Brooklyn

[KenRossman]

I'm looking at (not reviewing) a recent (3/08) appraisal, in which the subject is/was classified A4 but was appraised as a 3 fam (appraiser used all C0 comps).

There was a permit issued in 1993 and amended in 1999 to add an additional story and convert the use to 3 family.

Client (hard money) wants a 2nd opinion

There is nothing on ACRIS beyond the 9 year old permit.

No C of O was ever issued or even applied for, best as I can tell.


All throughout the appraisal it is described as a 3 family except this one little blurb in comments - see .jpg below...

I'm thinking of appraising it "as if" it were legal as a three family, noting the lack of c of o, with a cost to cure to make it legal - on a gp form of course.

Comments...

 

[MBD]

The tax classification is different than the legal use. Half the time, they are different. If there is no certificate of occupancy, I would appraise it based on the usage. If the owners have a permit, I would give them the benefit of the doubt and appraise it as a 3 family.

 

[Eli Weiss]

Ken, whats up with your computer, it appears you have brought up that dusty typewriter from the basement....

Anyway, that blurb in the attached thumbnail confirms that its a illegal three-family....
but I assume that the HBU is a three family.
Can you do it based on the hypothetical condition of being legalized?


MBD, based on my experience, the tax classification is 95% correct with the actual usage, given it was converted legally....

 

[MBD]

I was exagerating. But, they are different way too often.

I actually had a discussion about this issue during the afternoon with the owner of the company I work for. Sometimes, the assessors just tax the property based the # of electric meters # of doorbells without even looking at the C of O. I almost had to re-do a report because the DOB website had the C of O for the adjacent house with the subject's block and lot.

Ken, why don't you ask the client if they ran a title search yet? The cert of occ should show up.

 

[KenRossman]

I like Courier New

They ran the title - no C of O

The "permit" is an open building permit from 1999

 

[Kevin Mc]

I agree with MBD, I would appraise it as it is being used, state there is no C/O and the classification is A4.

 

[KenRossman]

Yup - but hypothetical "as if" legal with cost to get there factored...

Also FWIW, the 3 comps on the appraisal I was given are ALL questionable, - 1 flip and 2 with the buyer already as an owner in the chain.

There appears to be very slim pickins for arms length sales of a 3 fam in 11216 (just n/o Eastern Parkway near Franklin. Nothing useful in redlink & very little in MLS

arghhhh!