Basement versus a Crawl Space

[Jason Kreisman]

I have a question: "If the subject has a crawl space and all of the comps have basements, one would adjust across the board, right! But if those comps have finished basements does one adjust that too?":new_all_coholic:

 

[Otis Key]

Vat is dis basement stuff you speak of?

FWIW, it might help with your location - someone closer might be able to assist.

To answer your question - What does your market data indicate?

BTW - welcome to the AF

 

[Lee Lansford]

Jason, in some markets the fact that the sales "comparisons" have finished basements and the Subject has no basement could be a very significant difference.

Do tell us more about where you are located and why it is that there are no properties--other than the Subject--that lack a basement.

 

[raquel berrios]

When i come upon a situation like this, i do adjust across the board
for having a full basement and for being finished verses a crawl space.

 

[Bearslide]

In our area, it is rare for a stick-built dwelling to have no basement. Typically, there are no COMPARABLE sales, so yes, across the board adjustment and extra adjustment if comp basements are finished.

Just finished a 50 year old brick ranch on crawlspace - no similar sales. The only sales were brand new attached townhome condo's on slab geared to entry level buyers and semi-attached luxury 1 story condos on crawlspace. I provided the 3 best neighborhood, similar sales and adjusted and then added 3 condo sales, but made no adjustments - provided for purposes of illustration only. Explain, explain, explain.

 

[Ross (CO)]

This was really a trick question, right ?

 

[Jason Kreisman]

This is not a trick question, but in my findings, I have often not found a comp that matches in below grade qualifications. So, I have adjusted based on what the market dictates for a crawl versus a basement, but the problem is do I adjust in the box underneath the basement section for a 100% finished basement as well is my question. It seems as though I am double dipping.

 

[Mike Kennedy]

a. utilize at least 1 comp (older sale,contracted,active listing) to ascertain and demonstrate the markets' reaction to crawl vs partial vs full basement size .......

b. two separate line adjustments ......size / finish. question tho - is a comp with a full basement that is finished truly comparable to a subject with a crawl? unless abso necessary.....would not utilize that sale/contract/listing as a comparable.

 

[Mike Garrett RAA]

Harrison's Illustrated Guide to the URAR form. $39 and you can order it on-line at www.formsandworms.com

 

[Ross (CO)]

When you say the "box underneath the basement section".......do you mean the Functional Utility field ?

I generally deal with below-grade comparison and adjustment issues for both subject and selected comparables right there in the double-field space on the form called "Basement & Finished...Rooms Below Grade". The upper of those two lines acknowledges presence of either crawlspace OR basement (total area and giving %-fin. amount). A crawlspace gets no ideal recognition of value-assistance for a property, it is merely there to give uniformly distributed support to the structural mass that exists above !

The lower line is where I mention total finished sq.ftg. (that # is always =< the number above), followed by abbrev. letters for those recognized rooms only in that below-grade living area. It is MY determination as to what constitutes a recognized "room" and whether it "qualifies" as true living area.......not what the property owner tells me. Yes, finished basements DO have to possess elements of "qualification" as living area. If the basement is cracked, floor is heaving, and/or water is coming in at times during the year.....it carries little enhancement for that property. In my market a typical and competent basement is an appealing aspect and a single-basement beats 3-of-a-kind-crawlspaces any day of the week. If a buyer can attain a basement (with no problems) in their home purchase......they'll prefer that house over one with a crawlspace. At least here they will. What does your market "dictate" for a crawlspace versus a basement ?

Years back if I had similar doubts about these determinations I turned to my mentor. After all, they knew my market better than I did. What does your mentor say about reconciling these aspects of most homes in your market ? Is there any chance that you work in my market area of CO ?