Tim Hicks (Texas)
Elite Member
- Joined
- Jan 15, 2002
- Professional Status
- Certified Residential Appraiser
- State
- Texas
Appraisal Assignment today:
We have an AVM for $224,000, but the customer insists it is worth $242,000. I inspect the property and the owner proudly states that his home is worth more because of his large lot (it backs to rail road tracks
). I have three current sales, one same plan across the street a whole 1,000 SF smaller corner lot with no railroad tracks, one 400 SF larger home on a smaller corner lot with no railroad tracks, one smaller home on a larger lot backing to the railroad tracks like the subject. They all are the same age, interchangeable homes with pools. The one home sale with a larger lot backing to rr tracks supports no adjustment for external obsolescence (good for them). My report that needed basically no adjustments comes to a big $214,000. No wonder the lender's are embracing the AVM's. The last time this happened (that I know of), the borrower wanted to throw my appraisal out and use the AVM value. There are no listings, old sales or current sales that support $224,000, much less $242,000, but somehow I will probably be blamed for not beating the AVM. Oh, the AVM has several custom home sales from better additions, but a computer can not tell a tract home on paper.
8O
We have an AVM for $224,000, but the customer insists it is worth $242,000. I inspect the property and the owner proudly states that his home is worth more because of his large lot (it backs to rail road tracks



