Why Do I Pay for the Appraisal When the Lender Owns the Final Report?

If the report is owned by the lender, why should I pay for the appraisal?

In Canada, when you buy a house with a mortgage, you have to pay for the home appraisal. But were you aware that the lender keeps the report? A lot of people want to know why this happens. 

Let’s Be Honest — Everyone Asks This

You have undoubtedly asked yourself,  if you have ever purchased or in Ontario.

"Why am I paying for the appraisal when the lender owns the report?"

It's not just you.

Homeowners who have only discover that they are unable to view or distribute the report freely have asked me this question dozens of times. Therefore, let's resolve this once and for all.

Why and Who Pays and Who Owns the Appraisal Report?

Because the whether the house is worth the money they are lending you, you are responsible for paying for the appraisal. It keeps them from making excessive loans. The lender gets the final report and orders the appraisal even though you pay.

The catch is that even though you pay for it, the lender still owns it.

Why? because the lender's risk assessment requires the appraisal, which is required by law.

According to , the lender, not you, is the "client." By verifying that the home's valuation supports the loan amount, the appraiser serves to save the lender.

Therefore, even if you are paying for it, the lender owns the appraisal. Unless your lender decides to release the whole, verified report, you will often only receive a summary or the appraised value.

How Does This Affect You?

When determining whether to give you a loan, the lender considers the appraisal. If your house is worth less than you wish to pay, you may have to:

• Make a larger upfront payment.
• Ask the seller to lower the price.
• Look for a new place to live. 

Can I View the Report?

You should ask for a copy of your appraisal report in Canada. Simply request it from your lender. You paid for it, so this is reasonable! The report accurately assesses the value of your home.

The Factors That Make This System Effective

This system helps to make home loans safer. Professional home appraisals help avoid overspending. It also helps lenders make well-informed loan choices. 

How to Get the Most Out of Your Evaluation

You can still use the report even though you don't own it. Your home's value is determined by your appraisal. When you eventually sell your house, you can use this information.

The appraisal price ensures that your new home is a smart investment, even though it is only one of many expenses involved in buying a property.

Why You Might Still Want an Independent Appraisal

This is what smart homeowners do:

Although that initial report is owned by the lender, you can still engage a licensed, independent appraiser specifically for you.

Reasons why you should consider this:

• Transparency - View a detailed description of your value determination process.
• Confidence: If you intend to sell or challenge a low valuation, a second view is helpful.
• Strategy: It provides you with more
• Insurance or Estate Purposes: In any case, these situations frequently call for separate appraisals.

To reduce loan risk, a lender may occasionally take a more cautious approach to evaluation. A more realistic market-driven value may be reflected in your own appraisal.

Why It Matters for Homeowners

Understanding who owns the appraisal report is about more than simply justice; it is also about control.

• If you just depend on a lender's report, you may be unknowingly undervaluing your house.

• If you change lenders, you won't be able to use that report again.

• You become less aware of the actual equity potential of your house.

However, when you commission your own independent or , this is what you get:

• A clear picture of your property's position in the current market
• Improved readiness for a sale or refinance
• Access to insightful information without having to wait or pay extra

2025 Appraisal Market Update (Canada)

As of September 2025, the Appraisal Institute of Canada and the Canadian Mortgage and Housing Corporation (CMHC) report that, depending on location and complexity, average residential appraisal prices in Ontario range from $350 to $650.

• In Canada, digital and hybrid appraisals now make up about 40% of all property valuations, a 12% increase from 2024.
• In order to guarantee objective reports, lenders are depending more and more on third-party AMC platforms (Appraisal Management Companies).

A Real Story 

Recently, a Mississauga resident shared their story.

Their lender charged them $500 for an appraisal, but the result appeared excessively low. The home's worth increased by $42,000 after they requested an independent appraisal.

Their refinancing terms were significantly changed by the difference.

Just a friendly reminder that the lender's appraisal protects their interests. Yours is protected by an independent one.

FAQs 

Q: Why am I unable to get a complete copy of the evaluation report?

A: Since the lender is the appraiser's client under law, they are technically the owners of the appraisal. A summary can be requested, but complete reports are only provided upon request.

Q: Can I utilize a previous evaluation for a different lender?

A: No. Every lender needs their own assessment or, in rare cases, needs to formally transfer the report.

Q: What if I don't agree with the value that was appraised?

A: Although you can request that your lender examine it, more solid proof is frequently provided by a second, independent appraisal.

Q: Are home appraisals found online accurate?

A: With the help of qualified appraisers and validated data, online platforms such as Home Appraised offer extremely precise valuations without the need for in-person meetings or visits.

About the Author

Written by the Home Appraised Team

We’re a group of certified appraisers who work with homeowners in Ontario. We provide you with trustworthy, quick, confidential, and expert property valuations. No visits. No delays. You do not need to worry just get the online report and you’re good to go.

Disclaimer

This article is for informational purposes only and should not be considered legal, financial, or professional appraisal advice. For certified valuations, always consult a qualified appraiser in your area.

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