Det SFR is condo

[Shaggy]

Is it Friday yet :new_smile-l: Subject property; unique floor plan, nice, upscale, good quality, detached single family style home which is a condo. These type properties are very uncommon in my territory. Of course, no comps in project, so will have to use single family as comps. I have not done one of these in many years. Does this have to be done on the condo form?

 

[Meandering]

If it is a site condo, with some land contained in it's legal description it can be done on a URAR for lending purposes. You need the legal description and maybe the plat map to know exactly what you have.


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[Gregory Beck]

A condo is a condo regardless of it being detached. I know you can do it on a 1004 and use SFR but I wouldn't. I would use a condo form and use only condos as comps. It's like going to a realtor and telling him you want to buy a condominium but he only wants to show you higher priced SFR. Get my point appraise what you have.

 

[Sid Holderly]

In my rural area a comp for a condo would be 100 miles away on a larger lake at 50% more $ for the same sf. The competition for a local condo is often only SFR. So, each situation has to be parsed within the parameters of what makes a viable report. Sometimes there are no oranges to compare to oranges and you have to use tangerines with a lot of explanation.

 

[Zero]

If it is in a project with only detached condos, Fannie specifically allows it to be done on the 1004. The report format often makes more sense than the condo form, but don't gloss over the form of ownership or leave out details about the project.

 

[George Hatch]

The project surely has a sales history that can be used to identify adjustments (if any) between these condos and other condos of attached design/construction or freestanding SFRs on their own lots.

One thing that may influence values are the HOA dues.

 

[Michigan CG]

Is it Friday yet :new_smile-l: Subject property; unique floor plan, nice, upscale, good quality, detached single family style home which is a condo. These type properties are very uncommon in my territory. Of course, no comps in project, so will have to use single family as comps. I have not done one of these in many years. Does this have to be done on the condo form?

We have many of these properties and they are referred to as site condos. The general public has no clue they are buying a "condo" and there is no difference in our market. This is the perfect example of the principal of substitution.

As to which form it depends which lender you get and what they feel like that day. Any time I do one of these reports I ask them which form they want and if they are absolutely sure. I then inform them that if after the report is submitted and they change their minds that there is an additional $100 charge.

.......I would use a condo form and use only condos as comps. It's like going to a realtor and telling him you want to buy a condominium but he only wants to show you higher priced SFR. Get my point appraise what you have.

In my market this would be very bad advice. There is no way to tell if it is a site condo or a typical SFR. People have no idea what they are looking at and some Realtors don't even know the difference.

If it is in a project with only detached condos, Fannie specifically allows it to be done on the 1004..........

Eh, call them five times and you will get five different answers.

The project surely has a sales history that can be used to identify adjustments (if any) between these condos and other condos of attached design/construction or freestanding SFRs on their own lots.

One thing that may influence values are the HOA dues.

Around here there is absolutely no value difference.

 

[Michigan CG]

A condo is a condo regardless of it being detached.....

Condominium is a form of ownership, nothing more and nothing less. There are many types of condos in residential and commercial properties.

 

[Lee Lansford]

Is it Friday yet :new_smile-l: ...

Of course, no comps in project, so will have to use single family as comps. ...

How will you measure the difference--if any--between the subject's condo status and improved properties where the land is owned?

 

[Lee Lansford]

The project surely has a sales history that can be used to identify adjustments (if any) between these condos and other condos of attached design/construction or freestanding SFRs on their own lots.

One thing that may influence values are the HOA dues.

Important research and analysis--which, more than a few appraisers fail to do in situations as the one at hand.