How to get TIC(Tenant In Common) sale comparables

[Fernando]

If I was doing a TIC or COOP appraisal, appraiser is responsible to clarify what is TIC, its local laws especially any future changes, its ramifications, etc.
Maybe that's why I don't want to do TIC appraisals.

 

[Charles West]

Tenant in common is one of the ways to be vested in real property, it has no relationship to market price or value. The underwriter may be asking for something entirely different than what I am thinking of.

 

[Fernando]

In SF, there are agents that specializes in TIC. Many buyers and agents don't understand them and these specialized agents want to educate other agents and buyers.
More understand, more TIC sales.

 

[Larry Phillips]

Hi fellow appraisers. I have an underwriters' request to provide three sale comparables to be TIC sales comparables. First time in my career such a request comes through my plate. Any ideas?

As appraisers, we appraise land and improved properties. We do not appraise buyers - or sellers for that matter. If the underwriter needs an opinion of value for property distribution, or for financial statements, that can be done. Even if the ultimate goal is a value for a fractional interest; the status of a buyer or seller of a comparable property is not an appraisal consideration. I suggest asking the underwriter for clarification, it may be necessary to discuss with a supervisor.
Best regards.

 

[Fernando]

TICs are unique and not many buyers. Appraisers should discuss how TICs are viewed in the market. Most reviewers don't understand them.
Then get TIC comps which reflect how market values them.

 

[Lee Lansford ASA]

This is for a mortgage appraisal that's headed to the secondary market? I assume yes. So, you are providing an opinion of the Market Value of the Fee Simple Interest of the property. That's it.

 

[Fernando]

Still waiting OP to clarify the situation.

 

[Sadie]

Tell the UW, that USPAP does not allow the client to dictate the choice of comparables. Also, how a property is held in title is not part of the definition of MV, nor, I imagine is it part of your assignment. How a property is vested occurs AFTER the transaction has occurred, Its like asking for properties that are owned by a LLC.

"A "tenant in common" refers to a legal arrangement where two or more people jointly own a property, but each individual owns a distinct, divisible share of the property,"

 

[sputnam]

If the appraisal request is to find market value, who bought and owns the comparable sales is not relevant. That they were arm's length market transactions is.