Homeowners and appraisers continue to close the gap between perceptions over home values in their area. Quicken Loans’ National Home Price Perception Index shows that appraised values were just 0.34 percent lower than what homeowners expected in May. A year ago, the gap between the appraiser and owner’s home price opinions was five times larger.
Still, home value perceptions vary quite a bit from city to city. Homeowners in San Jose, Calif., for example, tend to receive appraisals that are, on average, 2.82 percent higher than what they expected. On the other hand, homeowners in Chicago are receiving appraisals that are 1.69 percent, on average, lower than what they estimated.
“Real estate is incredibly local, from style preferences to the direction of the market—and everything in between,” says Bill Banfield, Quicken Loans executive vice president of capital markets. “Our hope is that this report can help homeowners realize that national headlines don’t always apply in their community. It’s important homeowners talk to real estate or mortgage experts who have experience analyzing their community when they’re thinking of selling, or utilizing their home’s equity.”
