HELP! - NADA manufactured home appraisal

[Kevin Steele]

Hello out there in ForumLand. I'm new to the business and need some advice. I've been approached by an attorney about doing appraisals of manufactured homes. (Yeah, I know, I should probably run the other way, but please keep reading) The values are going to be used for bankruptcy proceedings and the value must be derived using the NADA value guide since the home will be assessed as personal property rather than real estate. The land will NOT be included in the appraisal, just the structure. I'm looking for any tips on how to handle these including running the other way if its best! Maybe some pointers on what to put in the certifications and limiting conditions addendums?? The earliest school I've found for appraising manufactured homes that I will be able to attend is next year. Thanks folks.

 

[Jo Ann Meyer Stratton]

Although you will be doing personal property appraisals, not real property, you might want to check out my article at:

http://www.naifa.com/gram/2001oct/stratton-oct01.html

It does have links at the end of the article that might be useful. Also check the appraiser links on this site, misc, manufactured home with similar links.

Good Luck

 

[Pamela Crowley (Florida)]

The NADA system is a specific software or there are paper forms that you can fill in by hand and you will likely need the MHV classes/designation.

Go to: www.lincoln-grad.org

The company making the software quit making it last I heard. I haven't checked for a while so please let me know if it's available again.

 

[rtubbs]

My advice would be to run from the assignment. I've taken the Lincoln course but never did get board certified. Not only do you need to be familar with all the makes and models, add-ons, the NADA guide, etc., you have to use comparable properties the data of which is virtually impossible to obtain. If you're doing it for attorney, beware that the appraisal will probably come back to bite you big time.

 

[Anonymous]

I wonder why the lawyer is only concerned about the value of the mobile home and not the land. If the site is leased the transferability of the lease is important as a mobile home which must be moved is worth less than one which is set up. There may be issues of leasehold interest or even rent control. This can be very interesting and profitable work.

 

[Pamela Crowley (Florida)]

Walt,

I agree. It will take a huge amount of caution though. I would not recommend this for a newbie.

 

[Jeff Horton]

Like Rtubbs I have taken the NADA class and after that I would NEVER recommend trying to do an NADA appraisal without the class. There is more to it than meets the eye.

Personally I would jump at the chance to do them. I have just never had any that wanted me to do one so I have never bought the NADA books or software. It sort of like the Marshall and Swift. If you do it correctly it's going to be hard for another appraiser to prove you wrong.

 

[Don Clark]

8) I may be wrong, (I have been at least once before :wink: But, it seems to me that you cannot get the material from NADA without taking the course, and only Lincoln Graduate Center, an affiliate of the National Association of Master Appraisers, is recognized by NADA as being eligible to bestow the Manufactured Housing Valuation designation.

Don Clark, IFA

BTW, my son took the course, did 2 by the NADA method and has refused all request since then.

 

[Terrel L. Shields]

Actually you can get the NADA book as a stand alone book or you can get the appraisal system. The CE MH courses taught by the likes of Lincoln Grad or McKissock are not the HUD approved appraisal system courses. You have to buy the system to get the NADA computer disk. I use this...the book is extremely complex to use in my opinion...worse than their car books by far. The Computer software requires size, Model NAME and Manufacturer. NAME is a very difficult thing to come by sometimes and rarely can be found on the unit itself. If no name, you can go into the supplemental valuation section and guesstimate the quality level, etc.

The NADA computer disk is also not to be confused with the FormFill Software to do an actual appraisal. I recommend you contact NADA about the book, software and training courses. Use of a cost book is typical in appraising Personal Property and (in my opinion) is a quasi-Cost Approach. Actual Invoice Cost when available allows you to estimate the RCN using historic multipliers unless that model is still available.

 

[Mike Garrett RAA]

Is it time for my famous "Run, Run like the Wind"?