4-car Tandem Garage

[Damon]

So your bank feels the appraiser and seller conspired to come in below the sales price. That doesn't make sense.

Your lender should know what options remain including a "reconsideration of value". My suggestion is to leave this in your Realtor and lenders hands

Well, not really that so much... more involved. But yes lender and agents are figuring it out. I’m simply educating myself in the ways of appraisals so I can know what I’m dealing with.

 

[NachoPerito]

My lender was furious when they found communications occurred between the appraiser and the sellers prior to report. They stated to me there could be unlawful communications and they contacted the sellers immediately. So when I say illegal, I’m just going off of what my bank stated to me.

I am not sure why talking to the seller is a problem. I talk to the brokers, buyers, sellers, loan officers... whatever it takes to get my questions answered.

 

[gregb]

I am not sure why talking to the seller is a problem. I talk to the brokers, buyers, sellers, loan officers... whatever it takes to get my questions answered.

Hardly seems likely that the appraiser colluding with a seller to lower the appraised value of subject would benefit the seller...though who really knows all of the factors involved.

 

[Deleted member 134708]

The appraiser someone used is incorrect. 4 car tandom at 800 sq ft is value adding relative to a standard 400 sq ft 2car.

2 model matches. 1 with 800 sq ft garage and 1 with 400 sq ft. All else equal. The 800 sq ft will command a higher value from the market.

Now, how do you put this into action?

You don't. Your stuck. Nothing you can do about it. Sorry, the way the system is setup.

 

[Terrel L. Shields]

So there’s no standard for this? My only issue with that is at the end of the day there are 4 stalls. I’m going to park a boat and two cars in it and still have room for another car... doesn’t that make it a 4-car regardless?

No standard terminology & no stock adjustment. Here I evaluate by SF of garage space. It is an over-improvement. Atypical. Oversized garages bring less than standard sizes per SF. He may had a fear the underwriter would demand the appraiser find comps with 4 car garages and the great amount of extra work that entails. Pavlovian response to stupid bank underwriter. As for communication with seller, if they disclosed the market value to the seller they have violated USPAP & should be turned in to state board. But most other info is not confidential & much info can come from seller.

 

[Meandering]

My lender was furious when they found communications occurred between the appraiser and the sellers prior to report. They stated to me there could be unlawful communications and they contacted the sellers immediately. So when I say illegal, I’m just going off of what my bank stated to me.

Not for nothing but,
either your lender is an idiot or they are playing you for an idiot.

This really is much easier to deal with these days.

Your loan is below the threshold for an FRT. Ask the lender to run an AVM on the value and to stop playing games with you, using the appraiser as the pawn.

.

 

[djd09]

I got an idea. Bring cash for the difference. Quit blaming the appraiser.

 

[bnmappraisal]

I am not sure why talking to the seller is a problem. I talk to the brokers, buyers, sellers, loan officers... whatever it takes to get my questions answered.

Definitely agree Nacho. I talk to agents and sellers all the time in regards to a purchase property. Now, that being said, it's usually me asking a bunch of questions regarding the property - i.e. when was the kitchen updated/remodeled? what has been done to the property in the last X years? Are their any concessions being offered? etc ...

I've often been asked questions BY the seller or listing agent that I tell them I cannot answer - i.e. "Do you think there is any issue with the contract price?" (that's one of the most common) I have no problem with listing agents/sellers asking me questions, but (to the original poster) the problem comes if the appraiser starts answering some of these questions other than "I cannot answer that"

 

[DTB]

The appraiser someone used is incorrect. 4 car tandom at 800 sq ft is value adding relative to a standard 400 sq ft 2car.

2 model matches. 1 with 800 sq ft garage and 1 with 400 sq ft. All else equal. The 800 sq ft will command a higher value from the market.

Now, how do you put this into action?

You don't. Your stuck. Nothing you can do about it. Sorry, the way the system is setup.

I think that statement makes it two incorrect appraisers at this point.

 

[bnmappraisal]

The appraiser listed it as a two car garage and that’s it. No other notes or anything else. In researching, I’ve found things that state it should be listed as a 4 car tandem because there are four stalls or spots. So in the comps we didn’t get any vaue add when comped with other 2 car garages. There has to be value in this huge 4 car garage!

(my bold) To answer your comment - there MAY be added value for a tandem garage. This all depends on your market, and I definitely don't know your market.

I run into tandem's here in my markets. Just recently I worked on a townhouse where the agent called it a "3 car garage" but it's really a 2 car garage with a tandem 3rd car that could be parked there. I ended up using other tandem type garages, but didn't have sales of similar "3 car" like the subject. I added these comments to the report though:

"The subject has an oversized, tandem 2 bay car garage. Comps have similar tandem garages, however only 1 garage bay. The subject's garage is considered a positive factor and the adjustment is also considered qualitatively in the overall valuation of the subject property."