Earth Sheltered Home: Appraisal And Comparable Problems

[Marant]

I wouldn't call it a cave, but I would have done the floorplan differently. Different strokes.

With respect to marketability I would be curious how marketable a 2bd/2ba home of ~2200sf is in that area, though. That's not common, either.

The home is actually 3bd/2ba with about 2400sf. Third bedroom has an outside entrance and can easily be used for a home office. Open plan, with large rooms. The design was constrained by the basic modules required to be 24x24 and is composed of 4 modules. Each module is totally supported by the walls, with 12' domed ceilings. We just threw up conventional frame walls in the modules where we wanted a bath, closet, etc. No interior bearing walls, other than where two modules meet.

It has a lot of special features I have not gone into here, not wanting to bore anyone.

Hanging pictures is a pain, though!

 

[George Hatch]

So the area (in the floorplan) with the 8ft garage door next to the guest bedroom, which doesn't have its own bath, you're calling that a bedroom? Or did you add something to the west side of the main bedroom suite? Just curious.

 

[Marant]

So the area (in the floorplan) with the 8ft garage door next to the guest bedroom, which doesn't have its own bath, you're calling that a bedroom? Or did you add something to the west side of the main bedroom suite? Just curious.

It is hard for me to tell what floor plan you are looking at, but it sounds like the original one.

Since the house was first built we have added a garage on the east side where you see the 8ft garage door. Removed that door, framed in a 36" door from the garage, use the existing 36" exterior door to go in and out. What was originally a single car garage became the third bedroom. This was part of the original planning, so it is really not just a converted garage.

Garage is about 24x16, holds 3 cars (two small in tandem). Moved the 8' door to the south side of the garage for golf cart access. Main double garage door on the east side. Has a metal roof with rainwater collection and 16 solar panels.

The main bath is on the west side of the two small bedrooms, with a separate door into the front (guest) bedroom.

If you look at the current view on Google Earth it may help.

 

[Bob Ipock]

Thank you all for your insights. They are very helpful.

It looks like if I can get the appraisal reduced by at least 25% it would be financially worthwhile to get a private appraisal, particularly since the reduction in value (percentage) should logically carry over to future years.

Unfortunately, it also is clear such an appraisal would be complex and time consuming. Since the hearing will probably be within 30 days it is probably not realistic to expect to have the private appraisal done within that time frame. I am sure any attempt to do so would result in a higher, possibly much, fee, which is understandable. Possibly a better idea to plan for next year and take the time necessary to do it right.

This brings up the question of whether or not to even go to an appeal this year, with only the information I have been able to obtain, which may be insufficient. It might serve only to tip off the appraisal district with no tangible result. I know it is not within this group's purview, but would be interested in any comments as to the best strategy.

Thanks again.[/QUO

 

[Bob Ipock]

Even if you get an appraisal done the taxing district may or may not give it much consideration. Unusual homes like yours are very uncommon based on the fact of very low demand. It is unusual, odd and unappealing to the typical buyer. The more strange, odd, unusual a property is will often render an appraisal less reliable or credible than one of a typical home with plenty of sales. Good luck, but be aware taxing authorities are not real interested in lowering values.

 

[George Hatch]

As I say, I've been looking at the entire history of overheads for that site dating back to 01/1995. I saw that you guys added the additional structure and the solar in 2014. So now that 3rd bedroom has no exterior windows?

These aren't actually appraisal questions as they usually wouldn't have all that much effect on the values. I was just curious about the floorplan.

 

[Marant]

As I say, I've been looking at the entire history of overheads for that site dating back to 01/1995. I saw that you guys added the additional structure and the solar in 2014. So now that 3rd bedroom has no exterior windows?

These aren't actually appraisal questions as they usually wouldn't have all that much effect on the values. I was just curious about the floorplan.

There is no normal window per se. There is an exterior door which has a fixed window in it. There was no real way to put a conventional window in.

It was actually envisioned as a home office with the exterior entrance, for which it would work very well. Bedroom, not quite as well, but it could work.

 

[George Hatch]

Regardless, you folks built a home that isn't going anywhere; and it suits your needs so that's what counts.

 

[Webbed Feet]

<....snip.....> How can I obtain an accurate valuation to present to the appeal board?

You cannot. By definition a "valuation" is the result of a value opinion, as such it cannot be "accurate" because it is an opinion, not a fact.

<....snip.....> Can anyone give me an idea of the percentage reduction from the value of a 'normal' house due to obsolescence would be? I have seen opinions of reductions all the way from 50% to none.

Your question is not possible to answer. Obsolescence is extracted from the local market using market data. There is no such thing as a formula that works for everywhere to represent all types of obsolescence.

Is it accurate that our entire home would be considered to have no GLA at all??

Only by really stupid real estate appraisers with a cob up their butts about blindly following secondary mortgage market guidelines instead of following the market for the property.

Is it possible to estimate the effect of being required to find a local lender who will retain the loan, or the reduction in sale price to find a cash buyer? I expect it would result in a higher interest rate and larger down payment, as well as a possibly substantially longer time on the market.

It is possible to opine regarding the value of any residential property.

I understand that I am woefully ignorant about proper appraisal standards and am requesting a lot of help, but, at this point, it seems I have nowhere else to turn. I have been able to find very little pertinent information, probably because our type of home is rather rare. Guidance to relevant sources of information will be greatly appreciated.

Thank you all for your consideration of our situation.

Personally, I do not believe this is one the forum should be attempting to teach a non-appraiser how to do via a forum thread. It would be tough enough to teach most appraisers how to do it. I believe you need to be asking yourself just exactly how much in taxes do you think you'll save versus the time you're going to put into this. Facts to me so far are you have no idea at all what the value of your property is, yet you're prepared to go claim your taxing authority has it wrong? What is the motivation here? Finding a supported market value or simply getting your taxes lowered by any means possible? Have you called the taxing authority and gone in to have a personal sit down with them to discuss things?

 

[Webbed Feet]

<..... snip.....> It might serve only to tip off the appraisal district with no tangible result. I know it is not within this group's purview, but would be interested in any comments as to the best strategy.

Thanks again.

Ok, I think this answers my question. This has nothing to do with actually finding a well supported avenue to be able to see what the market value is. This is all about prevailing at a hearing and nothing about just finding the truth out.