community for the discussion of real estate appraisal. Register a free account to be able to post and unlock additional forums and features.
100000-300000 is NOT a range of comparable properties, I don't care what magical definition of comparable you try to use. You really don't seem to understand what comparable means.
$100,000-$300,000 the "price" portion of the "search criteria" that I disclose in the body of my report. That search criteria is typically further refined by property type, acreage, square footage and year built. A comparable property is what people in the market consider "comparable", not some anal-retentive appraiser. Some appraisers might restrict their search criteria to only similar quality dwellings ± 10% of subject GLA which is fine by me. As an appraiser I try and reflect the realities & perceptions of the market and how each market segment reacts to different property types in their price range. If a person has a $250,000 budget they will consider many different sizes, styles and quality of homes as suitable substitutes before making their purchasing decision. If you can further refine that data pool down to only green homes with yellow doors similar to your subject and make sense of the data then good for you.
You are full of criticism this morning however you haven't told us what your definition of a "comparable property" is.
haha.
Actually, its not. The guidance is for the range of available properties. If there are no available properties, then 0 is the accepted figure. Check your guidelines.
You seem to have them handy so post them for us.
You have google, post your guidelines. The better parameters for the comparable search is the property qualities you used. If better helps the reader understand the market and what you considered to be comparable in your search. Also, by just using a price range, ais that not a predetermination of the range of your MVE?
As I stated before in this thread, I form my market value opinions before I run the 1004MC which then auto transfers the correct data to the top of page 2. The 1004 MC and the data at the top of page 2 are simply reporting requirements which I typically complete at the end of the appraisal process along with my maps. If there is no data I insert the "price portion" of the search criteria that I used to come up with zero comparable properties. When someone tells me to "read the guidelines" I'm assuming they have and can point the forum in the right direction. Google us up the "official guidelines" for this dilemma why don't you?
I think you are doing it backwards. Don't you run your comparable search BEFORE you complete your appraisal? Then import that data into the form. If there is no or little data that meets your original search criteria, you simply explain it in the analysis segment. When the form first came out there was a 1/2 hour +/- video put out by FNMA that explained their expectations and requirements for the form. If this is the way you have been filling out the form, then it would behoove you to track down that video and watch it. I think its a poorly written form and kind of useless, but for a while we as residential appraisers are stuck with it.