When a couple decides to divorce, it can be a difficult and emotional process. Marriage is about love, but divorce is about money, no matter how amicable or disputed the experience. One of the most important issues to address in a divorce is the division of assets, including real estate. Since fairness is the desired outcome, it’s necessary to determine the value of the property through an appraisal.
It’s crucial to note that relying on free Automated Valuation Models (AVMs) like Zillow, Trulia, or Redfin is never a good idea. These AVMs use algorithms to determine property values, which can be highly inaccurate. They don’t take into account critical factors that impact property values, such as the property’s condition, location, or market trends. As a result, relying on these AVMs can lead to unfair settlements and financial losses.
Assessment records are also inaccurate sources of property value information. Assessments are typically done for tax purposes and are often based on outdated or incomplete information. These records don’t reflect the current market conditions or the property’s actual condition. Therefore, relying solely on assessment records can lead to inaccurate valuations.
It’s also essential to understand that real estate agents’ Comparative Market Analyses (CMAs) are not accurate measures of a property’s value. While they can provide a general idea of the market, CMAs are not appraisals and don’t account for all of the factors that appraisers consider when valuing a property. If CMAs were always accurate, everyone would pay the list price for a property, and there would be no negotiations.
In conclusion, divorce is a difficult process, and determining the value of real estate assets is an essential part of a fair settlement. However, relying on AVMs, assessment records, or CMAs can lead to inaccurate valuations and unfair settlements. A professional real estate appraiser is essential to provide a fair, unbiased, and accurate valuation of the property. By choosing the right appraiser, both parties can move forward knowing that they have received a fair settlement based on the true value of their property.