Master Appraisal Requirements for a Smooth Home Sale
When buying or selling a home, appraisal requirements can make or break the deal. Understanding these guidelines is key to a smooth transaction. Whether you're looking at South Hudson houses for sale or considering Southern NH houses for sale, knowing the differences between Conventional, FHA, and VA appraisals can help you avoid delays. Let’s break it down!
Why Appraisals Matter in Real Estate
An appraisal determines a home’s fair market value. Lenders use this number to decide how much they’ll loan. If the appraisal comes in too low, the deal can stall or even fall apart. Knowing appraisal requirements ahead of time can prevent surprises and help buyers and sellers stay on track.
Conventional Appraisal Requirements
Conventional loans follow Fannie Mae and Freddie Mac guidelines. These appraisals focus on the home’s market value, condition, and location.
What Conventional Appraisers Look For:
Comparable sales (recently sold homes in the area)
Structural integrity (roof, foundation, walls)
Functioning utilities and major systems (HVAC, plumbing, electrical)
Property’s overall condition (no major safety hazards)
A home with outdated features may still qualify, but major structural issues could trigger repairs before closing.
Common Pitfalls with Conventional Appraisals
Low appraisals – If the appraisal is below the purchase price, buyers may need to negotiate.
Condition concerns – Fixing big issues (like a leaking roof) may be required.
Market fluctuations – Fast-changing markets can make appraisals tricky.
If you're listing Southern NH houses for sale, pricing competitively can prevent appraisal issues.
FHA Appraisal Requirements
FHA loans are backed by the Federal Housing Administration and have stricter guidelines. They aim to ensure the home is safe, secure, and sound.
What FHA Appraisers Look For:
No major structural defects (roof, foundation, walls)
Functional heating, plumbing, and electrical systems
No peeling lead-based paint (especially in older homes)
Proper drainage and no standing water issues
Safe stairways and handrails
Common FHA Appraisal Hurdles
Peeling paint on older homes – This must be scraped and repainted.
Safety concerns – Missing railings or broken steps need repairs.
Non-functional utilities – If plumbing or electrical systems don’t work, repairs are required.
If you’re selling an older home in South Hudson or Southern NH, consider fixing these issues before listing.
VA Appraisal Requirements
VA loans, backed by the Department of Veterans Affairs, are for eligible military members and veterans. VA appraisals ensure the home is safe, sound, and sanitary.
What VA Appraisers Look For:
No major structural defects (roof, foundation, walls)
No health or safety hazards (lead paint, exposed wires, mold)
Proper heating, plumbing, and electrical systems
No pest infestations or wood rot
No major water damage or leaks
Common VA Appraisal Issues
Safety hazards – Broken windows, faulty wiring, or missing handrails need fixing.
Pest damage – A termite inspection may be required.
Unlivable conditions – Homes must be move-in ready.
If you’re buying a VA-eligible home in Southern NH, be aware of these requirements to avoid delays.
How to Avoid Appraisal Pitfalls
For Sellers:
Price your home based on recent sales in South Hudson or Southern NH.
Fix any major repairs before listing.
Keep records of renovations and upgrades to boost appraised value.
For Buyers:
Be prepared to negotiate if the appraisal is lower than the offer.
Choose homes in good condition to avoid FHA and VA repair delays.
Work with an experienced REALTOR to navigate appraisal requirements.
Understanding Appraisal Requirements: A Quick Guide for NH Home Sales
Understanding appraisal requirements is key to a smooth home sale. Whether you're selling a home in South Hudson or buying in Southern NH, knowing what to expect can help you avoid pitfalls. Stay informed, be proactive, and work with a knowledgeable REALTOR to close deals efficiently!
Looking for South Hudson houses for sale or exploring Southern NH houses for sale? Let’s chat and make your real estate journey stress-free!
If you need more information on appraisal requirements, or are ready to sell your house give us a call at (603) 883-8840. You can also sign up for your dream home search or reach out to Our Agents for more information. We’d love to help you with your real estate needs.
