Can 2 contiguous parcels deeded together with the same owner be sold separately?

[Zoe]

The way the properties are deeded... that is on the same deed or on separate deeds should have no impact on whether they can be sold separately or not. Likely, the parcels would need to be divided, legally. That's just paperwork and legal fees.

Depends on zoning. You have setbacks if they are divided. That part could get ugly on setbacks. Survey would be easiest avenue.

Who is responsible for the joined parking lot? Will jurisdiction give a variance? See?

 

[J Grant]

My assignment is for a private individual seeking market value for a fourplex she might wish to purchase.

The property is improved with four total, identical units located in two buildings with a parking area between the two buildings.

My research reveals that what appears to be a 4-unit residential income property actuall is comprised of two contiguous parcels each with 2 units, on two lots that per title are "deeded together."

Of course the individual wants two values, for a duplex and also a quadrplex, although that conceivably could require 3 assignments...

However, I'm stumped by the basic HBU, based presumably on the question whether either of the two, existing, legal duplexes can be sold individually if deeded with the other?

Thannks.

why does giving two different values ( one for a duplex, one for a fourplex ) require 3 assignments?

It sounds like two appraisals ( two assignments )

The question is less about the deed than about what is physically possible and legally permissible. Put the deed aside- are the buildings on two lots, or one big lot? How would the middle parking be affected if the lots were split ? If it is two lots under one deed, it is legal to split them ( typically). If the four buildings are on one big lot , it may or may not be legal to split that lot -

 

[Zoe]

I set SOW for my client. I have been reminded many times who is responsible for SOW.

 

[Zoe]

why does giving two different values ( one for a duplex, one for a fourplex ) require 3 assignments?

It sounds like two appraisals ( two assignments )

The question is less about the deed than about what is physically possible and legally permissible. Put the deed aside- are the buildings on two lots, or one big lot? How would the middle parking be affected if the lots were split ? If it is two lots under one deed, it is legal to split them ( typically). If the four buildings are on one big lot , it may or may not be legal to split that lot -

Because of setbacks on zoning requirements. The appraiser has indicated this is zoned for commercial use? Do you get the picture?

No permits issued?

 

[Zoe]

why does giving two different values ( one for a duplex, one for a fourplex ) require 3 assignments?

It sounds like two appraisals ( two assignments )

The question is less about the deed than about what is physically possible and legally permissible. Put the deed aside- are the buildings on two lots, or one big lot? How would the middle parking be affected if the lots were split ? If it is two lots under one deed, it is legal to split them ( typically). If the four buildings are on one big lot , it may or may not be legal to split that lot -

Remember I am focusing on MV definition as defined by...........MV definition requires H&B use analysis. It is not should. It is must.

Questions Ms. Grant?

 

[Zoe]

I would recommend to by client (owner) immediately that they need a survey of what I am appraising. YMMV. a/k/a your mileage may vary.

 

[KHS445]

If half of the parcel can be legally separated, then they can be split from the deed - if the property is encumbered by a single mortgage, teh mortgage would need to be paid off if one half was severed from the whole ( such as one half of the parcel contained a duplex)

Not correct. If encumbered by one mortgage, the lender would only need to provide a partial discharge, releasing the parcel (legal description) being sold. Now what the lender may require as a principal reduction is definitely up for discussion, as there is no requirement that they provide the discharge for half the remaining balance.

 

[KHS445]

Depends on zoning. You have setbacks if they are divided. That part could get ugly on setbacks. Survey would be easiest avenue.

Who is responsible for the joined parking lot? Will jurisdiction give a variance? See?

Most likely setbacks would not be a problem as the poster has stated there is a parking lot between the two buildings. Additionally, probably the only area that would be affected by setbacks in the event of a split, would be the area between the two parcels that is currently under common ownership. In that case the owner could agree to any infringement on the required setback and it should be a non-issue. At least that is the way it operates in most areas, but who know what kind of regulations are in California.

 

[KHS445]

I would recommend to by client (owner) immediately that they need a survey of what I am appraising. YMMV. a/k/a your mileage may vary.

No survey would be necessary for the assignment to be complete. As stated, there are two separate parcel numbers, and I am fairly certain that the local Assessment/Equalization office has aerial tax overlays available that would show the approximate location of the shared lot line. This would also provide you some information regarding any potential setback issues.

 

[J Grant]

Not correct. If encumbered by one mortgage, the lender would only need to provide a partial discharge, releasing the parcel (legal description) being sold. Now what the lender may require as a principal reduction is definitely up for discussion, as there is no requirement that they provide the discharge for half the remaining balance.

The lender could do as you suggest, or they could require a pay off of the loan. I was short cutting the answer to let the OP know that even if encumbered by a mortgage a property with two parcels can be split -