Basements and Appraisals

Did you know basements and finished attics are the easiest way to increase living area for the lowest cost? They’re also included in your home’s value if done correctly. So if you’ve ever heard to stay away, now’s your chance to get the real information. What Is Included When being appraised, the appriaser will verify Gross Living Area, condition of the space, age, up to code, and how it compares to other home basements in the area via comparables. For the most value, the basement should be entirely finished and correctly up to code. Other Things To Consider There are some times when a finished basement area will not be included, such as for comparables or if your lender has strict underwriting rules. Often these cases are rare, but they do happen. However, more often than not, the basement is usually included in the appraisal and simply labeled within the rest of the gross living area. For these reasons it may be missed when you read your report. As a caution to DIYers, if your renovated space is not up to code, an appraisal of it may be more costly than helpful so be sure to ask before building or tearing down. Long answer short, basements can improve your house value, sellability and your fondness for your home. That scary basement could grow to be the space you’ve always dreamed; you simply have to start.

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