2 Parcels sold together

[Appraisal Time]

When you have separate parcels being sold together, One with an improvement and the other without one. Do you list both parcel numbers and tax numbers in the subject section and combine the total of the acreage and list the total acreage in the site section? Or do you just list that other parcel is being sold with the improved parcel in your commentary and NOT add the additional parcel number and acreage in the subject and site sections? Just curious as to how some of you might approach it.

Thanks Everybody.

 

[Sid Holderly]

2 parcels

If they are deeded together they stay together and I list both numbers & Taxes.

If they are deeded separate and the house does not encroach onto the other lot I will only use one lot unless instructed otherwise. The current mortgage, if a refinance, needs to be checked to see if it included both.

If the house is very close to a lot line, less than minimum required set back, I might included both, depends on the lender.

If they are totally separate it is best to keep an unencumbered lot unencumbered if it is buildable.

If the lot is not buildable it is limited to what the immediate neighbor will give for it or its excess lot value to the subject..

 

[Lee Lansford]

There are certainly a few issues associated with your question and there is no "one size fits all" correct response.

I assume that you are asking this from the perspective of appraising for use in residential lending and a loan headed to the secondary market. The use and the user(s) of the appraisal certainly impact how this situation might be approached. Also, it is important whether or not each parcel has its' own separate H&B Use.

 

[Doug DeMars]

There are certainly a few issues associated with your question and there is no "one size fits all" correct response.

I assume that you are asking this from the perspective of appraising for use in residential lending and a loan headed to the secondary market. The use and the user(s) of the appraisal certainly impact how this situation might be approached. Also, it is important whether or not each parcel has its' own separate H&B Use.

Ditto what Lee said.

 

[rbrienza]

sounds like you may have to address the assemblage issue... or is it considered excess land or surplus land?
Can you sell off the parcels separately?

-ray

 

[Terrel L. Shields]

That's pretty common in rural property....and the fannie and FHA rules are what to watch for in 'city' property

 

[Mr Rex]

It is what it is. What "is" "it" that your client wants to appraise?

 

[biker4ever]

Dang! Good luck. Yes, I would list both parcel #s and combine site size. State that there are 2 lots and you should also address if the 2nd lot is buildable. I am assuming that the vacant lot is a stand alone lot and not landlocked by lot with the dwelling on it...

 

[PropertyEconomics]

Because parcels are deeded together does not mean they are tied together other than they are included on the same deed .... each can have their own legal description, each can be assessed separately, and each can be sold separately in most jurisdictions.

To answer your question you should have a conversation with your client as to what they wish to have appraised .. I dont think its your call to make the decision. Remember the client always chooses the subject property ... you take over after that.

 

[Noreen]

When you have separate parcels being sold together, One with an improvement and the other without one. Do you list both parcel numbers and tax numbers in the subject section and combine the total of the acreage and list the total acreage in the site section? Or do you just list that another parcel is being sold with the improved parcel in your commentary and NOT add the additional parcel number and acreage in the subject and site sections? Just curious as to how some of you might approach it.

Thanks Everybody.

My question would be, how is title held now? It must be different here, but in a case like this, we start with the deed and go from there. It sounds like we rely on the deed more than other parts of the country.