2 Houses 1 Lot

[Overimprovement]

I actually do not see the HBU analysis I do see conclusion splitting it up into 2 appraisals is not an option

HBU analysis might be is it worth more as a duplex or as two houses...assuming the HBU is residential / 2 houses on one lot lot, I'd report it on a SFR form .. I doubt a GSE would accept it for lending purposes but that is a lender issue not an appraisal issue. If for non GSE use I would use a general purpose residential form.

Its definitely two detached houses, so HBU is limited to that. Its either two houses on one lot, or two houses on two lots, with the necessary time, fees, and headaches required to separate them. I understand no one else has to believe me, but I am confident the HBU is as they are now.

Guess I have never used any non-GSE forms, my business has always been just mortgage lending related. I do plan on exploring some of the different forms in my library, this topic has made me realize how tunnel visioned I have become!

 

[Overimprovement]

Nothing says a duplex has to be attached. Same goes for condo's they dont have to be attached either. Assuming the multi or condo's are on the same site.

If you are talking whether two detached homes could be completed on a 1025, I agree with you. If you mean that by definition a duplex can be two detached units, I have to say every definition of duplex I have seen is ONE physical building.

 

[Terrel L. Shields]

I am still interested in how a residential appraiser would do such a report--some sort of narrative? Attempting to find similar comps with one parcel but two homes?

They exist. Not easy to find, rarely find three within a year, but I usually can find 3 within three years. If not for secondary market, then there is no prohibition against it. It is not Fannie/FHA work

2 houses on one lot would be difficult, what about the income approach?

The income approach is no more or less relevant than if a SFR. The fact one house may be rented isn't a factor. What are the comps?

Where/how do you report the characteristics of TWO separate houses on one form? Your other questions have been answered as well. It IS a legal use, the costs to split lot per a HC would not be HBU so I will not appraise it that way.

Narrate it in the form, or do a narrative. No step for a stepper. You aren't going to learn any younger. And with it, you have a lot more flexibility. I do all my work narrative, and I doubt there is more than 45 minutes difference in preparing my old forms software report and doing a narrative, and in the case of a 2 house property, or apartment (1025 territory) I am probably faster with the narrative.

Guess I have never used any non-GSE forms

The general purpose form should allow for the valuation of separate parcels.

The largest appraisal I recall had over 120 properties, each valued systematically, and all in one report. Couple hundred pages. It can be done. That was only 1 estate. I am working on one now that has property in 3 states. Some of the parcels are less than a tenth of an acre. About 50 total properties. All in one report...after all, it is only one estate.

 

[J Grant]

If you are talking whether two detached homes could be completed on a 1025, I agree with you. If you mean that by definition a duplex can be two detached units, I have to say every definition of duplex I have seen is ONE physical building.

A duplex does not have to be one physical building, though that is the typical architecture of them. A duplex means two rental units on one lot.,

Some forms are intended for GSE lender use, or other client uses, other forms are general purpose. Regardless of the form, or lack of form if narrative, the appraiser still has to determine HBU , comply with USPAP and produce credible assignment results.

That is why I find it odd when so many suggest "solving" an assignment issue by changing to a gen purpose form, or doing it as a narrative ( which is inane since on a form an appraiser can add as much narrative comment as they wish )

A form is nothing more than a way to organize content and often clients prefer them because they are familiar to read and faster to review and understand for a reader.

 

[Overimprovement]

A duplex does not have to be one physical building, though that is the typical architecture of them. A duplex means two rental units on one lot.,

I've never seen that as a definition. Do you have a reference for it? Agree with your other thoughts...

 

[Overimprovement]

The general purpose form should allow for the valuation of separate parcels.

Yep--definitely need to look over some of the non-GSE forms in my alamode (for now) library!

 

[J Grant]

I've never seen that as a definition. Do you have a reference for it? Agree with your other thoughts...

I don't know if it is an official definition, it is how I conceive of a duplex (really a 2 unit small income property)

Two legal rent-able units on one lot/deed, the physical configuration can be a more typical one story building divided into 2 units, or two separate buildings, or a 2 story with one unit above the other.

This below from page one of the 1025 form: ( I could not reproduce the check boxes)

# of Units Two Three Four
# of Stories
# of bldgs.
Basement Area sq
Type Det. Att. S-Det./End Unit
Design (Style)