HBU Question - Rural Agricultural RA Zoning

[Braun22]

Thanks, yes... When I saw the workshop I wrote the client while still on the property. I wouldn't have moved forward without communicating with them.

 

[Terrel L. Shields]

It is just a house with a shop building. So common here, I don't agonize much over them. But the key may be who is the lender and is it a conforming (FNMA, etc) loan or a non-conforming in house loan? The in house bank wants the value "as is" and who knows what grief Fannie will give you. Most rural property here is a 15 year loan, or a commercial loan (non-conforming) varying depending upon the purpose and how much. Excluding the personal property and business enterprise value solves your problem. And the lender sounds like that is what they want. So just do it.

 

[ZZGAMAZZ]

So you will take the word of the homeowner that he is moving the business? Does he have a lease on the new location? I got a bridge in Brooklin I.......

Contact the Lender on what you observed, they might not want to make the loan for any commercial use.

The thought-provoking, functional term "Hobby Farm" was expressed last year on the AF. Really powerful term iMO.

 

[George Hatch]

That 16,000 metal industrial on the residential zoned parcel I was talking about earlier in this thread was used by the owner for this car collection and fabrication hobby.

 

[Scott.A]

I'm guessing the OP is probably done with this by now, but for posterity's sake...

I think you're over-complicating this. We don't care what's in the house or the building (within reason), what we care about is the real estate itself (or the rights to it as someone else pointed out). I see these kinds of properties every single day here in my area. Farmsteads are a dime a dozen. I'll see SFR's with one, two, or three+ outbuildings. They aren't large enough for commercially viable farm ops (because the farm acreage got separated previously), so they are typically residential in nature. Go find similar SFR's with outbuilding(s) and run with it. You might have to make some adjustments for acreage, but that should be easy enough to estimate.

 

[Mark K]

I see these kinds of properties every single day here in my area. Farmsteads are a dime a dozen.

I also frequently see them, so often, that I don't give them a second thought.

When someone buys a rural lot of 2-10 acres, the first thing built, after the house, is a pole barn. 36 x 48 or 40 x 60 is most common but some are larger with 60 x 80 not uncommon. Not to mention indoor riding arenas of 60 x 120 or even 80 x 200 for the horse people. Big, not commercial.

 

[Braun22]

Thanks all. I appreciate your advice and the appraisal was turned in last week.