How Long Does It Take for a Home Appraisal to Come Back?

A home appraisal represents an unbiased professional opinion regarding a property’s value. This valuation serves a primary purpose in various real estate transactions, including securing mortgage lending, facilitating buying and selling processes, and supporting refinancing efforts. It provides a verified assessment of the property’s worth, helping ensure financial commitments align with the actual market value.

Typical Appraisal Turnaround Times

Receiving a home appraisal report typically takes 6 to 20 days once the order is placed. This duration includes scheduling the inspection, the physical visit to the property, and the subsequent report writing and delivery.

The initial scheduling of an appraisal often occurs within 48 hours after an offer is accepted or a new loan application is made. The on-site inspection itself is usually a shorter component, lasting anywhere from 30 minutes to a few hours, depending on the property’s characteristics. The appraiser’s evaluation, research, and compilation of the detailed report are often the most time-consuming parts of the process.

Key Factors Influencing Appraisal Speed

Several variables can either expedite or delay the home appraisal process. The availability and current workload of appraisers significantly impact turnaround times; a shortage of appraisers or a high volume of appraisal requests in a given market can lead to longer waiting periods.

The complexity of the property also plays a role in the appraisal timeline. Unique, unusually large, or properties with complex features may require more extensive research and analysis, extending the time needed to complete the valuation. Market conditions, such as an active real estate market, can increase the demand for appraisals and prolong wait times.

Other factors include responsiveness from the homeowner or occupant, lender-specific requirements, and geographic location. Rural areas might have fewer available appraisers, potentially leading to longer waits compared to more populated regions.

Understanding the Appraisal Process

The home appraisal process begins when an appraisal is ordered, typically by the mortgage lender, once a purchase offer is accepted or a refinance application is made. After the order is placed, an appraiser is assigned, often through an appraisal management company (AMC) to ensure independence. The appraiser then contacts the property owner or agent to schedule a physical inspection.

During the property inspection, the appraiser conducts a visual assessment of the home’s interior and exterior. This includes taking measurements, capturing photographs, and evaluating the property’s overall condition, features, and improvements. Following the on-site visit, the appraiser conducts extensive research and analysis, identifying and analyzing comparable sales (recently sold properties similar to the subject home) and reviewing market data.

The appraiser then compiles findings into a formal appraisal report, such as the Uniform Residential Appraisal Report. This report details the property’s characteristics, market analysis, and the appraiser’s determined value. Before final delivery, the report may undergo quality control or internal review by the appraisal firm or the lender. The completed report is then transmitted to the ordering party, most often the lender.

What Happens After the Appraisal Report is Delivered

Once the appraisal report is completed and delivered, typically to the lender, it undergoes a review process. The lender, and often the buyer and seller, will examine the report to understand the determined value of the property. This valuation directly impacts the transaction, particularly loan approval.

The appraised value may meet the contract price, exceed it, or come in lower than the agreed-upon sales price. If the appraisal value is at or above the contract price, the transaction can generally proceed smoothly, and the loan approval process continues. A low appraisal, where the property’s value is less than the sales price, can present obstacles because lenders typically only approve loans up to the appraised value.

In cases of a low appraisal, several next steps might occur, including renegotiating the sales price with the seller, the buyer paying the difference out-of-pocket, or, if an appraisal contingency exists, potentially withdrawing from the offer. Borrowers have a right to receive a copy of their appraisal report. Lenders are required to provide a free copy of the appraisal for first-lien mortgages promptly after completion, and no later than three business days before the loan closes.