Unadjusted values don't bracket the subject's value

[Zephyr999]

Of the 40 [FORTY] agents with somewhat similar listings throughout similar upscale neighborhoods, within 10 miles, NONE NONE NONE responded, possibly because the brief survey guaranteed the confidentiallity of their responses, with a caveat that a jurisdictional authority might require me to disclose the source of my survey results being submitted to Fed BK court.

Next thing was that the builder whose work stopped mid-stream because the borrower ran out of money won't discuss the partial construction with me, not even for a moment, because he is owed so many $$$$ (as I was trying to determine the total project cost - the percentage of completion to determine the outstanding $$$$ owed, as a starting point to be factored into the typical buyer's response to partial construction.) As I thought might be the case, he suggested we pay a contractor to review the construction/renovation to determine the percentage of completion.

Next step is to enlarge the search in an attempt to determine a theoretical buyer response by proxy.

I'm just not willing to guess-timate anything about this project, for all the right reasons IMO, but peer ioadvice is always appreciated--and peer advice will be cited in the report if supportive comments/advice are received.

Thanks for your consideration. [GM]

Begin with the end in mind...why not start with a cost approach? That will separate land from building.

Then estimate and subtract the land value from sales of finished end product comps. Derive % adjustment from cost approach on how far bldg project done (say 85%)...remaining 15% would be applied to comps bldg component...that plus land gives adjusted price to opine a value range for the property 'as-is'.

 

[Zoe]

I MLS search by age, GLA, lot size in the subdivision. Then a mile, then further if needed. I don't put in a price. If there is a pool, workshop, etc, I will search by that after my first search.

You can't do that in rural area. I am sure Texas has some very homogeneous areas (forgive the term). No sexual intent intended. I picture California that way. Tennessee is very heterogeneous in real property. You don't want to compare properties that don't compete with subject property. What is the use?

 

[Zoe]

Just do cost approach and be done with it.

 

[Zoe]

San Antonio was cool. I did a big apartment complex there years ago. Got to ride on a plane from like Dallas or somewhere to San Antonio with very smart man that developed universities all over the world. He was funny. He filled out crossword puzzle in about 5 minutes. I was like WTH?

Twin propeller plane. Ride was not like a 747 jet. LOL

 

[Zoe]

I am like Dolly Parton. I am not scared of flying. I just don't like it.

 

[Zoe]

Dolly ships her buses over seas. She flies and then rides her buses between towns. She is like I can stop my buses anytime I want.

 

[J Grant]

Dolly ships her buses over seas. She flies and then rides her buses between towns. She is like I can stop my buses anytime I want.

What does this and your prior post about Dolly haveto do with the topic?? Why do you keep posting things like this ?

 

[alebrewer]

actually it is just a trial and error variation thereof. Most of us did it in the grid by adjusting the factors to see which provided the lowest spread between the numbers.

Exactly. Bracketing is a manual regression of sorts in that it attempts to minimize the adjusted range.

 

[ZZGAMAZZ]

Begin with the end in mind...why not start with a cost approach? That will separate land from building.

Then estimate and subtract the land value from sales of finished end product comps. Derive % adjustment from cost approach on how far bldg project done (say 85%)...remaining 15% would be applied to comps bldg component...that plus land gives adjusted price to opine a value range for the property 'as-is'.

I will try that approach. A challenge is to determine the percentage of completion. When I interviewed the builder for that reason, he said that the owner owed him so much $$$ that he wasnt willing to devote ANY more effort to the project, including time it would take to answer my question that was much more difficult than I realized, and that a licensed contractor could be hired to make that estimate--which isn't an estimate that I personally would want to defend to a Fed BK judge. The MLS search now is 20 mi and 12 months, and I presume CRMLS admins this morning are getting a kick from my message asking for the website to blast a request to its zzz,zzz,zzz realtors asking the membership to help me find comps! (And I keep thinking about a recent AF thread when an appraiser mentioned sumthan like "dozens" of different approaches to determine value...)

 

[ZZGAMAZZ]

What does this and your prior post about Dolly haveto do with the topic?? Why do you keep posting things like this ?

Hmmm. I thought they were very interesting, literally reminding me of the Miserable bus rides I had to take earlier in my life for various reasons, n making me appreciate the appraisal profession even more. And every time that appraiser makes a post, I kinda marvel at the cool cool name "Zoe."