that a home is an investment, you want the investment to fit within the acceptable parameters of the market (neighborhood) that it is in because a home’s value is maximized when it falls within the norms of the area. Another useful piece of information may include what part of the neighborhood life cycle it is in. Appraisers can provide insight into the potential for resale value of your home by looking at supply and demand for the area, etc. It’s difficult to predict what is going to occur several years into the future but we can make the best decisions possible right now by studying what has occurred in the past and looking at current trends. Tom Horn blogs about the Birmingham, Alabama real estate market as well as current topics in the real estate appraisal appraisal field.
Tom has spoken at various real estate groups around the Birmingham area and is available to speak at your office sales meeting. I need to know the dimensions of the front cover, and the width of the red, black and white border frames.
I'd still like to know the correct font they used which is similar but not exactly like the font Time magazine uses for the headline on the front. Just trying to help, I searched ebay and several of the older issues were as low as .99 cents. Grab an issue of ebay and you can have it delivered to your door after shipping for under 4 dollars.
I have had a subscription to Time for about 15 years, but I am sorry to say I throw most of them away.
One thing to keep in mind is that the screen-used Time cover wasn't like the ones on newsstands at the proper time (1989 is the supposed time of Smallville's first meteor shower).


While we do not have to go into the most minute detail we should inform them of what we are doing and why we are doing it. While it’s not the majority of the time, I have found that sometimes homes are not being priced competitively with other properties. Would you want to buy into a neighborhood that was on the decline or in its growth and maturity stage? The resale value of your home is based on what the future demand will be for the area it is located in, among other things.
If no land is available to build a home on, but there is strong demand, then this will occur.
The appraisal can provide peace of mind to the buyers and it can also let the lender (if they are getting a loan) know that the collateral covers the loan amount.
Because I am such a big proponent of educating consumers on the appraisal process I thought I would focus on how appraisers can benefit first time home buyers. A person’s home is typically their biggest investment and they should know how this investment fits into the overall real estate market. If sellers are working with real estate agents that are familiar with the market the agent will price the home to the market, meaning that they will take into consideration what similar homes have recently sold for and also what other comparable homes are currently listed at.
When this occurs a lot of time can be wasted because the deal usually falls apart when the appraisal comes up short.
When this occurs its value is not maximized because there is less contributory value for the additional square footage that it has. If you plan on living in your home for an extended period of time you would probably want it to be in the growth and maturity stages so that it’s value would be preserved as opposed to the later stages when people may be moving out and homes start losing value.
Appraisers study supply and demand because it plays a big role in what the value of a property is.
Most people don’t consider this when buying a home but it can be helpful in making educated buying decisions. It is one of the most important aspects of the listing process and I am glad Tom Horn is the man we turn too. Also, the barcode on the cover is on the bottom right for the SV cover, while its on the left for the real magazine.


Are they buying an overpriced investment that they may not be able to get their money back on when they go to sell? When this is done then a home will sell within a reasonable amount of time and the buyers will be able to get financing (if their credit is good) because there should be no appraisal issues.
Appraisers can assist these home buyers by providing an appraisal upfront to determine if there will be any problems with value. Older neighborhoods are not necessarily always on the decline because they can undergo revitalization which can result in appreciation in values. An area that has seen steady and strong demand over an extended period of time will be one that exhibits stable and even appreciating values. The screen-used version is a nice approximation but not meant to represent the real deal, otherwise they'd have gotten those details right. Or are they getting a good deal that will most likely provide a good return on their investment?
Typical examples of where this may be helpful are with properties that are in areas where there are few sales and where it is difficult to come up with a list price. Knowing this type of information can help you make decisions about your biggest investment. Sometimes it may be difficult to determine this in mature neighborhoods but a good sign that people still want to live in an area is when you have renovations of existing homes or even the tearing down and rebuilding of new homes that meet today’s standards. In other cases some sellers have a predetermined number in mind that they want their home to sell for based on their own criteria, however that number may be unrealistic.
The buyer can help make an informed decision by utilizing an appraisal to get the true market value of the home.



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