Mortgage Masters Group

Thursday, September 13, 2018

What is the difference between fair market value, appraised value and assessed value?

Throughout the course of performing several closings recently, many customers have had difficulty trying to distinguish between the concepts of “fair market value”, “appraised value” and “assessed value” as they relate to their home. So to assist them (and you), I will try to explain the differences between these three concepts, for in this economic climate, the distinctions between the three can be rather confusing.

Basics and what you need to know!

Making the decision to become a homeowner can be stressful for many first-time homebuyers. The looming questions of affordability, where to purchase, and job security are all legitimate concerns that warrant serious consideration. The reality is that there’s never a right time or the perfect circumstances to begin this journey, but ultimately, you want to treat house-hunting and the mortgage process as you would other major life events.

How homebuyers can avoid being scammed

According to FBI data, there is a rise in real estate wire fraud as hackers target real estate brokers, title companies, and attorneys through phishing email scams that allow malware to monitor email and spot potential transactions. In 2017, $969 million was “diverted or attempted to be diverted from real estate purchase transactions to criminally controlled accounts,” according to the FBI. And in 2016, the number of wire fraud cases jumped 480% from the previous year.

Source: How homebuyers can avoid being scammed