ARV Valuation

[ZZGAMAZZ]

I never heard of the concept until today. I have absolutely no knowledge about the concept except that two values are required. Is a CE course or any pertinent course available? Thanks all!!!!!!!!

 

[Dublin ohio]

I never heard of the concept until today. I have absolutely no knowledge about the concept except that two values are required. Is a CE course or any pertinent course available? Thanks all!!!!!!!!

Do you mean "as repaired value"

 

[ZZGAMAZZ]

Do you mean "as repaired value"

Yes. Are specific forms warranted? ACI tech support didn't know; and I'm waiting a response from McKissock about CE courses.

 

[Dublin ohio]

Nothing special about it. The typical request is an appraisal with the ARV "subject to". With an "as is" value included within the report as an addendum. Most clients will provide a list of the proposed repairs. I use Clickforms and they came out with a supplemental grid just for the "as is" value. But most requests just say use comp page 4,5,& 6 for the 'As is" value. But I never have. I just use a generic grid before Clickforms added the supplemental "As is" grid. Some will continue to argue that it requires 2 separate appraisals. I have done a few. No big deal. Just charge accordingly.

 

[gorillakimchi]

As I know, you can use regular 1004 or 1025. Usually requires 6 comps but depending on clients. ( select 3 comps C4~5 & 3 comps C1~2)

I wish I can take some CE regarding ARV since I'm interested in Flipping business and also AMCs sending a quote for ARV often.

Let me know if you hear back from Mckissock. I couldn't find CE though.

 

[Dublin ohio]

C'mon man. It is not rocket science. Your overthinking it. 3 comps(or more if necessary) for "as repaired" subject to value. 3 comps (or more if necessary) for "as is" value in an addendum. That's it. No special "CE" needed. Unless you have never done an appraisal "subject to" such as a new construction appraisal.

 

[ZZGAMAZZ]

Nothing special about it. The typical request is an appraisal with the ARV "subject to". With an "as is" value included within the report as an addendum. Most clients will provide a list of the proposed repairs. I use Clickforms and they came out with a supplemental grid just for the "as is" value. But most requests just say use comp page 4,5,& 6 for the 'As is" value. But I never have. I just use a generic grid before Clickforms added the supplemental "As is" grid. Some will continue to argue that it requires 2 separate appraisals. I have done a few. No big deal. Just charge accordingly.

Could you use it as before-&-after (legally-permissible / legally-permitted) garage-to-ADU conversion?

[As an aside, most jurisdictions in SoCal that require enclosed parking for a SFR remove that requirement if one or two ADU's are added; consequently a garage can be converted into an ADU...]

 

[Dublin ohio]

Could you use it as before-&-after (legally-permissible / legally-permitted) garage-to-ADU conversion?

[As an aside, most jurisdictions in SoCal that require enclosed parking for a SFR remove that requirement if one or two ADU's are added; consequently a garage can be converted into an ADU...]

That would be up to your client if they require both values. Otherwise why would you do it.

 

[ZZGAMAZZ]

That is the scenario that the client wishes me to appraise; but what the client wants often isn't what the appraiser can or will do. My question is whether the conversion of an existing garage into an ADU would satisfy lending/appraisal standards for this type of assignment. I hope that I understand your comments accurately. Thanks as always. GM

 

[Dublin ohio]

That is the scenario that the client wishes me to appraise; but what the client wants often isn't what the appraiser can or will do. My question is whether the conversion of an existing garage into an ADU would satisfy lending/appraisal standards for this type of assignment. I hope that I understand your comments accurately. Thanks as always. GM

I don't see why not. They will probably be making the loan based on the ARV. The additional addendum for the "as is" is for the clients purpose