Real Estate Appraisal Forum

appraisersforum.com logo
The Premiere Online Community for Real Estate Appraisers!
 Fastest Way to Find a Real Estate Appraiser Enter Zip Code:
 
 
Go Back   Appraisers Forum > Real Estate Appraisal Forums > Urgent - Help Needed
Register Help Our Rules Calendar Archives Mark Forums Read


Closed Thread
 
Thread Tools
  #1  
Old 09-17-2011, 07:13 PM
zhencai zhencai is offline
 
Join Date: May 2003
Location: Bay area, CA
State: California
Professional Status: Certified Residential Appraiser
Posts: 164
Question Functional Obsolescence

A 2-story contemp house on a flat lot. Living room and dining room are on the first floor; Kitchen and family room (next to each other) are on the second floor. This appears to be a functional obsolescence issue. How to make adjustment? I know the area well but I've never seen one like this. There is no similar property in the area, even if I expand my search...

Thanks for the advice.
Sponsored Links

  #2  
Old 09-17-2011, 07:26 PM
AnonApprsr's Avatar
AnonApprsr AnonApprsr is offline
 
Join Date: Jan 2008
State: Massachusetts
Professional Status: Certified Residential Appraiser
Posts: 6,285
Default

Why is that necessarily functional obsolescence? What are you basing it on? You seem to be jumping ahead of yourself. First you should figure out if it is, in fact, functional obsolescence and then figure out the market reaction by contacting local market participants.
__________________
Anonymous Appraiser
Certified Residential
FHA Approved
  #3  
Old 09-17-2011, 07:34 PM
Jason Barber's Avatar
Jason Barber Jason Barber is offline
 
Join Date: Feb 2006
State: Michigan
Professional Status: Certified Residential Appraiser
Posts: 366
Default

First you need to determine if it's curable or not. If it can be cured to allow similar functional utility as other homes in the neighborhood (and your comparables), then that is your adjustment. Otherwise you are going to have to analyze the markets reaction to this non-traditional floor plan.
__________________
I work 40 hours a week to be this poor...
  #4  
Old 09-17-2011, 09:59 PM
zhencai zhencai is offline
 
Join Date: May 2003
Location: Bay area, CA
State: California
Professional Status: Certified Residential Appraiser
Posts: 164
Default

Quote:
Originally Posted by AnonApprsr View Post
Why is that necessarily functional obsolescence? What are you basing it on? You seem to be jumping ahead of yourself. First you should figure out if it is, in fact, functional obsolescence and then figure out the market reaction by contacting local market participants.
Thanks for the comment. I'm not sure if it's functional obsolescence. That's why I said it "appears" to be. However, I think it would be weird the carry dishes between kitchen and dining room on different floors. I don't know the market reaction. That was my question. There is no comps. How to determine market reaction? Thanks.
  #5  
Old 09-17-2011, 10:02 PM
PropertyEconomics's Avatar
PropertyEconomics PropertyEconomics is offline
 
Join Date: Jun 2007
Location: Central New Mexico
State: New Mexico
Professional Status: Certified General Appraiser
Posts: 18,716
Default

First you need to decide if its even obsolescence. Never mind whether its cureable or not. If you dont have sales to show an item is functionally obsolete then I would caution you against using the term and making an adjustment.
Obsolescence in all forms must be shown by market evidence ... lacking that its just your "feeling" that obsolescence may exist.

If your feelings are strong, then handle it in the reconciliation as a means of concluding at the lower end of the provided range but do not make an adjustment you cannot support with market evidence.
__________________
Foxtrot, Uniform, Charlie, Kilo Cancer ... In memory of our friend Bill Waite!
  #6  
Old 09-17-2011, 10:37 PM
Obsolescent's Avatar
Obsolescent Obsolescent is offline
 
Join Date: Jul 2004
Location: Chicago
State: Illinois
Professional Status: Certified Residential Appraiser
Posts: 1,961
Default

Any prior sales? If so, what was the listing history on its last sale? Was the marketing time similar to other properties within it's market or longer? Check with the Realtor at that time and ask if there was an adverse reaction to its floor plan.
  #7  
Old 09-17-2011, 10:54 PM
Terrel L. Shields's Avatar
Terrel L. Shields Terrel L. Shields is offline
 
Join Date: May 2002
Location: Springtown, AmeRica
State: Arkansas
Professional Status: Certified General Appraiser
Posts: 38,669
Default

Quote:
Any prior sales? If so, what was the listing history on its last sale? Was the marketing time similar to other properties within it's market or longer? Check with the Realtor at that time and ask if there was an adverse reaction to its floor plan.
I like your thinking....go back and see if it sold "below" other similar homes in its history...
__________________
"What does not kill you, makes you stronger, except bears. Bears will eat you"
  #8  
Old 09-18-2011, 08:00 AM
BRCJR BRCJR is offline
 
Join Date: Sep 2005
State: Virginia
Professional Status: Licensed Appraiser
Posts: 3,092
Default

Does the space that is called family room and the space that is called dining room have the ability to be "switched"?

What stops the family room from being a dining room and what stops the dining room from being a family room?

Sounds like someone wanted to put the tv and couch near the frig.

Are you sure there is a functional issue? or preference of homeowner issue?

Last edited by BRCJR : 09-18-2011 at 08:05 AM.
  #9  
Old 09-18-2011, 12:12 PM
Walter Kirk Walter Kirk is offline
 
Join Date: Jun 2003
Location: Audubon, N.J.
State: New Jersey
Professional Status: Licensed Appraiser
Posts: 4,355
Default

Where are the bedrooms and bath? how is food transported from the kitchen to the dining room? Is this a resort property?
There are lots of houses on the Jersey shore that have the public rooms on the upper floor, these "upside down" houses are designed that way to take advantage of views and cool breezes.
  #10  
Old 09-19-2011, 05:16 PM
zhencai zhencai is offline
 
Join Date: May 2003
Location: Bay area, CA
State: California
Professional Status: Certified Residential Appraiser
Posts: 164
Default

Thank you all!!
Sponsored Links

Closed Thread


Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Forum Jump




Copyright © 2000-, AppraisersForum.com, All Rights Reserved
     Terms of Use  Privacy Policy
AppraisersForum.com is proudly hosted by the folks at AppraiserSites.com

Fastest Way to Find a Real Estate Appraiser Enter Zip Code:
Partner Sites:
AppraiserUSA.com - National Appraiser Directory AllDomainsUSA.com - Domain Name Registration
DeadbeatListings.com - Deadbeat ListingsAppraiserSites.com - Web Hosting for the Professional Real Estate Appraiser
Find FHA Appraisers - FHA Appraiser Search Commercial Appraisers - Commercial Appraiser Search
Relocation Appraisal - Find Relocation Appraisers Domain Reseller - Business Opportunity
Home Security Buzz - Home Security Info Radon Testing - Radon Gas Info
My Medicare Forum - Medicare Info Stop Smoking Help - Help Quitting Smoking
CordlessPhoneStore.com - Great Cordless Phones AndroidTabletCity.com - Android Tablet Computers

Follow AppraisersForum.com:          Find us on Facebook            Follow us on Twitter


All times are GMT -5. The time now is 09:16 AM.

SiteMap: 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37, 38, 39, 40, 41, 42, 43, 44, 45, 46, 47, 48, 49, 50, 51, 52, 53, 54, 55, 56, 57, 58, 59, 60, 61, 62, 63, 64, 65, 66, 67, 68, 69, 70, 71, 72, 73, 74, 75, 76, 77, 78, 79, 80, 81, 82, 83, 84, 85, 86, 87, 88, 89, 90, 91, 92, 93