Appraisal

[Dwayne Buckner]

For those of you who have owned rental homes and subsequently sold them, I have a question.

If you took the example of two identical homes, across the street from each other, on the resale market, in the same condition, and the only difference is that one had been a rental home for a number of years and the other had been owner-occupied, as a buyer I would go for the owner-occupied home. That made me wonder if appraisers realize that potential buyers would find a home that was previously a rental to be at least slightly less desirable and adjust for that in their appraisal. Does this happen?

Thanks,
Dwayne