The Quiz: A home’s value is determined in a process known as what?
Appraisal
Home inspection
Escrow
Arbitration
Before a house goes on the market, it is appraised, or given an unbiased, professional assessment of the home’s value. Appraisals are used to determine whether a property’s list price is appropriate and to ensure that borrowers aren’t paying too much for a property. If a home is bought for far more than it’s worth, it may be more difficult to pay off.
The correct answer to this quiz is Appraisal.