Effective Age

[RCA]

ivca, just for your info. i had a very friendly reviewer who told me that CU did not like you saying a rehabed home was the same condition as a completely built c1 home. now i do a lot of those, and i consider a c2 to be equal to to a c1 because i think buyer's do here. but FNMA, aka CU, believes that a c1 new construction should have an adjustment verses a new c2 rehab. in that case a new rehabed home, by CU, cannot have an affect age of "0'. to let you know, that when i started to make a small adjustment for never lived in c1 verses c2 not lived in rehab, my grade on their report card was better.
just letting you know how CU thinks in this matter, but it's your decision.

Where did I ever say that? In the prior post I was talking only about "effective age". And, after remodel, the tax assessor actually put the homes effective age at 0. So there.

Learn to read accurately and comprehend what you read.

Please inform the so-called reviewer, - of my opinion.

 

[andrew81]

So there.

Learn to read accurately and comprehend what you read.

Please inform the so-called reviewer, - of my opinion.

A rare occurrence that I actually agree with you Bert, except you let your ego get in the way again and go after the person and not the topic.

 

[RCA]

A rare occurrence that I actually agree with you Bert, except you let your ego get in the way again and go after the person and not the topic.

I don't think it is ego. Rather just calling things as I see them. I'm not going to be one of those sissys who worries about others thinking he has a big ego. I'm not worried about being liked or popular, but rather doing the right thing as I perceive right to be. --- It is what it is and if I appear to be aggressive in my assertions, likely I am firm in my belief on such things because I "feel" that I understand them inside and out. Get it done and be done with it.

If I don't feel sure I am in the right, then I am more conservative in my expressions.

In this case, very clearly, the guy couldn't read!! Do you really disagree?

 

[glenn walker]

This thread really shows how most appraiser have no construction experience or rehabbing or remodeling homes. The 300 year old home example with a 0 to 1 year effective life was the home run .

 

[glenn walker]

The effective age is calculated by taking the percentage of the remodeling or modernization in relation to the whole. For example: 50% of the total structure of a house is 40 years old, 20% is 20 years old, and 30% of the structure is 5 years old. 0.50 X 40 = 20.0 years. There is simply no way a 200 or 300 year old home could have a effective age of 1 to 5 years.

Yes I have seen ones but they were really a brand new home designed to look like a 100 to 200 year old home and other than design nothing inside was even similar when it was original as bathrooms-kitchens bedrooms were al much smaller and not very functional. My guess is most appraisers are at best just making guesses and most are not even good guesses. Those 100 -200 year old foundations suffer settlement and other damages no matter what the were built on and until you get under neath one you have no idea. As afar as old growth wood Termites and bugs will still eat old-growth wood but its not as tempting a meal as softer woods but the weight of the structure and shifting soil can also take its toll. In general any very old home we have owned always turned into a money pit and we suddenly discovered that effective age was way higher than what we had estimated it to be.

 

[Terrel L. Shields]

The 300 year old home example with a 0 to 1 year effective life was the home run .

Don't over-estimate the "quality" of old houses. That 2" x 4" that was actually 2" x 4" and made from yellow pine? Probably on 24" centers with no fire breaks. Rafters under-engineered. No insulation. poor foundation, weak hand mixed concrete and many were not very square. They squared buildings with the old 3x4x5 rule on each corner. Floors were uninsulated, often softwoods over 24" floor trusses. They lacked closets and often a bathroom is just a small addition to one side, maybe you have to go thru a bedroom to access. My nephew had to rebuild all the upper level window frames and replace much of the roof trussing as there were 4 layers of shingles and the weight had cracked several rafters. And roof decking was any kind of 1" lumber you could find. Oak, Hickory, ash, walnut even, or worse set up for wood shingles with slats 6" apart. Further installing modern wiring, plumbing and fixtures was often an expensive and time consuming problem. Don't even ask about lead pipes, asbestos or lead paint.

 

[Tru Red]

Don't even ask about lead pipes, asbestos or lead paint.

We love our asbestos blankets and the triple lead paint used on the interior/exterior of our home. It helps keep the CoreLogic chemtrails from interfeing with the radio frequency from the mothership circling in the thermosphere.

 

[glenn walker]

We love our asbestos blankets and the triple lead paint used on the interior/exterior of our home. It helps keep the CoreLogic chemtrails from interfeing with the radio frequency from the mothership circling in the thermosphere.

Yeah in California getting rid of asbestos and lead based paints is a real hard thing to do and most end up in dumpsters late at night .

 

[glenn walker]

Don't over-estimate the "quality" of old houses. That 2" x 4" that was actually 2" x 4" and made from yellow pine? Probably on 24" centers with no fire breaks. Rafters under-engineered. No insulation. poor foundation, weak hand mixed concrete and many were not very square. They squared buildings with the old 3x4x5 rule on each corner. Floors were uninsulated, often softwoods over 24" floor trusses. They lacked closets and often a bathroom is just a small addition to one side, maybe you have to go thru a bedroom to access. My nephew had to rebuild all the upper level window frames and replace much of the roof trussing as there were 4 layers of shingles and the weight had cracked several rafters. And roof decking was any kind of 1" lumber you could find. Oak, Hickory, ash, walnut even, or worse set up for wood shingles with slats 6" apart. Further installing modern wiring, plumbing and fixtures was often an expensive and time consuming problem. Don't even ask about lead pipes, asbestos or lead paint.

Yes I understand the real 2 X 4 and I also understand there are always exceptions but usually during some point of time a owner does not do the up keep and maintenance. I think of old homes like women their effective age may fool you with lipstick and makeup but their remaining physical life is way older than it looks . Those old houses are often just pigs with lipstick on them and until you give it a good physical you never know whats behind those walls or whats lurking on the underside.

 

[RCA]

The effective age is calculated by taking the percentage of the remodeling or modernization in relation to the whole. For example: 50% of the total structure of a house is 40 years old, 20% is 20 years old, and 30% of the structure is 5 years old. 0.50 X 40 = 20.0 years. There is simply no way a 200 or 300 year old home could have a effective age of 1 to 5 years.

Yes I have seen ones but they were really a brand new home designed to look like a 100 to 200 year old home and other than design nothing inside was even similar when it was original as bathrooms-kitchens bedrooms were al much smaller and not very functional. My guess is most appraisers are at best just making guesses and most are not even good guesses. Those 100 -200 year old foundations suffer settlement and other damages no matter what the were built on and until you get under neath one you have no idea. As afar as old growth wood Termites and bugs will still eat old-growth wood but its not as tempting a meal as softer woods but the weight of the structure and shifting soil can also take its toll. In general any very old home we have owned always turned into a money pit and we suddenly discovered that effective age was way higher than what we had estimated it to be.

80% of the time the statement might be somewhat close to the truth. I haven't done a survey of all old homes in California like you to make a statement like that.

However, I do these homes that architects have purchased and remodeled. They can be very good at spotting good homes to remodel and then making the right moves in renovation and upgrades. They may take their sweet old time doing it and dump maybet $1.5M into the remodeling. The end result can be quite impressive.

So, in other words, you should be a little more cautious in your proclamations. ==> Yea, the problem is you just don't know how to buy a house.