Is it still comparable?

[zaclan]

If the local industrial market is active, with plenty of recent sales, that may not be the most reliable data; on the other hand if there is limited sales data in a slower market, that may be the best the appraiser had to work with. That is also why there is the cost and income approaches. I would look at especially the income approach and see if what you think of the analysis there.

 

[Tom D]

Just curious, when we had sugery did you ask the surgeon why he used those stitches, or why so many, no. I get tired of having pages explaining the minutia, because everyone now is an internet expert.

As little as i have done non residential, the issue was always trying to find similar comps when that market is a very small percentage of real estate.

Now having said that, my report is so filled with info that i can't remember getting a srip. I figure i have to educate the internet experts. Unlike the index card days, or a regression value, just a number which everyone believes to be true.

Reading my report is like taking appraising 101.

 

[BRCJR]

I never cared about Fannie's percentage guidelines. And I got called out in the past and I just had to explain my reasoning. Or had to get an additional comps (I meant sale) with less adjustments. Ugh.

One time I reviewed an appraisal for a takeover for a piece of my commercial property (forgot what the term for government taking private land) which was done by assessor.
I knew it was hard to do and the comps were so far away. It wasn't convincing but I let it go and accepted the money.
I didn't think it was worth it and my time to fight county over my small piece of land.

So, you got called out in the past? Was that because you were not writing a convincing report for your reader?

 

[George Hatch]

Multi-tenant flex properties in the comparable sizes don't just grow on trees. Some regions have more of those than others. If an appraiser is working in a region where there are a bunch of them in those sizes and with those rental rates then they have no reason to use less similar comps.

We seldom get the quantity/quality of comps that we want so we sometimes just have to make do with what there is.

One rule of thumb common among appraisal reviewers is to withhold criticism unless they can actually do better in that situation. If you have other sales that are more similar than the ones presented in the report and which don't require as much adjustment then simply forwarding those to the appraiser could (should) result in a revision. No appraiser who is working to specs will voluntarily use less similar when more similar is available to them.

 

[Terrel L. Shields]

ou were not writing a convincing report for your reader?

I am always right, and I never lie should be convincing enough