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Building-cost.net vs. National Construction Estimator

Discussion in 'General Appraisal Discussion' started by natgeo, Dec 14, 2011.

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  1. natgeo

    natgeo New Member

    0
    Jan 15, 2008
    Professional Status:
    Licensed Appraiser
    State:
    Colorado
    I know the cost approach data supplier issue has been hashed over before. But I am wondering if there is any difference between building-cost.net which uses data from Craftsman and the National Construction Estimator currently available for download from Craftsman’s web site for $44.99? Specifically, has anyone used both and is there any benefit of one vs. the other in terms of ease of use, data provided, etc.? Also, if you have used both, have you estimated the same property and did the numbers come out the same? I am as cheap as the next guy, but am willing to pay the $45 bucks if there is a benefit.
     
  2. Terrel L. Shields

    Terrel L. Shields Elite Member
    Gold Supporting Member

    224
    May 2, 2002
    Professional Status:
    Certified General Appraiser
    State:
    Arkansas
    If you use it regularly, the CD is way handier imho...

    and the print out documents the figure better

    Also, I recommend you buy the BOOK with the CD and on Amazon it is as cheap as the home site. The book provides you the very valuable historical Index. If someone has an outbuilding and tells me they built it in 1999 for $15,000, then the RCN for that outbuilding is $15,00 x the multiplier...
     
  3. residentialguy

    residentialguy Elite Member

    113
    Mar 24, 2009
    Professional Status:
    Certified Residential Appraiser
    State:
    Minnesota
    I use Building-cost.net

    I take it that the CD is a software that is downloaded on your PC so it gets updated regularly? With the construction costs changing like it is, it would have to.
     
  4. CANative

    CANative Elite Member

    121
    Jun 18, 2003
    Professional Status:
    Certified Residential Appraiser
    State:
    California
    IMO, unless you're keeping a boots on the ground running tab on local builder costs from builders and developers there is no meaningful difference between published cost sources.

    It's supposed to be YOUR cost estimate, not the cost sources estimate. Use the sources as a guide in estimating costs.
     
  5. Sid Holderly

    Sid Holderly Member

    1
    Jun 16, 2005
    Professional Status:
    Certified Residential Appraiser
    State:
    Indiana
    Building-cost.net is usually higher than Marshal & Swift for Mid-North rural Indiana. I still use it from time to time, the on-line one, for a quick reference.
     
  6. residentialguy

    residentialguy Elite Member

    113
    Mar 24, 2009
    Professional Status:
    Certified Residential Appraiser
    State:
    Minnesota
  7. Steve Metz

    Steve Metz Member

    1
    Jun 1, 2005
    Professional Status:
    Licensed Appraiser
    State:
    Georgia
    Builders Cost .net is better in my area than M&S.
     
  8. Mike Garrett RAA

    Mike Garrett RAA Elite Member

    13
    Jan 14, 2002
    Professional Status:
    Certified Residential Appraiser
    State:
    Colorado
    Cost approach? I don't do no stinkin cost approach....but if I did Marshall/Swift would be my choice even though it's more expensive.
     
  9. Terrel L. Shields

    Terrel L. Shields Elite Member
    Gold Supporting Member

    224
    May 2, 2002
    Professional Status:
    Certified General Appraiser
    State:
    Arkansas
    NBC data is updated quarterly on line.

    RSMeans (Reed Construction), NBC, and many other vendors (M & S, too) rely upon data that they apparently obtain from research organizations, suppliers, or trade groups that actually are the "boots on the ground". They simply parse the info differently.

    Craftsman's update icon is actually on my toolbar. BTW, I think this (2012)will be the first year that Dave Ogershok did not edit the issue. My 2012 issue came this week.

    I poll local builders and costs but I find the actual CONSTRUCTION costs are changing very little year to year. But when I have good cost data on a plans and specs and I have the land value, then I actually compare that to the sales price later when the property sells. (We've only had maybe 4 nearby sales I have worked the past year.) The difference between the sales price less land price = the cost WITH Entrepreurial profit and the costs given me are usually close to cost book... The gap is that EP. We had a spec house of 1,430 SF, lots were selling $22,000. Cost was $78 a SF~ Actually sold for $140,000 - about $6,500 for EP. The builder also actually does the work so he made the builders profit (which is included in cost books) One brother is concrete and brick man. One frames, roofs, does the final. They hire out sheetrockers, electrical, plumbing, and do most of the rest. They continue to build 3 to 5 homes a year. And mom and one brother are Realtors...they try to keep dad off the Bobcat and mower...he started this 30 years ago and a serious wreck slowed him down a year or so ago.
    (Engineering News Record)
    And for you Cannucks...
    http://www.ciqs.org/public.asp?WCE=C=47|K=107909

    very interesting listing of sources

    http://www.planningplanet.com/wiki/...ng-sottware-and-techniques-spreadsheets-today
     
    Last edited: Dec 15, 2011
  10. VolcanoLvr

    VolcanoLvr Senior Member

    5
    Oct 30, 2003
    Professional Status:
    Certified Residential Appraiser
    State:
    Washington
    I'm constantly amazed at the number of appraisers who think they are experts in providing a properly supported replacement cost of a dwelling. There are too many variables. Cost services are only estimates. Builders don't even know the true cost until the keys are handed over to the buyer just before closing.

    This is just another example of 'scope creep' where the lenders have said "just let the appraiser do it" but of course don't pay us for the additional service. They and we are foolish. The CA began nationally in the 1960's with the Green Hornet appraisal form adopted by most lenders.

    The reason why the CA is asked for is so they can calculate INSURANCE. Are you an insurance agent? That's their responsibility.
     
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