- Joined
- Jan 15, 2002
- Professional Status
- Certified Residential Appraiser
- State
- Missouri
I've been following the "commercial or residential?" thread and took all that in. Can I add another twist?
I have a SFR with a 3-family and a 2-unit commercial building all on 1 acre. I am definitely not qualified (yet) to do this. But I hope someone can help me with how to guide the lender in this sitch.
The zoning is multi-usage (SFR or multi) but not commercial. He has a conditional use for the commercial. The income is the same for the commercial bldg as for the multi. The land and add'l bldgs are worth more than the SFR, which is 60 yrs old & shows it. Residential use is believed to be interim as there is a strip mall adjacent to his lot, and a utility switch-house for the phone co. on the other lot. Residential across the street. Zoning is in a state of flux (newly incorporated city) and they are still working on the new zoning map :roll:
It would seem that HBU is multi and should be appraised that way as the commercial is a conditional use? And try to find sales of multi's w/small commercial? What are the parameters for "interim use" as eventually this will be commercial (the homeowner will tell you so!) but who knows when as this is a little burg w/land o'plenty available.
I'm looking for what to say to the lender other than,"I don't know my &*%@[email protected]* from a hole-in-the-ground", which is the truth for this property, but doesn't shine a favorable light on me. :lol:
Am I right with: Probably HBU multi, but interim use, value added for commercial limited and I need more $ for this because I need to get assistance?
I have a SFR with a 3-family and a 2-unit commercial building all on 1 acre. I am definitely not qualified (yet) to do this. But I hope someone can help me with how to guide the lender in this sitch.
The zoning is multi-usage (SFR or multi) but not commercial. He has a conditional use for the commercial. The income is the same for the commercial bldg as for the multi. The land and add'l bldgs are worth more than the SFR, which is 60 yrs old & shows it. Residential use is believed to be interim as there is a strip mall adjacent to his lot, and a utility switch-house for the phone co. on the other lot. Residential across the street. Zoning is in a state of flux (newly incorporated city) and they are still working on the new zoning map :roll:
It would seem that HBU is multi and should be appraised that way as the commercial is a conditional use? And try to find sales of multi's w/small commercial? What are the parameters for "interim use" as eventually this will be commercial (the homeowner will tell you so!) but who knows when as this is a little burg w/land o'plenty available.
I'm looking for what to say to the lender other than,"I don't know my &*%@[email protected]* from a hole-in-the-ground", which is the truth for this property, but doesn't shine a favorable light on me. :lol:
Am I right with: Probably HBU multi, but interim use, value added for commercial limited and I need more $ for this because I need to get assistance?