How to Increase Home Value for an Appraisal

Want to increase value before the appraisal? Avoid these mistakes

Don’t overimprove

What you perceive to be the value of a home upgrade and how an appraiser values the same improvement can be starkly different. While you may love the look of crown molding in every room of your home, for example, the cost of that addition likely won’t transfer into your home’s appraised value. The same goes for a high-end kitchen remodel or converting a garage into a living space.

“It’s not so much that it’s not worth it, the problem is an appraisal has only so many line items to it, so with that you can’t itemize each individual aspect,” says Jason Axtell, a Certified Residential Appraiser and owner of Home Valuation Services of Arizona, which serves Maricopa and parts of Pinal county in Arizona.

Don’t invest in anything that might be considered personal property

When appraising a house, appraisers cannot account for personal property. This is considered anything that can technically be moved, including sheds and above-ground spas.

“Unless it’s a permanent fixture that’s tied down to a concrete slab or something like that, then it’s moveable and can be considered personal property,” Axtell says.

Don’t add anything that’s highly unusual for the neighborhood

If you’re the only person in your neighborhood to have a putting green and Olympic-sized pool in your backyard, then you probably won’t see the full value of those improvements reflected in your appraisal.

“If it’s not typical for the neighborhood, I’m not going to give you credit for it,” Axtell says. “Sure, you want the return on the investment, but you’re not going to typically see that in an appraisal report.”

List of upgrades to increase appraisal

Increasing a home’s appraisal value doesn’t always require a great deal of time and money. In fact, investing in big expensive improvements usually won’t recoup your spend dollar for dollar. Instead, focus on some of these distinct tasks that are known to carry weight with appraisers and typically have a positive ROI.

Exterior improvements to increase home value for appraisal

Basic yard care

Though it’s not at the top of their list, curb appeal does play a role in how an appraiser values a home. Their job is to look at the overall condition and quality of the house as well as the property. Tidy up the grounds, remove any dead trees, repair walkways, and seal driveways.

“The one thing that isn’t going to hurt you is if your home looks well-cared for,” Axtell says.

When you go to actually sell to a buyer, an average cost of $340 in basic yard care can garner upwards of 539% ROI.

Fresh paint

Applying a fresh coat of paint to a home’s exterior can quickly make an aging home look 10 years younger.

Though the average cost of doing this is about $3,000, it adds an estimated $7,571 in resale value for a 152% ROI, a recent HomeLight survey found. While scaling your home, most professional painters will also make any minor repairs to its siding, such as nail down warped wood or caulk any gaps or cracks.

Install new garage door

The Uniform Residential Appraisal Report specifically requires appraisers to mark whether a home has a garage and how many cars it holds as well as whether they see any physical deficiencies with the property. If your garage door looks worse for the wear, consider investing in a replacement. Remodeling Magazine found that installing a new garage door in 2023 is estimated to recoup 102.7% of the cost.

Spruce up front door and porch

The front door and porch are some of the first things appraisers and prospective buyers see when they approach a home. If you don’t get the entire exterior of your home repainted, it’s worth at least having these items freshened up to make a good first impression.

Front porches in particular have come back into fashion since the start of the pandemic, as it serves as a safe way to visit with neighbors and keep up with what’s going on in the community. According to a recent HomeLight survey, agents estimate from pre-COVID times to now that the dollar amount a front porch adds to a home has increased 61%, from $3,526 to $5,686.

Interior improvements to increase home value for appraisal

Kitchen and/or bathroom update

Recognizing how heavily people value kitchens and bathrooms, appraisers pay especially close attention to the condition of and materials used for these areas of a home. Of all the interior spaces, these areas can often have the greatest dollar-for-dollar ROI when updated smartly.

“When you’re talking about improvements, you can usually get a pretty good return on stuff like kitchens and baths,” Axtell says.

However, every circumstance is different, so it’s good to discuss with a professional what is worth replacing or resurfacing and what isn’t.

Freshen up walls

Fill in any nail or tack holes, touch up the paint, and repair any damaged trim. While cosmetic in nature, these sort of details make a difference in how appraisers and potential buyers perceive a home’s value.

“When you walk into a house and it looks pretty darn clean and you don’t really see any issues, it’s kind of like, ‘Okay, this house has been well kept,’” Axtell says.

Make minor repairs

This is the time to tighten up any loose railings, leaky faucets, or runny toilets. These are easy fixes that if taken care of can avoid any unnecessary value deductions.

“If you have a lot of minor things that need to be corrected, then it adds up and impacts the condition,” Axtell says.

Install shutters

If you’re looking to add a little extra style to your home while still keeping the appraisal in mind, Axtell says interior shutters with tilted wooden louvers are a good addition.

“Shutters are always a nice feature for a lot of folks to put in, and you can usually get a pretty good return on them,” he says.

Check that everything works

Turn on every appliance and switch to make sure it all works properly. Heating and cooling systems are especially important since they’re considered necessary for a home’s livability. Fix anything that’s faulty.

More tips to prepare for a home appraisal

Provide a list of improvements

If you want to make sure your home gets full credit, provide the appraiser with a clear list of improvements you’ve made and when they were completed.

“A lot of times I go into a vacant house and I have no idea what’s been done to it,” Axtell says.

While Axtell can do his job without this information, he won’t necessarily know that the AC unit was replaced recently or that the patio was just installed last summer.

