01/13/2025
An inspection and an appraisal serve different purposes in the home-buying process. An inspection is conducted by a home inspector to evaluate the property's condition, identifying potential issues like structural problems, faulty wiring, or plumbing concerns. Its primary goal is to inform the buyer about the home's condition and potential repair needs. In contrast, an appraisal is conducted by a licensed appraiser to determine the property's fair market value based on factors like its condition, location, size, and recent comparable sales. Appraisals are typically required by lenders to ensure the property is worth the loan amount being financed. While inspections focus on the home's functionality, appraisals focus on its financial value.