Whether you should pay for an appraisal depends on your situation in the real estate process.
If You Are a Buyer
For a purchase with financing, ask your lender whether an appraisal is needed and how it must be ordered.Confirm the appraisal charge, payment responsibility and cancellation terms with the party arranging the assignment.An appraisal supplies an independent opinion of value to inform a purchase decision.If You Are a Seller
Optional for Sellers: As a seller, you are not required to get an appraisal before listing your home. Some sellers choose to do so to set a realistic price, but this is not mandatory.A seller’s privately ordered appraisal may not satisfy the buyer’s lender requirements.If You Are Refinancing
If refinancing, ask the lender about the appraisal process and charges for the specific loan.Key Considerations
An appraisal assesses value; a home inspection examines physical condition and potential defects.Ask the lender whether an appraisal or another valuation process is required for the particular loan.