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EducationFebruary 28, 2020

Desktop Appraisals: Technology Solution During Market Uncertainty

Explanation of desktop appraisals and how technology enables valuations without in-person inspections.

By Paul Myers

Desktop appraisals value a property using MLS data, public records, satellite imagery, and comparable sales without a physical inspection. They became widely accepted during the pandemic and remain a viable option for straightforward properties with clear value ranges.

What Is Desktop Appraisal?

Desktop appraisal: Property valuation using public data, photos, and market analysis WITHOUT physical inspection.

Uses:

  • MLS data
  • Zillow/public records
  • Google Street View
  • Satellite imagery
  • Comparable sales data

No in-person visit required.

When Desktop Works

Straightforward Properties: Basic homes, clear value range Clear Comparable Data: Abundant recent sales Low-Risk Transactions: Refinances, not purchase money Sufficient Photo Documentation: Owner-provided photos or Street View

Limitations

Desktop can't assess:

  • Actual condition details
  • Interior layout
  • System functionality
  • Defects or needed repairs

More conservative valuations typically result.

2020 Implementation

Lenders accelerated desktop appraisal use when in-person visits became risky.

Worked well for straightforward transactions. Limited for complex properties.

Going Forward

Desktop appraisals remain viable tool for specific situations. Not replacement for full appraisal, but useful option.

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