GLA Adjustments

[RCA]

10 years ago is when I switched from appraisal back to software engineering - I had to refinance our house to cover the debt created by appraising for 6 years. Now that I am retired and have that back-up income, I am seriously considering doing just what I stated, but maybe commercial. But I have other tasks as well ... so it will be a slow process getting back in. At least I have my E&O through LIA .... but I still need to get my software infrastructure a bit further on, and get a much better handle on current regulations. But I did just complete and pass exams for the AI Advanced Market Analysis and Residential Appraisal Review courses, plus all the other courses needed to renew the SRA this year and the state license last year. So, I am catching up on the latest Alamode software, will create some new UAD demos and that sort of thing. I can still back out of everything. We'll see. Just when I do this, though, software engineering salaries in the SF Bay Area are skyrocketing. I'm seeing a jump of about $20K-$30K/year in salaries in the past six months!

If I do in fact start appraising, that is because I am betting that there is, or will be, a good market for reliable appraisals of high-end properties. And I imagine such work will come most likely directly from sellers and potential buyers, and that it will involve an expanded market analysis and search for competing properties.

 

[Meandering]

Are you suggesting there is no one size fits all answer?

Of course.

But I calculated 10 years ago, that doing the kind of appraisals I do didn't make sense unless I could get a minimum of $700-$800 on an SFR appraisal, when I could easily switch over to a tech job like software engineering and make more money working 40 hours/week (working at a large company rather than a start-up), not having to deal with liability issues and all the other crap appraisers have to deal with).

So, then, such appraisers need to do a good job of advertising just what their skills are, set a minimum fee that is about double the others and live with it. That is a tall order. They may not get any business. So, they have to have another source of income as back-up.

That is a tall order again. You just have to decide what kind of an appraiser you want to be: High-volume/easy assignments, Low-Volume/difficult-assignments, set your fee accordingly and stick to your guns.

Hey Joyce,
Welcome to the forest, now that your are directed past the trees.

10 years ago is when I switched from appraisal back to software engineering - I had to refinance our house to cover the debt created by appraising for 6 years. Now that I am retired and have that back-up income, I am seriously considering doing just what I stated, but maybe commercial. But I have other tasks as well ... so it will be a slow process getting back in. At least I have my E&O through LIA .... but I still need to get my software infrastructure a bit further on, and get a much better handle on current regulations. But I did just complete and pass exams for the AI Advanced Market Analysis and Residential Appraisal Review courses, plus all the other courses needed to renew the SRA this year and the state license last year. So, I am catching up on the latest Alamode software, will create some new UAD demos and that sort of thing. I can still back out of everything. We'll see. Just when I do this, though, software engineering salaries in the SF Bay Area are skyrocketing. I'm seeing a jump of about $20K-$30K/year in salaries in the past six months!

If I do in fact start appraising, that is because I am betting that there is, or will be, a good market for reliable appraisals of high-end properties. And I imagine such work will come most likely directly from sellers and potential buyers, and that it will involve an expanded market analysis and search for competing properties.

Even if you specialize in properties that rely on multi-regional markets like resorts or big box retail, or airports, there is no one size fits all possible because all locational differences still matter. Existing roads, traffic counts, projected roads, projected road changes, other projects, both competing and blocking current visibility/access/view from arteries, all come into play and the forecasting is subjective, or at least tempered with subjective, of how each property - subject and comps - will be, or where projected to be, impacted at the time of the data collection, either sales, or rents, or income generation. Because, contrary to popular belief regarding valuation of commercial properties, "what is going to be be", is far more important than the "what was" in a residential SC Approach.

And we won't address any news articles positive or negative that might have impacted income generation at the time of data collection for a specific property, subject or comp.

But it should be good for a giggle.

.

 

[Terrel L. Shields]

Because, contrary to popular belief regarding valuation of commercial properties, "what is going to be be", is far more important than the "what was" in a residential SC Approach.

Property specialists have some cover in that many investigators lack expertise to evaluate the property thus can only evaluate the form, which is the way it should be. Too many reviews revolve around second guessing the appraisers opinion.

 

[Joyce Potts]

Everyone enjoy your desktops for $75!!

 

[Deleted member 128537]

What is the value range of these properties that you are making these $5,000 or $6,000 adjustments? Is it like a 1% adjustment? 2% adjustment? If it is, why even bother making a adjustment?

150,000 to 350,000.

 

[Meandering]

Everyone enjoy your desktops for $75!!

Property specialists have some cover in that many investigators lack expertise to evaluate the property thus can only evaluate the form, which is the way it should be. Too many reviews revolve around second guessing the appraisers opinion.

I have, actually TWO valuation stories about our brand new casino industry, from a few years back. Remind me to share them when I next see you in class.

 

[ucbruin]

GLA adjustments:

Sales range between $290-$320K....
GLA range 2,900 sf ($290K), 3,000 sf ($305K) and 3,200 sf ($318K)....
All other things being equal (including land value)....
What is the GLA adjustment????

 

[Mr Rex]

How much is the land worth? How much are the improvements other than GLA worth? How much adjustments for quality and/or condition?

 

[ucbruin]

How much is the land worth? How much are the improvements other than GLA worth? How much adjustments for quality and/or condition?

Land, view, C and Q all the same...
I'm just taking my online CE so everything is similar except for 1 characteristic....
In the course example land value range between $70k to $75k....

 

[Deleted member 130081]

Land, view, C and Q all the same...
I'm just taking my online CE so everything is similar except for 1 characteristic....
In the course example land value range between $70k to $75k....

LOL. Fairy dust and unicorn education. How much did that course cost? I'll answer, 100% too much.