Church - Dom? Adjustment

[Terrel L. Shields]

They are ecclesiastical buildings in NBC. And the value TODAY reflects the value of a sale that lies in the future (three years). The comps do not reflect a discount TODAY.
Just like valuing lots that will take time to absorb, a discount would be appropriate. The owner will take a haircut compared to the identical property that sells on day 1 but his/hers sell at the end of three years.

 

[J Grant]

?? Either you are doing a current effective date appraisal or a future date. It sounds like you are doing a current effective date appraisal, correct? Inspect (07/20/2016, effective date 07/20/2016) Yes or no, which is it?

If you are doing a current effective date appraisal, it;'s not what subject would sell for three years from now. It 's what it would sell for in a hypothetical sale as of current effective date, considering it HAD a market exposure time of 3 years ( if research shows similar churches took 3 years to sell)

The fact that it took 3 years is the market exposure . The price is the price. It took 3 years to attract a buyer at that price.

I write market exposure estimate as a range. ( 28-36 months). I've done some ocean front and estates that due to high price and upkeep, similar houses took aprox 2.5-3.5 years to sell. If hey want to sell sooner, they slash the price. On ocassion a seller can get lucky, the day after the property is listed the right buyer comes along and makes an offer. So a property can sell in a day just from luck/timing. But what we often see is sellers too greedy or not well informed enough to take that first offer, then they wait 2 more years for a similar offer. Some properties such as churches or in my case large ocean front have a very small buyer pool, thus they take a long time to sell (typically)

 

[Terrel L. Shields]

Current. I got my answer from a PM, and the discount reflects the same as those lots...and by your own statement?

If hey want to sell sooner, they slash the price.

Duh.
So what kind of discount do you think I am talking about? If they want to market it sooner, they need to lower the price.

 

[J Grant]

I can't even answer you because I am not clear about your assignment. Is it a current effective date assignment, yes or no?

Is it market value, or a different type of value?

 

[Meandering]

 

[J Grant]

"Duh.
So what kind of discount do you think I am talking about? If they want to market it sooner, they need to lower the price."

What is your assignment? To come up with a list price to sell in X months marketing time? If that is your assignment, you have to research the price point to attract buyers in shorter time than typical. But I 'm not clear if that is your assignment.

What is your assignment, what is the purpose ? Is purpose to establish a list price for a future sale? Or is purpose a current eff date opinion of market value , which uses reasonable exposure (in this case, if properties take an avg of 3 years, that is reasonable exposure)

Is purpose for opinion of market value within a fixed market exposure, such as 6 months? (which might end up as a liquidation value or disposition value to achieve a price with a market exposure of 6 months if reasonable is 3 years )

market exposure is prior to current eff date. Market time (marketing time) is after a current effective date.

 

[J Grant]

http://www.appraisalinstitute.org/assets/1/7/guide-note-14.pdf

above link

 

[Meandering]

I don't get it either. Some people are too touchy. Or jealous or hateful or something.

I just use place of worship to keep some people's panties out of a wad.

We have meadows here with benches that are "places of worship"

We also have an "alternative religion retreat" where giant rocks are "places of worship".

Church, is a description of a building,

"Places of worship" is a description of the use of a space, which can be any space.

We are tasked with describing the real estate first, and it's current use 2nd, and it's potential other uses 3rd.

so, 1st it is a church, second, it may be being used as a place of worship, 3rd, it could be converted to a residence or C store, or other retail uses, or documents storage facility.

But first off, the building is a church.

.

 

[Eli]

We have meadows here with benches that are "places of worship"

We also have an "alternative religion retreat" where giant rocks are "places of worship".

Church, is a description of a building,

"Places of worship" is a description of the use of a space, which can be any space.

We are tasked with describing the real estate first, and it's current use 2nd, and it's potential other uses 3rd.

so, 1st it is a church, second, it may be being used as a place of worship, 3rd, it could be converted to a residence or C store, or other retail uses, or documents storage facility.

But first off, the building is a church.

.

Trust me not everybody sees it your way. They will call you being a bigot or something. The same thing would apply if you used the term mosque to some people.

Just don't go there. You don't have to. You use a legal description to identify the real estate and you also identify the property rights. I'm telling you it will save you some trouble.

 

[Meandering]

Trust me not everybody sees it your way. They will call you being a bigot or something. The same thing would apply if you used the term mosque to some people.

Just don't go there. You don't have to. You use a legal description to identify the real estate and you also identify the property rights. I'm telling you it will save you some trouble.

Trust me.
Church is a category in Marshall & Swift.

Since we don't write the Marshall & Swift, we are not responsible how they categorize things, but we must state the section of Marshall and Swift we are using for data.


Mosques are domed churches.


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