Below Grade Finished Doesn't meet ANSI

[NC Appraising]

What does it matter??? The appraiser decides upon the adjustment either way. It can be the exact same adjustment (or none) if on the finished, or unfinished line. Just seems like we are grasping at straws here...

Where in the ANSI guidelines, OR in UAD guidelines is the ceiling height for basement defined to be either finished or unfinished?

These kind of discussions are Fannie's fault, for not being clear in the past, and leaving it up to appraiser discretion, BUT NOW mandating ANSI which is contradictory in some instances and still quite vague in others. If we, professional experienced appraisers, are having these discussions, what will the HS graduate reviewers be doing to us? Not just this thread, but all the ones dealing with measuring, GLA, etc.

Nothing is contractory. We are in this situation because appraiser want to read it as they want to read it.

Why does it matter?
per fannie:
Why the change? Valuations of residential property correlate strongly with GLA, yet to date there is little consistency in how appraisers determine it. Our adoption of the ANSI standard for measuring, calculating, and reporting square footage: • Creates alignment across market participants. • Provides a professional and defensible method for the appraiser. • Allows transparent and repeatable results for the user of the appraisal report.

 

[NC Appraising]

The 7' is just for GLA.

Please show me in ANSI where is says that. Fannie is requiring us to use ANSI right?

I will be waiting.

ANSI, MAY HAVE TO CLICK TO EXPAND.

 

[Overimprovement]

These threads about ANSI will become just like the 1004mc threads. Until someone publishes a "Dick and Jane" version of ANSI with illustrations. Some appraisers will never understand it.

Coming soon, "The Noble Appraiser" explains why 6'11" is not the same as 7'0"...unless we are talking about below grade, or a berm house, or in the state of WY, or on a Tuesday. Or in a racially mixed area.

 

[glenn walker]

Coming soon, "The Noble Appraiser" explains why 6'11" is not the same as 7'0"...unless we are talking about below grade, or a berm house, or in the state of WY, or on a Tuesday. Or in a racially mixed area.

First Civil Rights lawsuit as Plaintiffs for Little People who are being discriminated against as these no good appraisers are lowering the values of their property because there ceilings dont meet ANZI . handicapped people and ones in wheel chairs and scooters who now own worthless properties.

 

[shrubberyvaluation]

Nothing is contractory. We are in this situation because appraiser want to read it as they want to read it.

Why does it matter?
per fannie:
Why the change? Valuations of residential property correlate strongly with GLA, yet to date there is little consistency in how appraisers determine it. Our adoption of the ANSI standard for measuring, calculating, and reporting square footage: • Creates alignment across market participants. • Provides a professional and defensible method for the appraiser. • Allows transparent and repeatable results for the user of the appraisal report.

They do seem to be talking about of both sides of their mouth. On one hand they claim valuations differ based on how we determine GLA and then they tell us how we report GLA doesn't change the valuation, just how we report it. This is bs about transparent and repeatable results, its about trying to gather a database.

 

[shrubberyvaluation]

Please show me in ANSI where is says that. Fannie is requiring us to use ANSI right?

I will be waiting.

ANSI, MAY HAVE TO CLICK TO EXPAND.


View attachment 61099

You are correct, their FAQ differs.

 

[Overimprovement]

Glenn, I've told you 100 times, they are vertically challenged.

Reminds me of a couple Amish homes I have appraised with no indoor utilities. Not that they didn't use them--rather no plumbing or electric at all.

Those are some fun comp searches!

 

[Overimprovement]

What is so sad about all this is nowhere in the ANSI specs (all 2 pages of it--the rest is examples) is 'GLA' mentioned. Just above and below grade. Maybe its time for all the talking heads to get together and ferret out their differences.

 

[Mntn App]

To the OP:

Lets look at the facts:

1. Fannie Mae is requiring appraisers to follow the Square Footage-Method for Calculating: ANSI® Z765-2021 standard.

2. Q19. How should appraisers value finished areas that the ANSI standard does not include in GLA, such as where the ceiling height is less than 7 feet? The Selling Guide offers some guidance on this topic. When the subject property has an area that does not meet the ANSI minimum ceiling height requirements, the additional square footage must be reported on a separate line in the adjustment grid and a market adjustment applied, if warranted. Similarly, we require the appraisal report to account for all other square footage that is not included in the GLA

3. Q14. The ANSI standard requires any area that is partially or wholly below grade to be counted as basement; what defines ‘partially’ below grade? A floor level is partially or wholly below grade if any portion of its walls is not entirely at or above ground level

4. The appraiser must report:  Total square footage of the property improvements below grade – If there is no basement, enter the numeral zero (0). No other information may be entered.  Finished square footage of the property improvements below grade, if applicable. Do not indicate a percent finished

Again, ANSI has two different terminology: finished and unfinished. The ceiling height is part of the finished and unfinished definition. ANSI does not differentiate!!!

Why is there two separate lines in the UAD for the basement and below grade living area?

Area sqft
Finished sqft

What I'm I missing here? Put the 6.8' area on the AREA SQFT section......Not rocket science!!!

Got exactly the situation you are commenting on. The 1940's era renovated home has a finished basement with a 6.75' ceiling height. In the market analysis grid do I put in the below grade area but do not show a room count, treating it like an unfinished basement?

 

[Terrel L. Shields]

Why the change? Valuations of residential property correlate strongly with GLA, yet to date there is little consistency in how appraisers determine it

So they write gobbledygook to clarify? That's really gonna help.