Addition make subject an overimprovement?

[kristofer]

My subject property has an addition and converted the garage to GLA, does this make the subject an overimprovement since all the comparables are smaller and I can not bracket my square footage? Other homes in the area have done similar but none of them have sold. Any thoughts?

 

[sarasox]

K -
Use caution on giving full G.L.A. credit to the garage conversion.
Has the floor been floated to achieve a level surface like the original house, and unlike typical garage floors?
Has the same quality of workmanship (and amenities) been evidenced in the conversion?
Possibly think about not giving the garage area the same $/S.F. as the house.
Good luck.

 

[Deleted member 77547]

If there are other homes in the neighborhood with similar GLA due to additions but they have not sold, it may not be an overimprovement. It might be appropriate to mention in the report that homes with large additions do exist in the neighborhood but have not sold recently. Go as far back as you need to see if you can find one and use it as a fourth or fifth comp, if appropriate. Also, in my area, most municipalities will not allow a garage to be converted into living space unless another garage is built. Check with your local zoning people about garage conversions.

 

[Mike Garrett RAA]

Garage conversion is quite common IN MY MARKET. Most of the time the loss in function (car storage) offsets the gain in GLA. Quality of workmanship is also a prime consideration.

 

[Mike Kennedy]

Verify Highest & Best Use (which must be legally permissible) and expand the comparable search to included Dated closed sales, contracted sales as well to determine YOUR local markets' reaction.

 

[ZZGAMAZZ]

If the jurisdictional authority requires a garage, and if as you appear to imply, the conversion was done rather recently and under the current general plan standards, the property is "illegal" rather than "legal non-conforming" as regards zoning compliance.

Market reaction notwithstanding it would be prudent to determine whether the ADU or whatever you call it can be "rebuilt."

Now on the other hand, if the garage is attached to the original living area, and the addition is attached to the garage, and the garage conversion and the addition both were done with permits, this might present an anomoloy in the respect that the contiguous areas CAN BE considered as a single GLA.

(just my newbee opinion...)