“Quite honestly, that helps the appraiser include it in the report, shows that the house is being maintained, and helps solidify the value for those improvements,” Axtell says.

Do your own comparison research

Henry Herrera, a top real estate agent in San Antonio, Texas who sells properties 58% faster than other agents in his area, says that providing the appraiser with a list of similar properties that recently sold in your area (known as comparables or comps for short) is usually a good idea.

“It adds supporting documents for their case, so the more information we can provide them with the better,” Herrera says.

Axtell says not all appraisers appreciate this as much as others, but he finds it helpful for the most part.

Try to be present for appraisal

Though it’s important to give appraisers space to do their jobs, having a homeowner on the property during an appraisal can help the process move more smoothly and make sure the appraiser gets everything he or she needs.

This includes providing access to every area of the property and answering any questions the appraiser may have.

That said, try not to be a distraction.

“Don’t follow the appraiser around the entire property,” Axtell says. “It’s not so much that the appraiser wants to be left alone. If they’re distracted by a lot of conversation, they may forget to take a photo or something, which does happen sometimes.”

Just like how someone is going to prepare a car that they’re going to sell, they usually detail it and give it some sort of fresh odor, homes should be dealt with the same way.

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Are there any cheap ways to increase value for an appraisal?

Of all the ways to increase a home’s value for appraisal, focusing on simple curb appeal strategies is often the cheapest way to get the greatest bang for your buck.

In Homelight’s 2022 Top Agent Insights report, agents reported that basic yard care (539% ROI) and applying fresh mulch (536% ROI) will yield the highest ROI by collectively adding nearly $4,500 in resale value on a small budget.

If you’re planning on staging the home for when potential homebuyers come to view it, you might as well do it in advance of the appraiser’s visit as well, Herrera advises.

“Just like how someone is going to prepare a car that they’re going to sell, they usually detail it and give it some sort of fresh odor, homes should be dealt with the same way,” Herrera says.

To increase home value for appraisal, have these documents ready

Any materials you provide to the appraiser should be in the spirit of sharing information, rather than pressure to get a higher appraised value. An appraiser’s job is to provide an opinion of value that is independent from interests of the borrower, property owner, or lender involved. With that in mind, consider providing:

1. Complete offer: If a buyer is using a mortgage and has made an offer on your home, be sure the complete offer is on hand for the appraiser to review.
2. Tax valuation: Another data point for comparison is the assessed value of the home from the county assessor’s office. Having the property tax rate on hand is useful as well.
3. List of all the upgrades done to the home with dates and cost: To ensure the appraiser doesn’t miss any upgrades you have done to your home, provide a list, completion date, and cost for every upgrade you have done.

Sacramento appraiser Ryan Lundquist recommends giving the appraiser a “cheat sheet” that includes:

• Your contact information (name, phone, email address)
• Subject property address
• Recent upgrades with their year, cost subtotals, and total cost listed
• The reason why you bought the house
• Things about the neighborhood that tend to attract buyers
• Other pertinent information about the surrounding area

Lundquist notes that you don’t have to write a novel, but offering more information than “remodeled throughout” will assist the appraiser.

4. Listing history: The listing history includes each sale of the property, when it happened and how much it was for. This information can be found at the county recorder of deeds or the tax assessor’s office, and can usually be accomplished with a public record search online.
5. Comps: The appraiser will pull their own comps — the value of houses that recently sold in your neighborhood — but it can be a good idea to have your own. Also, be prepared to explain large variations in the price of your home and nearby comps.
6. Bad comps (to point out ones not to use and why): If an appraiser pulls a comp that might skew your value, it’s helpful if you can provide evidence as to why it isn’t useful in determining your home’s appraised value. For example, any homes that were foreclosures or short sales may be considered bad comps. Or perhaps one of your neighbors sold their home to a relative for below market price. A real estate agent can assist you with this.

What decreases a home appraisal?

A number of factors can negatively affect a home appraisal. Some of the top ones include:

While a home doesn’t need to be spotless, it should look cared for. Signs of excessive clutter or neglect can raise concern for possible pests, such as mice or termites.

What the home appraiser looks for

Just imagine your home after you strip out your personal items — that is what the appraiser cares about. So, even though your custom-made living room furniture would make any interior designer swoon, it will not impress the appraiser at all. Custom-made furniture, no matter how lovely, isn’t part of your home’s value for appraisal.

The quality and condition of the “bones” of your home is what matters. During a home visit, which can take 30 minutes to several hours depending on the size of your property, the appraiser takes measurements, examines amenities, and snaps a lot of photos.

The appraiser then looks at what similar homes in your area have sold for recently (within the last six months) and combines all of this information to reach a final appraisal value.

How to find a qualified home appraiser

If you’re selling a home to a buyer preapproved for a loan, the buyer’s lender will hire the appraiser before closing.

Regulations put in place by the Federal Housing Administration during the financial crisis require that the appraisal be completed by an independent third party (unassociated with either the borrower or lender). Lenders will use an appraisal management company that draws from a list of qualified appraisers. Whoever is hired must be certified in the state you’re in and, in most cases, conform to the Uniform Standards of Professional Appraisal Practice.

But if you’re just seeking pricing guidance and wish to find a qualified, reputable appraiser who has years of experience in your area, then consider these options:

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