Attached guest unit: GLA?

[samc6782]

Ordinarily I simply wouldn't include an attached guest unit as GLA, regardless of whether there is a kitchen, if access is only from outside.

For this report I'm working on, the attached-guest-unit-like-area has its own door to the exterior, below the main house (but not underground), and the only access to the main house without going outside is via one of these slow, seldom-used single occupancy elevators that people sometimes have for elderly guests/family members.

Should I consider this guest unit GLA?

 

[CANative]

No. It's an amenity and not part of the GLA of the primary residence. The market would not see this as just a larger house.

But you know that or you wouldn't have posted.

 

[samc6782]

yeah, just testing you guys!

 

[Webbed Feet]

Elevator

What about the contributory value of the elevator? If you think it is seldom used, perhaps it only goes up and down with the market.

 

[bnmappraisal]

ILQ's are a pain in my market! It's difficult to go to a property with a separate unit and have the homeowner and/or realtor tell you whether it's an accessory (ILQ) or a 2nd unit. Often times the city/county doesn't even clearly state its use!

From the sounds of your situation, I would tend to agree with CAN, but, it's up to you to determine. I, personally have a similar situation these past couple of days.

Old school bungalow with the main house having been split into 2 units (upstairs/downstairs) with 2 meters/2 entrances. And then a detached 3rd unit above the garage! This is not necessarily uncommon in this neighborhood, although most are SFH w/ accessory and not multi fam... THAT's what complicates things!

Good luck! ... I know I'm going to need it in my analysis!

 

[J Grant]

Being common for an area or returning market value still does not make an area accessible only from a from separate outside entry into GLA. No access flow from main dwelling, no GLA.

How much value it might command in market is researched after determining whether or not it is part of GLA .

 

[Joyce Potts]

What about the contributory value of the elevator? If you think it is seldom used, perhaps it only goes up and down with the market.

One of the more intelligent statements you've made that I agree with.

 

[Joyce Potts]

In Central Florida, we have counties that handle the Acc Unit differently, to complicate it even further, especially in new urbanism communities that have finished garage apartments. Overwhelmingly, the Realtors include in the in MLS in the GLA because they claim it's heated and cooled and finished to the same standard as the main improvement, regardless of separate electrical meters, etc., and please spare me the ANSI rebuttal.

The point is it's how the Buyers are perceiving this Acc Unit even though there is often not a way to fully know whether they're aware that the GLA they think they're buying includes the garage apartment or is seperate. What I'm finding with the little lending work I do, is that lenders want it separated out which I think is the better approach anyway and the way I prefer to do it so as to NOT BE MISLEADING in any way, shape or form.

A 3,000 sf house with a 500 sf garage apartment generally has a lesser functional utility/floorplan as compared to a 3,500 house inclusive of only the main improvement.

It's an ongoing topic and battle, that use to have more to do with individual markets but the lenders and GSE's have been putting a stop to it.

 

[Ken B]

I'm sitting in my semi-detached "casita" right now, which is finished as a third bedroom and bath. It is my home office. It is attached to the main house by a breezeway and opens to my central courtyard in which my pool is located and to which almost every other room in my house has an entrance.

For me, the space has greater value than a third bedroom directly accessed from the "main" house because of the privacy it offers. With the futon couch, it also makes a nice guest room which is comfortable for a perfect three days. If it wasn't set up as my home office, it would be my "man space" with big screen and wet bar. Maybe a hot tub...yeah...that's the ticket. Wet bar, big screen, and hot tub. And one of those $3,500 massage-everything-including-things-you-didn't-know-you-could-massage chairs from Brookstone. Just need that winning lottery ticket...

Hm? What? Oh yeah...the casita layout is quite a common design in my neighborhood and in my general market area. Is it for everyone? Nope. But neither is a five bedroom house or a one-car garage.

Consistency of reporting and not letting personal opinion influence the analysis is more important than whether or not you include the space as GLA.


Edit: Wait, I missed the part about the elevator. Well, I see the conundrum. Technically, you aren't going outside. I guess a semi-reasonable comparison would be loft space accessed by a ladder. Perhaps the means of access is unusual, but to say it did not qualify for consideration as GLA would be a stretch.

 

[J Grant]

I appraise many homes with casitas, semi detached or detached guest units. I don't include them in GLA, but often find market contributory value is equivalent to, or exceeds that if they were included in GLA .

Or course, that is not consistent every time out, and as in any appraisal, contributory value is area and market specific.

It is common for RE agents to include the sf of detached or attached sep entrance into main dwelling GLA. Just explain the difference and why.