What is an appraisal and who pays for it?
Answered by Onias Derilus, Mortgage Capital · NMLS# 1859012 · Florida licensed mortgage broker
An appraisal is an independent licensed estimate of a home's market value, required by lenders to confirm the home is worth the loan. In Florida it usually costs $500 to $700 and the buyer pays it.
You pay early, during the application stage, and it's typically non-refundable since the appraiser does the work regardless of whether you close. We order it promptly so it never becomes the bottleneck.
What an appraisal does
An appraisal is an independent estimate of a home's value. A licensed appraiser visits the property, measures it, and compares it to recent nearby sales. The lender uses that value to confirm the loan is safe.
The appraisal protects you too. It stops you from overpaying and confirms the home is worth what you agreed to pay.
Who covers the cost
The buyer usually pays for the appraisal, often $400 to $600 in Florida. You typically pay it upfront during the loan process, and it may appear on your closing statement.
If the value comes in low, we help you weigh your options. Get pre-approved and we will order the appraisal at the right time so your closing stays on schedule.