Condominium Or Townhouse?

[Farm Gal]

Ummm Debra,

You really need to be working with a net, dear.

There is a thing called a condo form which is much better suited to the legal and physical ralities of a condo appraisal assignment than the 1004 form, and avoids exactly the questions you are asking... it is not that you cannot develop a compliant appraisal on the 1004, but why reinvent the wheel?

If you do not have a mentor get one, as comptenecy would come into play if you are doing an appraisal of a property type with which you are unfamiliar, as would appear to be the case. Please seek some local advice on this one to make sure you truely understand the market...

Regards,
Lee Ann

 

[Debra]

Hello!

Well...I took your advice and called my X-Boss. She'd never done one either although she was one of the very first appraisers here. She has been in this business a very long long time. There are very few condos here and they are very new. However, she told me to come by and she'd help me with it. Thanks for replies. Debra

 

[Farm Gal]

:rofl: Well, There you go! In some markets that is 'how it is'.

For what it is worth, about a year ago, I created a huge furor on this forum when I asked questions about appraising a unit in an incomplete condo complex...

Sometimes by the time you are done you ARE the expert and there aren't any other local experts!

(With only three units completed, and no arm's length sales within the complex ... and little likelihood of the complex EVER being completed... the fact remained it has SOME value and it was up to us to figure out how much that would be :blink: ... which we did carefully and with way more time and effort involved than we ever got paid for... but by then we knew WAY more than anyone else about not only that property but any remotely similar property that sold in the last 20 years anywhere in a 5 county area )

Have fun, or get educated, which ever!

 

[JSmith43]

This is in regards to the comp rent schedule comments a few posts ago:

Lenders don't always require them because it is typically only necessary to have this information if the borrower needs to include the rental income of an investment unit being purchased in order to qualify. So, if the buyer has plenty of income to qualify without the rental information, the comp. rent schedule is not needed.

It can be a nasty little form, when rental data is not readily reported! It is probably requested more often than it is needed.