Form 1025 Value per Unit/GBA/Rooms/Br's

[Sean Sullivan]

Does anyone have any guidence on if these parts below the sales grid are supposed to be filled out? I was under the impression that they are derived from the appraisers oponion of market value and are just a breakdown. Yesterday in a cont ed class the instructer said that they are not to be filled out. If so only 1 is to be used to further support your oponion of value if your adjusted values are not supporting enough.

 

[Tom Wilson]

The indicators you mentioned are derived from the comps after adjustment, not from the appraiser's estimate of market value. They are units of comparison that may or may not be appropriate in a specific case. Units of comparison are very common in residential and commercial appraisal. Price per SF is a common unit of comparison that is sometimes useful.

I fill out the ones I think are meaningful and put "N/A" in the others. I normally state that price per room has no validity in this market (I know, sometimes it does, but not where I practice).

You might find that only one or two are useful in the case at hand.

OR - you might fill them all out, and then reconcile: e.g. - price per bedroom is given significant weight because zzz, etc. etc.

 

[CANative]

Since you're basing the comparison on the adjusted sales price, use the subject's characteristics for the math. If the subject has 3 units, and the comparable has 4 units, after adjusting the sales price, use the subject 3 units to get the per unit pricing instead of the comparables 4 units. If there are a total of 6 bedrooms in your subject and the 4 unit comparable has 8 bedrooms, use the subject's 6 bedrooms divided by the adusted sales price to get the price per bedroom, etc.

You have to override the forms math program to do this. A detailed explanation would be required.