When you’re facing bankruptcy, an appraisal provides you with an accurate assessment of your home’s fair market value. Attorneys recommend their clients contact a real estate appraiser to get the most accurate valuation possible. Accurate value is important because significant discrepancies in the value of your home can create problems in your bankruptcy proceedings.
If a value is listed too high, for example, you might miss out on the availability of a Chapter 7 and/or end up paying back more than necessary in a Chapter 13. If the value is listed too low, you run the risk of a trustee objecting to it and potentially asking the court for permission to seize your home. Plus, an obvious “low ball” value will call your honesty, truthfulness, and credibility into question in future proceedings with the bankruptcy judge, trustee, and opposing counsel.
Real estate appraisers perform an essential function in the bankruptcy process. Appraisers estimate asset collateral values of secured creditors and debtor-in-possession (DIP) financings; help to identify and value sale/leasebacks, spin-offs, licensing, and other re-organization opportunities; and are often involved in structuring and valuing restructured debt and equity instruments, as well as assessing and advising on the fairness of proposed re-organization plans.
For these reasons, bankruptcy professionals rely on experienced and credible real estate appraisers. Our team of certified and highly qualified appraisers at Accurity Valuation understands the complexities of assessing a property’s value under these difficult circumstances. We work hard to provide you with the best possible experience.