Fire Damaged Home - impact on value

[NJAPRAZE]

anyone have experience appraising such a property? I viewed a home recently where the living room was charred due to a "localized surface area fire"... but no other damage in house (other than dirt/soot/cosmetic); no structural deficiencies, no impact to major systems, and no water damage. Can't locate anything "similar" to determine As Is value. How do you determine stigma impact, etc. ?

 

[George Hatch]

Treat it like a fixer. Figure out how much to repair and double that cost to reflect the discount a contractor would require to take the project on.

 

[Fernando]

I remembered a house that was listed for sale one time and had extensive fire damaged to the porch. I don't know how much to repair but list price reflected a "lower" list price due to the damage.

 

[Terrel L. Shields]

Figure out how much to repair and double that cost to reflect the discount a contractor would require to take the project on.

I have appraised a few from a kitchen fire to an attic fire and the cost to cure is pretty much all that was reflected in the market after repairs. I have been in 2 homes with attic fires and they sold fairly well. Both had a few boards replaced and the smoked up parts had been sprayed with aluminum spray to mask the odor. indistinguishable from similar sales.

 

[Fernando]

Speaking of fires, I was awaken this morning by a call from one of my tenants. He said he smelled gas or smoke coming from next door tenant.
I immediately call that tenant and said go and check inside his premise. He better not blow up my building.

 

[George Hatch]

Parts is parts. Mostly.

 

[J Grant]

anyone have experience appraising such a property? I viewed a home recently where the living room was charred due to a "localized surface area fire"... but no other damage in house (other than dirt/soot/cosmetic); no structural deficiencies, no impact to major systems, and no water damage. Can't locate anything "similar" to determine As Is value. How do you determine stigma impact, etc. ?

Do you know what caused the fire? A faulty electrical system that caught fire would scare off buyers, an owner falling asleep with a cigarette not -

Getting past that, we can not always find a comp affected by fire, so look for water damage or mold damage or anything along those lines. Or just an older place needing repairs? Since the fire damage was limited to one room of the house (living room) an approximate cost to cure and related impact on value is possible to find - depends also what the rest of the house is like of course.

 

[Zoe]

Code may be involved. House insurance company and local code and local fire dept were likely involved

 

[Zoe]

anyone have experience appraising such a property? I viewed a home recently where the living room was charred due to a "localized surface area fire"... but no other damage in house (other than dirt/soot/cosmetic); no structural deficiencies, no impact to major systems, and no water damage. Can't locate anything "similar" to determine As Is value. How do you determine stigma impact, etc. ?

Do it subject to is your best route. You don't know the damage. Do an assumption on any possible electric or other structural damage.

 

[Fernando]

Speaking of fires, I was awaken this morning by a call from one of my tenants. He said he smelled gas or smoke coming from next door tenant.
I immediately call that tenant and said go and check inside his premise. He better not blow up my building.

I talked with tenant today and he said he left the fryer pan on last night. WTF.
I better not go cheap on my fire insurance.