no deeded access

[caleb1004]

Hello,

I am appraising a property with no clear deeded access rights. The parcel is 51.35 acres and appears to be landlocked by other properties. How do i value this ? I have come up with a preliminary value based on "deeded access rights obtained or obtainable" and "easement access".

However, how would it affect the value if there were no access rights ?

thank you !

(land is residential zoned rs40)

 

[Judy Whitehead (Florida)]

Would you buy a property that has no legal way to get to it? How much would you pay less than other similar properties? Most states have laws that say a property owner is entitled to legal ingress and egress to their property, however, that doesn't mean that whoever lies between it and the most convenient roadway has to "give" it to you. I was involved in an issue like this when I sold real estate (several times) and basically the owner of the landlocked property had to hire an attorney, go to court, and the judge decided which of the adjoining property owners had to "grant" them legal access. Then the owner of the landlocked property had to pay them "market value" for the use of their property for access. Whatever that is.......or, of course, if the owner of the landlocked property could make offers until they hit the figure. Sometimes it is more than one owner between the landlocked parcel and a legal roadway and then you really have a stickey wicket.

I'm actually working on a similar situation right now and my sticking point is "Is it legally permissable" - in other words can you appraise the parcel as a farm, residential site, etc. with no legal access?

 

[caleb1004]

landlocked.

so in this case, would it be appropriate to appraiser the property :" subject to" easement and access rights to the property ?

And state that the value is unknown without these rights ?

 

[Kevin A. Spellman]

Hopefully your client will allow you to speak with the abutters. If you cannot, then the reliability of your findings could be high or low in respect to the abutter that could possess the access at a their price.

 

[stefan olafson]

Find out if there is a permanent easement. If there is an easement to the property I'd mention the fact there is no deeded access but there is a permanent easement. If no permanent easement I would turn down the assignment as the only value there is is the value to the adjacent land owners.

 

[Mr Rex]

Find other landlocked parcels that have sold recently (up to 5 years or so back). You will likley have to interview a bunch of realtors and the local GC Appraisers etc to find these sales. I have done a few of these, you would be suprised at the comparable data once you start digging. At least I was.

 

[The Warrior Monk]

The first thing I would do is determine if the property has some type of access, which will require reviewing various documentation. If not, the laws in your area will come into play.

"Subject to" is terminology that in practice is restricted to lending assignments. The property should be appraised "as is," unless there is some compelling reason that the client needs it to be appraised under a hypothetical condition (e.g., needs to know before and after values to determine how much to pay for the access). It can take years to obtain access to such properties, especially if the owners of the lots over which the access will be do not want to cooperate.

 

[Greg Bell]

If they have been using a road to the property for over five years , poof , instant egress over the adjacent property ,Adverse possession..

 

[Mr Rex]

If they have been using a road to the property for over five years , poof , instant egress over the adjacent property ,Adverse possession..

Its 20 years in NC, and many other factors to consider other than the fact that they have been accessing. Try Wiki:

http://en.wikipedia.org/wiki/Adverse_possession

 

[Metamorphic]

50 acres... you could probably put in a landing strip. Cost to cure = Airplane.