Commercial Vs Res, Who Appraises More $ Per Year?

[J Grant]

I am wondering if we can get for discussion sake, a range of estimates of what a st gen appraiser might appraise a year in overall $ volume, vs what a res appraiser does.

rough figures are fine...it would be interesting to find out.

I realize one very high end commercial property or appraising an entire subdivision can mean a very high $ amount...on the other hand many commercial/agricultural properties are modestly priced with a number of them valued below mid or upper range residential properties.

Residential appraisers might typically appraise a greater # of orders a year .(if a st gen does both res and commercial, provide aprox figures each...what one person does, not a shop or partners )

For myself, I will provide a very rough estimate, as I can tend to take on an occasional high end residential property that might value 8 million, then have weeks of low end 200k range properties...but as a rough estimate on a moderately busy year, with 2 weeks off not counted, for 50 weeks being conservative, I do around 5 a week at an average 350k value, leading me to figure I appraise aprox $1,750,000 a week, or $87,500,000 a year. worth of properties

 

[Terrel L. Shields]

A lot of my properties are in the $1,000,000 range. The one I am working on is closer to $3MM. But a lot of rural property is cheap, cheaper than "in town". So commercial - I did about $40 million with 60 assignments. Average home in the $200,000 range...but that is estates not banks. So often my retro assignments are from 2010 - 2014, and I have one now that is 1986. Worth it? Well, since a 27% tax bracket means you save 27¢ for every dollar of value, yeah, the $80,000 retro value from current value would save over 20K and I might cost them 10% of that. It is amazing how many people don't realize when they inherit something, they need an appraisal right then.

Most of the commercial farm appraisers I know are charging about $3500 per assignment. Most do about 1 per week and might squeeze a couple of non-poultry farms in along the way. I'm guessing they are getting 40 poultry farms per year each and the average farm now is ranging from $2-4 million. The average residential appraiser is probably doing 250 annually, and I would bet the average price is about the state average of about $230,000-260,000 each. So really not a lot of difference in value totals. Since I quit banks I don't do many poultry farms - they are almost all refi or transaction jobs. Estates are usually house and land, land, or minerals. Occasionally I do both land and minerals.

 

[Michael S]

I estimate last year the total value of all the properties I appraised was in the $200-250 million range. I only went back six months in my log and I was at $124 million. That’s probably skewed a little high as I ended up appraising three large office buildings almost right in a row in January/February ($8-20 million each) and I just finished a large shopping center that was over $20 million.

The median value was just a bit over $2 million and the lowest was $5,000 for a few of acres of land that was pretty much in the middle of nowhere. Most are in the $1-3 million range with about 30% under $1 million.

 

[J Grant]

Interesting thanks for the replies!

 

[ucbruin]

This is a kin to liar's poker.....

 

[J Grant]

I hope people don't exaggerate (or at least not by much ).... Most people one presumes would want to represent fairly

 

[Vermonter]

I do around 5 a week at an average 350k value, leading me to figure I appraise aprox $1,750,000 a week, or $87,500,000 a year. worth of properties

Haha....I do around 5 per week at an average of $180k....so you got me beat.

Highest I've appraised in the last 2 years was only $365k with only 2 others above $300k.

 

[J Grant]

Different areas of the country will have limits on property values for sure!

Here we have everything from 60k condos to 60 million waterfront and everything in between...the bread and butter mid range houses here are 300-400k...which would probably be a cheap dump in some areas of California...and 60k might buy a closet inside a condo in Manhattan...

 

[Terrel L. Shields]

This is a kin to liar's poker

Why would it matter the total value of property appraised. Frankly, it doesn't correlate necessarily all that well with what I charge.

And I am doing other work as well, so I am well under 100 appraisals each of the past 3 years.

 

[Michigan CG]

The highest sale in my county was $900,000 last year. If that home were moved to Chicago it would sell for well over $3,000,000.

The average sales price of a home in my county is around $160,000.

I live in a golf course community and the very nice homes with about 3,000 SF sell for $400,000 at the top. Move those houses to Chicago and they are $1,000,000.

Location, location, location.

Last week I appraised a farm for $1,100,000 and this week I have an office building that will be in the $1,500,000 range.

Between the farm and the office building that is $2,600,000. With an average sold price of a home in my county it would take 16 home appraisals to equal the two high dollar properties.

Two years ago I did a shopping mall with a value of $20,000,000. It would take 125 single-family residences to equal that one property.