Bilateral Monopoly

[AnonApprsr]

After I read the "problem", and before I continued I thought it's worth two things "as is to the homeowner" and "what it adds to the neighbor." So right that other than those two, it's kinda hard to say what the "market" (which would be the neighbor in this case) would be pay for it for the reasons described.

I love this part of appraising, the "actual" appraising and problem solving part. I'm so happy I'm in this profession! Thanks!

 

[PropertyEconomics]

After I read the "problem", and before I continued I thought it's worth two things "as is to the homeowner" and "what it adds to the neighbor." So right that other than those two, it's kinda hard to say what the "market" (which would be the neighbor in this case) would be pay for it for the reasons described.

I love this part of appraising, the "actual" appraising and problem solving part. I'm so happy I'm in this profession! Thanks!

And that is the whole purpose of the assignment.

 

[The Warrior Monk]

Market Value is value in exchange.

The situation you describe is Value in Use. In such assignment the motivation of the particular parties becomes as, if not more important.

I've also used Investment Value in similar assignments. I haven't had to deal with the particular situation noted in this thread on the residential side, but have dealt with it on the commercial side.

 

[Kali the Boston Terrier]

So I would look at what the value of an unbuildable, undevelopable parcel. Most areas have sales like this....conservation easements, sales or parks, development right sales...or just lots that are just too small do anything with.

Typically in a vacant land assignment these sales are not readily apparent, partly because you are not looking for them. However I am often suprised when I am doing a conservation easement...I can always find parcels that are not developable. Take that unbuildable parcel, compare it to the buildable parcels of similar zoning...etc. What's the effect? Try it with a few different sales, I bet you will find a trend

 

[jay trotta]

"bilateral monopoly" - (is this a gay reference ?) interesting, good input and there is a possible use.

"Nano Technology" - this language has been bounced around now for a couple of years, in the battery industry to create a new interest. There are folks that are attempting to extend the life of batteries with "Nano" whatever...Duracell/Energizer companies have been around forever, if it was doable, I believe they would have done it. They already have a lock on the industry.

I believe we already use the High/Low aspect and generally pound out the numbers to a given point. I would probably side with those who would Not take the assignment, under the current Legal system available to the public. The original payment would be insufficient to cover the cost of any court action and either Buyer or Seller would have an advantage situation. Has anyone discovered the true definition of "IS", as yet ??

 

[Dennis J. Black ASA IFAS]

Jay,

Is is almost like are