What Questions Should I Ask A Real Estate Appraiser Before Hiring?

When hiring a real estate appraiser, asking the right questions ensures you get a qualified professional who understands your property and local market. Here are the essential questions you should ask:

Credentials and Licensing

• Are you licensed or certified? — Verify their license or certification number and confirm they meet state requirements.
• What is your license number? — This allows you to verify their credentials with your state's regulatory board.
• Do you have professional designations? — Ask about credentials like SRA (Residential Accredited Appraiser), MAI (Member of the Appraisal Institute), or IFA (Independent Fee Appraiser), which indicate advanced training and experience.
• Have you ever been disciplined? — Check if they have any regulatory violations or complaints against them.
• Do you belong to professional appraisal organizations? — Membership in organizations that require testing and continuing education demonstrates commitment to professional standards.

Experience and Expertise

• How long have you been appraising? — More experience generally indicates better understanding of market trends and appraisal methodology.
• Are you a full-time appraiser? — Full-time appraisers typically have more current market knowledge than part-time practitioners.
• Have you appraised properties of this type in this area? — Geographic competence is crucial; the appraiser should be familiar with your neighborhood and property type.
• Where is your office located? — An office far from your property may indicate lack of local market knowledge.
• Do you work from a professional office or home? — This can indicate the scale and professionalism of their operation.

Market Knowledge

• Are you a member of the local multiple listing system (MLS)? — MLS access is essential for finding accurate comparable sales data.
• Do you understand the market for my property? — For specialized or unique properties, ensure they have experience with similar valuations.
• Will you listen to my concerns about the property? — A good appraiser should be willing to understand how you use the property and any unique features.

Appraisal Process

• What method will you use to determine value? — Understand whether they'll use comparable sales, cost approach, income approach, or a combination.
• How many comparable properties will be in the report? — Typically three to six comparables are used for residential appraisals.
• Which reporting format do you use? — Ask whether they use standard forms (like URAR 1004) or narrative reports.
• How long will the appraisal take? — Get a clear timeline for completion.
• Will you need inside access to the property? — Understand what level of access they require.

Fees and Ethics

• What is your fee for this assignment? — Get a clear, upfront quote for their services.
• How do you charge? — Acceptable methods include hourly rates, flat fees, or per-item charges; never hire an appraiser who charges a percentage of the appraised value, as this creates a conflict of interest.

Asking these questions helps you avoid "fast and cheap" appraisers who may lack geographic competence or adequate experience, which can result in inaccurate valuations that harm your transaction.