A pre-purchase appraisal provides the added benefit of "peace of mind" for the buyer or transferee.

The appraisal aids the prospective buyer by validating for them that the offer that they have just made on a property is legitimate based on current market conditions. The appraisal could also aid the buyer in avoiding costly PMI (Private Mortgage Insurance) by making a more informed offer during the negotiation period.

A pre-purchase appraisal from LB Appraisal Associates should be used as a tool by the buyer or transferee to assist in making a qualified and informed decision. In making the pre-purchase appraisal a part of the contingency clause of the offer to purchase, the appraisal must be completed immediately. As a result, when the buyer applies for the mortgage, the appraisal has already been completed and could, quite possibly, be used to secure a mortgage loan.

The value determined by the pre-purchase appraisal confirms that the sale price agreed to is a valid one. Since the value, or sale price, is not provided to the appraiser, the opinion of value is based on current and local market conditions for the area and not a "target figure" to support a loan.

The pre-purchase appraisal represents a great way to protect the financial interests of the buyer. It provides you with the support needed for the logic that you used in formulating a realistic offer that you can present to the seller.