Adjustments For Bedroom Count?

[st.michael]

I have not been making adjustments to bedroom count as, slight variances are typical in the market area I appraise (4 and 5 bedroom). I feel like I should make a stronger case with regard to a comment to explain. Currently, i am including this comment. "4 and 5 bedrooms are typical in this market area and no adjustment was deemed necessary."

IS THIS ENOUGH???

 

[JRS at OBX]

It should be enough for some clients and some reports. If you are using all 4 bedroom sales when the subject has 5 bedrooms then you might need a little more detail.

 

[norapp]

I don't adjust for bedroom count unless it is less than a 3 bedroom. If comps differ I make a comment that above grade GLA is accounted for and appraiser can not verify utility and room count on MLS listings without an inspection. some MLS listings are not accurate.

 

[ucbruin]

I have not been making adjustments to bedroom count as, slight variances are typical in the market area I appraise (4 and 5 bedroom). I feel like I should make a stronger case with regard to a comment to explain. Currently, i am including this comment. "4 and 5 bedrooms are typical in this market area and no adjustment was deemed necessary."

IS THIS ENOUGH???

If you're not receiving negative pushback from your clients then I believe what you're doing is sufficient.

 

[Webbed Feet]

<....snip.....>Currently, i am including this comment. "4 and 5 bedrooms are typical in this market area and no adjustment was deemed necessary."

IS THIS ENOUGH???

If you must ask then perhaps it is not. Does the statement "no adjustment was deemed necessary," by itself with no other indication of any market research whatsoever command belief from a reader of your reports? Or, does it just sound like another of the thousands of boilerplate comments appraisers use to make themselves feel like their reports are worth anyone paying anything for them? If you did not know you, how would you take your own comment?

Compare to this (assuming it is really true): "I have completed market research to determine if, given the level of GLA adjustments used, bedroom counts between four and more bedrooms should command additional market adjustment from a measurable market reaction. Measurable market reaction from the available market data could not be extracted, therefore no adjustment is made." Such a statement might be taken to mean the appraiser involved didn't just pull a bunch of boilerplate out of their tail feathers versus actually attempting to answer the question about the market preferences.

 

[ucbruin]

If you must ask then perhaps it is not. Does the statement "no adjustment was deemed necessary," by itself with no other indication of any market research whatsoever command belief from a reader of your reports? Or, does it just sound like another of the thousands of boilerplate comments appraisers use to make themselves feel like their reports are worth anyone paying anything for them? If you did not know you, how would you take your own comment?

Compare to this (assuming it is really true): "I have completed market research to determine if, given the level of GLA adjustments used, bedroom counts between four and more bedrooms should command additional market adjustment from a measurable market reaction. Measurable market reaction from the available market data could not be extracted, therefore no adjustment is made." Such a statement might be taken to mean the appraiser involved didn't just pull a bunch of boilerplate out of their tail feathers versus actually attempting to answer the question about the market preferences.

No offense....
Your example is 100% better than my comments....
Yet I fail to see any difference between your statement and the OP's statement.

Both of them are rather generic (as is mine).....

 

[Tom Woolford]

While I agree with your conclusion, you have given no substantiation for its justification. Every one of my reports if subjected to paired sales and aggregate sales analysis for differences in room count and bedroom count, verified by sensitivity. Generally, no adjustment is indicated in excess of any GLA adjustments required. If you aren't actually doing an analysis, don't give the impression that you are. Someday a judge is going to ask you for it.

 

[gregb]

"The GLA adjustments, if warranted, reflect the market reaction to the difference between four and five bedroom residences. The market data supports that a residence with five smaller bedrooms has a similar or same appeal in the market to a residence with four larger bedrooms." See attached grid comparing 4 and 5 bedroom residences.

 

[ucbruin]

I find it surprising that appraisers are actually performing any type of analysis to determine a value difference between 4 v 5 bedrooms.

 

[Mr Rex]

So why do you think there is a box in the Sales Comparison Grid for BR count?