ANSI Question - most of first floor above grade

[shrubberyvaluation]

Can you still use the exception codes? If not what do you do if the market sees the first floor as above grade living space? Do you report the total finished living space on a separate line and adjust there and do no adjustments for GLA and below grade?

The subject is a semi-detached split foyer that is all above grade except the foyer area. Main living areas on the first floor, 2nd floor has bedrooms and baths. There are similar sales but they are dated, there are also colonial semi-detached in the community with recent sales.

 

[LesPaul59]

Can you still use the exception codes? If not what do you do if the market sees the first floor as above grade living space? Do you report the total finished living space on a separate line and adjust there and do no adjustments for GLA and below grade?

The subject is a semi-detached split foyer that is all above grade except the foyer area. Main living areas on the first floor, 2nd floor has bedrooms and baths. There are similar sales but they are dated, there are also colonial semi-detached in the community with recent sales.

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I can't tell by the photos but it looks like the whole right bottom part is below grade. Either way, it doesn't make things easy when appraisers are the only ones that are expected to follow this rule. How do you find out how big basements are in comps? You can't trust the county data to get that right in their sketches and realtors sure as hell don't know. If the appraisal is for fannie mae then you have to go by ANSI and just do the best you can.

 

[shrubberyvaluation]

I can't tell by the photos but it looks like the whole right bottom part is below grade. Either way, it doesn't make things easy when appraisers are the only ones that are expected to follow this rule. How do you find out how big basements are in comps? You can't trust the county data to get that right in their sketches and realtors sure as hell don't know. If the appraisal is for fannie mae then you have to go by ANSI and just do the best you can.

Yes its just the foyer part with the stairs that is partially below grade. It is using the 1004. I will just have to comment and explain, and then have it kicked back by a computer and have it give me a low CU score for doing it the right way.

 

[Surf Cat]

According to Fannie Mae guidelines and the ANSI Z765 standard:

Strict Exclusion: A level is considered below-grade if any portion of it is below the land line, regardless of how slightly.

All-or-Nothing Rule: If any part of a floor is below grade, the entire level is excluded from GLA and must be reported as below-grade finished area (basement).

No Slight-Grade Exception: There is no allowance for "slightly" below-grade areas to count as GLA based on finish quality, window area, or market habit.

The above stated, public records probably has the areas you measured that are slightly below grade, as GLA.

Explain that public records includes all areas as GLA, explain the rule, and explain that the market sees the slightly below areas as GLA with no difference in Market acceptance.

It's like Les Paul stated above, rules for me but not for thee...

 

[LesPaul59]

Yes its just the foyer part with the stairs that is partially below grade. It is using the 1004. I will just have to comment and explain, and then have it kicked back by a computer and have it give me a low CU score for doing it the right way.

If that is all then I would explain that the landscaping is built up around that area (which is appropriate given your username), give the square footage of that area in a comment and count it as GLA. It's probably not enough GLA to be a big deal.

 

[Trihard]

Is the kitchen on the 2nd floor? If it is, then its pretty easy to explain.

 

[shrubberyvaluation]

Is the kitchen on the 2nd floor? If it is, then its pretty easy to explain.

1st floor is living room/dining room/kitchen/1/2 bath, 2nd floor is 3 bedrooms and 2 full baths. It lives like a 2 story, not a 1 story with basement.

 

[Surf Cat]

If that is all then I would explain that the landscaping is built up around that area (which is appropriate given your username), give the square footage of that area in a comment and count it as GLA. It's probably not enough GLA to be a big deal.

I don't know..... grade level rises from the second window from the driveway. Steps go up to a raised door and the grade level continues across the two windows to the right of the door.

Only shrub can make this determination as he is the one who inspected to make the call. Good idea though!

 

[Surf Cat]

There are similar sales but they are dated,

These are your ticket to explain the market considers the slightly below grade areas GLA. These will also probably point to the entire area as being GLA on public records.

 

[djd09]

there is no law that says you need to comply with ansi...but there is one about not being misleading...if the market counts it so do i