Your property appraisal guide

What to expect during the home appraisal process

We might require an independent appraisal when you finance a home purchase or refinance with NewCastle Home Loans. Here's what you need to know about how appraisals work, what they cost, and what to expect.

What is a property appraisal?

A property appraisal is a professional report that estimates a home's value.

A licensed appraiser inspects the home and compares it to similar properties in the area. Lenders use this report to ensure the home’s value and condition meet the loan requirements.

Example: 

When Jasmine bought a two-flat in Logan Square, her appraiser reviewed recent sales of nearby two-unit homes to estimate the property's value. That helped confirm the property met loan guidelines and was worth the purchase price.

How much does an appraisal cost?

Appraisal fees vary by property type, loan program, and location. In most cases, expect to pay between $450 and $900.

Here are the key factors that affect the cost:

• Property type: Multi-unit appraisals (2–4 units) cost more than single-family homes.
• Loan program: FHA and VA appraisals may require additional reporting.
• Occupancy: Appraisals for investment properties typically cost more than those for primary residences.

Who pays for the appraisal?

You, the borrower, must pay the appraisal fee upfront.

We won’t schedule the appraisal until we receive payment. Once payment is received, the appraiser will contact the seller’s real estate agent (for purchases) or you directly (for refinances) to schedule the appointment.

How do I pay for the appraisal?

After we order the appraisal, you’ll receive an email from the Appraisal Management Company with a secure payment link.

Here’s how it works:

1. Check your inbox for the payment request.
2. Click the link to pay the fee by credit card.
3. After payment, the appraiser will schedule the inspection.
4. You’ll receive the final appraisal report by email, usually within 7-10 business days.

Start your appraisal early to avoid closing delays

Ask us to order your appraisal early, and pay as soon as you receive the payment link. The appraiser cannot schedule the visit until you pay.

NewCastle processes your order through an independent Appraisal Management Company (AMC). Mortgage rules prohibit lenders from pressuring appraisers to reach a specific home value.

Appraisals typically take 7–10 business days, but we cannot guarantee this timeline. Delays could put your sales contract deadlines, closing date, or rate lock at risk.

Delays beyond our control may include:

• Waiting to order or pay: You postpone the appraisal until after the home inspection or seller negotiations, or delay payment.
• Property access: The seller, tenant, or listing agent delays scheduling the appraiser’s visit.
• Appraiser availability: A shortage of licensed appraisers in your area increases wait times.
• Complex properties: Unique features, acreage, or damage require extra research and more time to find comparable sales.

We’ll track your appraisal and work with the AMC to keep your loan moving. However, NewCastle does not cover rate lock extension fees, contract penalties, or other costs caused by appraisal delays beyond our control.

If you’re considering waiting, contact your loan officer first, so you understand how that choice could affect your deadlines and costs.

How to cancel the appraisal

If you change your mind, let us know right away by emailing:

→ processing@newcastle.loans

Do I get a refund if I cancel the appraisal?

• Full refund: Cancel at least 24 hours before the scheduled inspection.
• Partial or no refund: Cancel less than 24 hours before or after the inspection. In that case, the appraiser may have already started work.

Do I get a refund if the loan doesn’t go through?

No. The appraisal fee is non‑refundable once the appraiser completes the inspection.

An appraisal is a third‑party service. The appraiser is independent and not affiliated with NewCastle Home Loans. Once the appraiser inspects the property and completes the report, the fee is considered earned, regardless of what happens next.

This is similar to a home inspection. You pay upfront for a professional opinion, even if the deal does not move forward.

You should not expect a refund if:

• The appraised value is lower than the purchase price
• Your loan application is denied
• You decide to cancel the contract
• The seller backs out
• You switch lenders
• The transaction is canceled for any reason

Once the appraiser visits the property, the service is complete. At that point, we cannot refund the appraisal fee.

Important disclaimer

NewCastle Home Loans does not collect or keep the appraisal fee. The payment goes to the Appraisal Management Company and the appraiser. Because an independent third party performs the appraisal, the lender is not responsible for refunding the fee after the inspection is complete.

If you have concerns about timing or risk before ordering the appraisal, talk with your loan officer first. We’ll help you decide the best time to move forward.