CBD Condo - Acceptable Rental Comps

[P.Johnson]

I am appraising a high rise condo in the central business district of a large metropolitan area and need rental comps. Since the management company won't give out any info. and our MLS does not include SF rentals, would it be okay to use 'similar' rental units in very large high rise apartment buildings? Any opinions....

 

[Pamela Crowley (Florida)]

Management companies can be a real pain. What I usually do is have the subject owner call them to ask them to cooperate. If they still won't, the owner usually gets pretty mad and causes a real stink with them.

I've also gone door to door asking and let the people know why I'm doing it and that their management company wouldn't help me. I'm real nice to them and after explaining that this is necessary for an owner to get refinanced or to sell, they often call the management company to complain also.

You can use other condos but, would need to determine the differences in the rents to be able to adjust and without the subject project rental information..... ?????

I've never had a management company hold out too long after I start my compaign. They don't like it but, it does get what I want.

Good luck!

 

[aprazer]

Pamela has pointed you in the right direction. It is the managing agents JOB to provide information, as they work for the owner(Indirectly). The first place to start is the owner-tell them that their managing agent is not cooperating, and that the use of sales from other buildings may result in a lower market value. I have never had an owner not get on the phone to the agent after telling them that. The managing agent is hired by the owners in the building, and can be replaced with a more effective agent who is willing to be more cooperative. Reminding the agent of that fact may be helpfull. You might also be dealing with the wrong person-ask to speak with their supervisor.

Good luck

 

[Rlong]

I would add that I generally do some of the door to door thing also. It's the second simplest way to get the rental comps AND frequently I get to see the interior of those units (from the door) and hear dirt or praise on the building and management or association. I still hate doing it!

 

[Larry Lyke]

Pam and aprazer are absolutely right.

I'm the sweetest bull-in-a-china-shop when people don't cooperate with me. I am the appraiser and I command this ship, lest you think I don't, I'll appear at the HOA doorway and demand to be served in the name of the owner.

It's never happened, i.e., gone that far. I become such a truly demonically sweet pest, that they give in before I have to SERIOUSLY theaten them. Some HOA do charge for their service, but I always indicate that the charge will be paid by the owner -- if you dare. They are already charging the lender for the form they fill out. Sometimes I simply use that information, but the rental rate charges is a little tricky to get.

It's really a matter of the HOA person feeling powerful because of their position. I have no problem buttering them up or saying anything to get my way, BUT I won't tolerate any non-compliance with my wishes.

Y'ALL DON'T EITHER, PLEASE...

 

[Russ]

Search County Records for non owner occupied, print them, and get out the phone book. Works like a charm right from your desk!

 

[P.Johnson]

Maybe I should have started with "class, please read this question carefully". Which door of the thousand or so units should I knock on first?

 

[Larry Lyke]

After I bandaged my hand, the new answer is Apartment #1.

 

[Pamela Crowley (Florida)]

:lol:

I do what Ross does first, then go knock on the doors of the ones that are listed non owner occupied. This also gives me an approximate total number of rentals. Only had to do that once. The threat of doing that usually gets 'management' to do their job and cooperate with me.

Hey, I've also driven very slowly through condo projects to count the number of parking spaces because I couldn't find that info any where else.

Hey Larry, I call that my 'drown them in sugar' routine. Although, sometimes my tongue starts bleeding.

 

[P.Johnson]

Does anyone read what the actual questions are on these posts? Thanks all for your opinions. Now I know how to appraise a condo in Mayberry. I'll just knock on the doors of both units. I'm just kidding - thanks anyway.