What is a house appraisal value?
Last updated: 6 Aug 2025
739 Views
If you're looking for a home loan, you need to understand what the appraisal value (or home appraisal price) is. This helps you prepare for your home loan application, including condos and other real estate in Thailand. Today, we'll reveal tips to help you choose a home or condo that will help you achieve a high appraisal price.
___________________________________________
What is a home appraisal value?
The appraisal value (or home appraisal price) is the median value assessed by experts to determine the value of a home. It's not the selling price the seller has set. Many people confuse this with the selling price, but in reality, when considering a home loan, banks consider the appraisal value of the home.
Newbies to home loans need to understand that the appraisal value isn't the selling price.
I'm sure many people don't realize that banks will grant home loans based on the appraisal value, not the selling price. Generally, appraisal values are lower than the actual selling price, and the maximum loan amount must be calculated. For example, a maximum loan amount is 95%, with the remaining balance being the borrower's own contribution. Therefore, it's crucial to have a lump sum available to cover the difference.
For example,
A seller sells a house for 2,300,000 baht.
The bank appraises the house at 2,000,000 baht.
The bank will grant a 95% loan, resulting in a loan of 1,900,000 baht.
Therefore, the borrower must pay the difference of 400,000 baht.
___________________________________________
What does the bank base its home appraisal on?
The criteria banks use to appraise a home are based on several factors. The three main criteria are:
1. Treasury Department Appraisal Value
The Treasury Department's appraisal value is the median price assessed by the Treasury Department, the agency responsible for overseeing state property and many other assets. The Treasury Department also determines the appraisal value of real estate under the Land Code, which includes buildings.
2. Market Price and Property Location
Market price certainly influences the bank's appraisal. Market price refers to the price of similar properties in the same neighborhood or location.
3. Other supporting factors
In assessing home value, banks also consider several other factors to determine the value of a home for borrowers. These factors are crucial. Therefore, if you're considering buying a home or condo, we recommend considering these factors first. Examples of factors in assessing a home:
- House type
- House and land size
- House and condo age
- House structure
- House condition
___________________________________________
7 Factors Affecting Home Appraisal Value: Read this if you want to get a high loan.
1. Good land is more than half the battle. Land size and characteristics certainly affect appraisal values. Land that tends to have a high appraisal value is typically wide and square.
2. The house must be ready for occupancy. The house and land must be in new, ready-to-use condition. If damaged, it should be repaired before applying for a loan.
3. Convenient transportation access. Transportation is an important factor that many people often overlook. However, did you know that to achieve a high loan, you should look for a home with convenient access, free roads, and good access to public transportation. The closer you are to a train station or a road expansion, the better the appraisal value.
4. Complete public utilities. Some people may not realize that if your home lacks water or electricity, the bank will significantly lower its appraisal value. Therefore, having access to water and electricity will help increase the appraised value.
5. Surrounded by a rich environment. Another factor that will increase your loan approval is the surrounding environment. All of these factors affect the appraised value, including public parks, communities, and important locations such as government offices, hospitals, schools, markets, and department stores. If a house has all these features, it will command a higher appraised value than a house lacking such a rich environment.
6. Location and popularity are key factors that significantly affect the appraised value. A house in a good location often includes all these factors. However, the price of houses in prime locations will also increase.
7. Useful spaces: Houses and land with useful spaces are often included in the appraisal, such as gardens, farms, ponds, and parking lots.
___________________________________________
Where can I find online home appraisals?
Currently, you can access online home appraisals on the Treasury Department's website, which is designed to provide services to the public and officials, allowing them to view the median property prices throughout Thailand. You can choose to view appraisal prices for three types of properties:
Vacant land
Condominiums such as apartments and condominiums
Buildings such as detached houses, townhouses, commercial buildings, etc.
___________________________________________
Thank you for the great information from SUNGATEWAY.
___________________________________________
What is a home appraisal value?
The appraisal value (or home appraisal price) is the median value assessed by experts to determine the value of a home. It's not the selling price the seller has set. Many people confuse this with the selling price, but in reality, when considering a home loan, banks consider the appraisal value of the home.
Newbies to home loans need to understand that the appraisal value isn't the selling price.
I'm sure many people don't realize that banks will grant home loans based on the appraisal value, not the selling price. Generally, appraisal values are lower than the actual selling price, and the maximum loan amount must be calculated. For example, a maximum loan amount is 95%, with the remaining balance being the borrower's own contribution. Therefore, it's crucial to have a lump sum available to cover the difference.
For example,
A seller sells a house for 2,300,000 baht.
The bank appraises the house at 2,000,000 baht.
The bank will grant a 95% loan, resulting in a loan of 1,900,000 baht.
Therefore, the borrower must pay the difference of 400,000 baht.
___________________________________________
What does the bank base its home appraisal on?
The criteria banks use to appraise a home are based on several factors. The three main criteria are:
1. Treasury Department Appraisal Value
The Treasury Department's appraisal value is the median price assessed by the Treasury Department, the agency responsible for overseeing state property and many other assets. The Treasury Department also determines the appraisal value of real estate under the Land Code, which includes buildings.
2. Market Price and Property Location
Market price certainly influences the bank's appraisal. Market price refers to the price of similar properties in the same neighborhood or location.
3. Other supporting factors
In assessing home value, banks also consider several other factors to determine the value of a home for borrowers. These factors are crucial. Therefore, if you're considering buying a home or condo, we recommend considering these factors first. Examples of factors in assessing a home:
- House type
- House and land size
- House and condo age
- House structure
- House condition
___________________________________________
7 Factors Affecting Home Appraisal Value: Read this if you want to get a high loan.
1. Good land is more than half the battle. Land size and characteristics certainly affect appraisal values. Land that tends to have a high appraisal value is typically wide and square.
2. The house must be ready for occupancy. The house and land must be in new, ready-to-use condition. If damaged, it should be repaired before applying for a loan.
3. Convenient transportation access. Transportation is an important factor that many people often overlook. However, did you know that to achieve a high loan, you should look for a home with convenient access, free roads, and good access to public transportation. The closer you are to a train station or a road expansion, the better the appraisal value.
4. Complete public utilities. Some people may not realize that if your home lacks water or electricity, the bank will significantly lower its appraisal value. Therefore, having access to water and electricity will help increase the appraised value.
5. Surrounded by a rich environment. Another factor that will increase your loan approval is the surrounding environment. All of these factors affect the appraised value, including public parks, communities, and important locations such as government offices, hospitals, schools, markets, and department stores. If a house has all these features, it will command a higher appraised value than a house lacking such a rich environment.
6. Location and popularity are key factors that significantly affect the appraised value. A house in a good location often includes all these factors. However, the price of houses in prime locations will also increase.
7. Useful spaces: Houses and land with useful spaces are often included in the appraisal, such as gardens, farms, ponds, and parking lots.
___________________________________________
Where can I find online home appraisals?
Currently, you can access online home appraisals on the Treasury Department's website, which is designed to provide services to the public and officials, allowing them to view the median property prices throughout Thailand. You can choose to view appraisal prices for three types of properties:
Vacant land
Condominiums such as apartments and condominiums
Buildings such as detached houses, townhouses, commercial buildings, etc.
___________________________________________
Thank you for the great information from SUNGATEWAY.
Related Content
