During a divorce, you and your spouse will need to divide your assets, which may include a family home. Learn how a real estate appraiser can help you decide what to do with real property in a divorce.
Do I Need a Real Estate Appraisal?
Even if you think you know what your home’s worth, a judge may still require a professional real estate appraisal in your divorce. Your guess as to your home’s value is just that–a guess. A judge needs an accurate valuation of your home in order to divide property in your divorce.
Additionally, a home’s listing price can be a point of contention for many divorcing couples. The spouse who wants to buy the other out may claim the home is worth a lot less than it really is, while the other spouse may argue it's worth more. A professional appraiser can correctly value your home and help you avoid potential arguments about what your house is really worth. Moreover, a judge will use the real estate appraisal to assist in property division and possibly even determine a spouse’s need (or ability to pay) for spousal support.
Hiring a Licensed Real Estate Appraiser
In some cases, a judge may appoint a certain appraiser. If not, you and your spouse may each decide to hire your own appraisers. Your attorney should be your first resource for finding a licensed real estate appraiser. Real property appraisals are so common in divorces, that most family law attorneys will have a long list of experienced, local appraisers. If a judge appoints one in your case or if you and your spouse agree on a real estate appraiser, you can split the appraiser’s fee, but if you hire you own, you'll be responsible for the cost of obtaining your own valuation.
What Happens at an Appraisal?
The real estate appraiser will contact you (or your attorney) to schedule a time to inspect your home. It’s important to make your home look its best. Now's the time to complete a thorough cleaning and minor household repairs, such as updating small items, like shower heads or cabinet knobs. However, you should avoid investing large amounts of money in your house at this point, as certain improvements may not create a sufficient return on the investment, especially if you plan to sell right away.
During the inspection, the appraiser will take pictures and measurements and ask you about major improvements since you purchased the home. An appraiser’s job is to determine if certain aspects of your home (like the condition, yard, amenities, or other features) make the house worth more or less than other houses in the neighborhood. Within a few weeks, the appraiser will complete a report with a detailed valuation of your property.
A real estate appraiser can be an invaluable resource in your divorce case. Knowing what your home is worth can help you achieve a fair property settlement at mediation, and if settlement talks fail, the appraiser's report may help support your position at trial. If you have questions about using a real estate appraiser in your divorce, you should contact a local family law attorney.