An appraisal in Jackson Hole is a key component of a Real Estate transaction whereby Bank financing is contingent upon the sale of a property. It is merely an opinion of value attributed to a property. An appraisal or ‘opinion of value” can be given by many professionals but it is recommended that a certified appraiser conduct the valuation of a property. If an owner simply wants a valuation opinion for his or her property in Jackson Hole, it is wise to ask at least 2 top producing Real Estate Brokers to give separate opinions. Usually, a seasoned Realtor is very talented at pricing Real Estate in Jackson Hole. The opinions of value can be incredibly different on the same property appraised by 2 different certified appraisers. It is critical that the “appraiser” is picked carefully by a buyer to accomplish the specific purpose desired for a property purchase.
An appraisal ordered by a financial institution always requires a certified appraiser to do the work. Banking guidelines do allow for choosing from a list of certified appraisers that may give a liberal or conservative appraisal on the subject property.
Appraisers usually use one or more of three different appraisal approaches which include a cost approach, income approach or comparable market approach. The income approach is most often more widely accepted for commercial appraisals in Jackson Hole. This makes commercial appraisals tougher as the land and buildings are usually high priced in Jackson Hole and Teton Village. Many appraisers will also use the cost approach to help justify the purchase price. This is a breakdown of what it would cost to replace the building in its current condition and what the land is worth. The comparable appraisal approach tries to look at comparable properties and land cost of similar property. This is always a challenge in the area as each property here is so different with views, neighborhoods and other economic factors.
Jackson Hole Rental Condos can be the easiest to appraise as the rental statistics and Jackson Hole MLS comps are readily available to assist the Realtor, buyer and seller. Business appraisals in Jackson Hole are the toughest and many times require appraisers from other states. They are called in to determine a correct valuation. Jackson Hole Homes and rental properties are all subject to a wide range of valuation because of the differences mentioned above. If the property is in a specific Resort area or neighborhood with consistent rental statistics, the appraisal can be less cumbersome and more consistent among different certified appraisers.