Does removing a wall between two bedrooms reduce value from an appraisers POV?

[Denita Neuenhaus]

If the data is there showing a reaction. The appraiser should be addressing that data. Appraisers do not have a "reaction" to a feature. They analyze the market reaction.

That makes sense.

 

[Fernando]

In my market, 3 bedroom still desirable for a family.
I had a very nicely remodeled original 3 bedroom home converted into 2 bedroom few years ago.
If not for conversion, subject as 3 bedroom would have higher value.

 

[Surf Cat]

I've appraised a few of these. Some really nicely done with contractors acquiring permits, adapting structural support beams, and the layout of the dwelling properly done so the flow from room to room is nice. I'll throw in the report the closest 4 bedroom model from the neighborhood of "what it was" then, the rest are 3 bedroom sales closest in age, construction, GLA, condition, etc. with all the commentary for the client. On these, in my area, the difference in value is negligible.

Now, you have "what sounds like" and I'm assuming, you have. Just a wall taken down with no permits, 2 closets and 2 doors to the same room. It's funky and the market will react accordingly. A good portion of the market (here anyways) won't want to deal with it. The ones who will, are going to want an entrepreneurial discount to take it on. I'm most likely not going to find any comparables with this same situation as well.

Additionally, it's not just putting the partition back up. Was there electrical outlets in that wall? How about the flooring? You should know as you're local and probably been in some homes of the same model.

So, are you going to have your clients sell "as is" and deal with the bumps in the road of showing, selling, appraisal, home inspection, and lending? Or, are you going to re-insert the wall properly and sell the dang thing with no hitches?

The whole second part is mute if I've assumed wrong.

 

[Fernando]

I like to give personal examples.
The remodeled 2 bedroom home I saw was contemporary renovated and desirable if buyer doesn't have many children.,
Most people now want at least a 3 bedroom home - parent to sleep, children to sleep in another, and an office.
The remodeled 2 bedroom knocked down a wall and made larger walk in closet and en suite bathroom. Not typical in that family neighborhood.

 

[Denita Neuenhaus]

Surf cat - you nailed it.
Yes, seller doesn't want to put the partition back up. Not done with permits originally. It would need to have the electrical put back in the missing wall.

 

[Surf Cat]

Surf cat - you nailed it.
Yes, seller doesn't want to put the partition back up. Not done with permits originally. It would need to have the electrical put back in the missing wall.

Hey Denita,

Sorry to hear that. It's not that it won't sell....just expect lower offers and delays due to the missing wall.

A few of the agents here will do the work for the seller (providing there's equity) and recoup the funds with a small profit upon closing. Convincing the seller that doing the work will not only get the property to sell quicker and for a higher value than its "as is" condition.....is another matter.

Good luck!