Commercial appraiser or residential ?

[QB2025]

If a property has a property class of R5 and a Mix zoning . Will it need a commercial appraisal or residential?

 

[George Hatch]

The type of appraisal will depend on the entire combination of property attributes including any potential for redevelopment.

For example, if this is a residential 1-4 use onsite it will usually (95%) still be appraised in that use unless the underlying site value is higher than the residential value. The zoning alone doesn't arbitrarily make this a commercial appraisal.

Is it worth more as land value or in the existing use? That is the question because if its worth more as a redevelopable parcel then it's a land appraisal. If its worth more as a 1-4 (or in an existing non-residential use like an office or storefront on mulit-family) then it gets appraised that way.

 

[QB2025]

Thanks for breaking that down. That makes sense — it’s really about whether the land is worth more in its current allowable use or as a redevelopable parcel. In my case, the property is vacant land sitting directly next to commercial and townhome developments, so I’m leaning toward the redevelopment/land value side being stronger. I appreciate the clarification that zoning by itself doesn’t automatically set it as a commercial appraisal — it’s whichever path supports the higher value.

The type of appraisal will depend on the entire combination of property attributes including any potential for redevelopment.

For example, if this is a residential 1-4 use onsite it will usually (95%) still be appraised in that use unless the underlying site value is higher than the residential value. The zoning alone doesn't arbitrarily make this a commercial appraisal.

Is it worth more as land value or in the existing use? That is the question because if its worth more as a redevelopable parcel then it's a land appraisal. If its worth more as a 1-4 (or in an existing non-residential use like an office or storefront on mulit-family) then it gets appraised that way.

 

[Tom D]

In PA that is considered commercial license, if it still has a commercial part to it. My state says you ain't qualified to do a commercial highest and best use, being residential certified.
How can you say residential best use, if you didn't do a commercial best use to compare. Be careful, ask your state, some here have states that allow it.

 

[Zoe]

Thanks for breaking that down. That makes sense — it’s really about whether the land is worth more in its current allowable use or as a redevelopable parcel. In my case, the property is vacant land sitting directly next to commercial and townhome developments, so I’m leaning toward the redevelopment/land value side being stronger. I appreciate the clarification that zoning by itself doesn’t automatically set it as a commercial appraisal — it’s whichever path supports the higher value.

Can you post a like a picture of the site plat map or tax parcel map?

Can you share what is around it in more detail?

Can you explain allowable uses?

Have you spoke with any market participants like an adjoining owner?

I think I catch your drift. You are wanting it to sell for highest and best use as in market value appraisal.

 

[QB2025]

Can you post a like a picture of the site plat map or tax parcel map?

Can you share what is around it in more detail?

Can you explain allowable uses?

Have you spoke with any market participants like an adjoining owner?

I think I catch your drift. You are wanting it to sell for highest and best use as in market value appraisal.

Next to it is a small stripe mall and townhouse behind that . Mix zoning you can have commercial or residential. R5 is Medium High-Density Multiple-Family Residential use.

 

[KHS445]

Sounds like commercial use would be legally possible and feasible, so I would say a certified general appraiser would be required.

 

[Mark K]

In PA that is considered commercial license, if it still has a commercial part to it. My state says you ain't qualified to do a commercial highest and best use, being residential certified.
How can you say residential best use, if you didn't do a commercial best use to compare. Be careful, ask your state, some here have states that allow it.

The OP shows "General Public". I'm thinking he is the owner, not an appraiser. I could be wrong.

 

[JTip]

Site size. Building ordinance and setbacks and this and that.....

You are fishing without a hook.

 

[sputnam]

If a property has a property class of R5 and a Mix zoning . Will it need a commercial appraisal or residential?

The zoning doesn't determine what sort of appraisal will be needed.