High Ranch Issue

[Pam Weed]

Generally speaking, if the first level is ALL above grade, I include it in GLA. If any part of the first level is below grade, I consider it basement. I have never been questioned on it.

There are exceptions. For instance, a couple of times, the kitchen was on the first level and it was partially below grade, or quality differs greatly from the first level to the second.

In my experience, raised ranches can differ in design and quality and should be analyzed on a case by case basis.

 

[MBD]

Kevin, are you the ying or yang on this pressing issue?

 

[Eli Weiss]

How about on a split, do you guys count the family room in back of the garage as GLA or basement?

 

[KenRossman]

Typically, if it's at or above grade and similar in construction quality to the other above grade levels, I count it as GLA - otherwise basement. If it's mostly above grade (walk out, etc.) but equal or better in construction quality, I might include it in GLA (with lots of explanation) depending upon what I have available for comparables.

 

[The Warrior Monk]

We are both sticklers for detail, doing the job properly and pretty much an#l (don’t go there K Mc) at what we do. And of course both of us are rather stubborn.

I think I'm more stubborn than you guys...well, maybe Kevin has me beat.

With regard to the issue at hand, I think it needs to be examined on a case-by-case basis. Some clients have certain guidelines, which may have to be followed. But other than that, the definition of GLA isn't written in stone.

For example, take the extreme example of the earth-sheltered home. There are a few of them out this way. I think it would be ridiculous to say that because of the way it is built, it has no GLA. The market participants, who the appraiser's opinions are supposed to reflect, would disagree.

The issue only arise when apples have to be compared with oranges. If similar hi ranches are compared to the subject, then the point is moot. If hi ranches are compared with other styles of homes, it could be an issue. For example, back in my early days of appraising, I did a lot of work in Coram, where a great deal of new construction was taking place. Using the basis of both levels of hi ranch as being included in the GLA, plenty of evidence existed in that are to prove that hi ranches sold for much less than colonials.

This type of issue is not addressed in the Executive Law. Until there are court cases involving this particular issue, opinions of persons regarding this issue are just that...opinions. A consistent and clear methodology is more important, IMHO, than arguing generalities which don't apply to all situations.

 

[Kevin Mc]

Kevin, are you the ying or yang on this pressing issue?

Yes I am...LOL.... I guess it all comes down to above or below grade. If a level is 100% above grade I'm calling it living area(unless construction quality is below standard). If it is partially below grade it is another story. For " Bob" to just say it is always considered basement maybe ok, in his market. It isn't in ours. we shouldn't concern ourselves what some board member from not in our market says. MARKET DICTATES EVERYTHING. I want that on record.........

 

[Tony V]

Over the weekend, I recieved a phone call from a Suffolk County Regional Advisor from the State. He had read the situation and said that if a complaint were to be filied it would revert to either him or one of the other RA's in the area. Based solely on the inclusion of the lower level being counted as GLA, he explained that, as many have already stated, that this is normal and customary within the area and that the complaint would be dropped. He has offered to speak with Bob about it.

 

[Kevin Mc]

Suffolk County Regional Advisor from the State.

Great guy that Suffolk County Regional Advisor huh?.......

 

[Tony V]

Great guy that Suffolk County Regional Advisor huh?.......

Actually he is...the guy took the time to get my phone # and then spent over an hour discussing the issue......
Your just PO'd cuz you only get calls from Ranger Fans...

 

[The Warrior Monk]

Actually he is...the guy took the time to get my phone # and then spent over an hour discussing the issue......

What else would you expect from a Yankees fan?