2 tax parcels on one deed.

[Debra]

I have an order for "zzz anywhere street." There are 2 tax parcels under this address and on the same deed under the same name. One parcel is an adjoining vacant lot (1acre) and the other lot (1 acre) is the one with the house on it. The AMC is in process of finding out from the lender how they want this order done. What is the correct way?

I can appraise the 2 parcels as one (which will total 2 acres with the house) and just comment that the 2 parcels were purchased as one property on the same deed and were treated as one property on the appraisal report-correct?

I have not been to the property yet but I am guessing that the vacant lot could be sold seperately if they were not deed together.

 

[Joyce Potts]

There are lots of questions to be asked, but the first one I'd be asking the client is what legal description is on the note and mortgage? Hopefully, what they encumber is the same legal description on the deed. If they don't match up may have to invoke a few hypothetical conditions and/or extraordinary assumptions. But it certainly can be done. Just make sure you're appraising what the client is requesting (and make sure their request is acceptable) before you head down the wrong road and waste any time.

 

[residentialguy]

I ran into the same situation recently, expect they could not be divided due to minimal land needed for a lot. I explained what I had... 2 ids, treated as one lot, could not be divided.

 

[Terrel L. Shields]

I can appraise the 2 parcels as one (which will total 2 acres with the house) and just comment that the 2 parcels were purchased as one property on the same deed and were treated as one property on the appraisal report-correct?

Why not? They were sold at 2 parcels weren't they? I am doing an estate. It has 3 separate legal descriptions and a total of 6 tax parcels. 1, 2, 3 parcels each. It all goes under one cover.

 

[Joyce Potts]

Potential subdivision of lots is a highest and best use question that needs to be decided in the beginning phase of the assignment. Forget the current legal description and seek out the local zoning regs to see if any subdividability is even possible OR invoke the extraordinary assumption that while subdividing is possible, it may not be probable, feasible, or speculative at best -- or at the specific request of the client (assignment condition)the final value opinion is rendred under the extraordinary assumption............

Any lot with two tax parcel ID numbers in my market is ATYPICAL and even if currently subdivided they didn't meet the current threshold of current size, set backs, etc., I'd make sure they didn't slip under the radar as grandfathered-in or special exception with some kind of historical action or document. Things are NOT always as they appear. That is often the biggest thing that gets appraisers into trouble. Just tread cautiously and CYA at all times. The tools and options are there, you just have to know how to use them.

 

[Joyce Potts]

Why not? They were sold at 2 parcels weren't they? I am doing an estate. It has 3 separate legal descriptions and a total of 6 tax parcels. 1, 2, 3 parcels each. It all goes under one cover.

Congress - Bingo with Billions --

 

[BROOKLYNVALUATION]

If the adjacent vacant lot (30x100) is:

- large enough to meet the zoning requirements for a house to be built

-taxed separately

-has a separate lot # but is DEEDED with the same lot as the house ( i.e. lot #34, 34 )

Do you appraise the subject as if it has a double lot ( 60x100 )?

 

[PropertyEconomics]

There is not a house and two acres here .. you have a house and one acre and a separate acre ... to combine them as a house and two acres would not be proper in my opinion .... for example a comparable sale that is a house on two acres is not the same as a house on one acre and a separate acre which can be constructed upon .....

Appraisers get caught on how things are deeded ... you could have 100 lots under one deed but that does not mean that one lot cannot be appraised by itself.

 

[Jo Ann Meyer Stratton]

It all depends on the subject's specific neighborhood. Maybe it takes two legal descriptions to have enough area to meet zoning, set back requirements. Maybe the house sits half on each lot, maybe one lot is the bottom of the ditch and can't be built on, etc, etc, etc. Two separate assessor's parcel numbers are meaning less. Maybe the city limit line goes between the two parcels so each parcel is in a different tax district.

An appraisal could be completed on ten assessor's parcel numbers with ten legal description because physically, zoning requirements, typical site areas in neighborhood would all considered it one lot. We have a subdivision here that was developed in the 1890s, each lot is 25' x 75', each with their own assessor's parcel number--so most people own at least four or more lots so that there is enough room for the improvements, parking, etc.

The answer to all appraisal questions--it depends.

 

[Lee Lansford]

I have an order for "zzz anywhere street." There are 2 tax parcels under this address and on the same deed under the same name. One parcel is an adjoining vacant lot (1acre) and the other lot (1 acre) is the one with the house on it. The AMC is in process of finding out from the lender how they want this order done. What is the correct way?

I can appraise the 2 parcels as one (which will total 2 acres with the house) and just comment that the 2 parcels were purchased as one property on the same deed and were treated as one property on the appraisal report-correct?

I have not been to the property yet but I am guessing that the vacant lot could be sold seperately if they were not deed together.

If the appraisal is headed to the secondary market and if the 2 separate properties each has its own separate H&B Use...the assignment can not be wished-away via "treating as one property".