one plus one equal ZERO?

[JP Truce]

We have an assignment for a ZERO lot line property. They are two single family residences that share a common wall. They are a mirror image of a common duplex in this immediate market area. The lender is asking that we do the report on the duplex form. However, each side has it's own parcel number, taxes, sewer hook ups....). The owner has the ability to sell each side as a single family residence if desired. Zoning allows for duplex or zero lot line homes.

How would you all approach this one.

Thank you for your help.

 

[CANative]

As they stand now, they are two, attached single family residences.

 

[Randolph Kinney]

What you are describing are single family attached homes. The only question I would have is the form of ownership; condo or PUD.

Is there an HOA? What does the deed say?

 

[Caterina Platt]

As they stand now, they are two, attached single family residences.

Bingo! Not a duplex. These are individual dwellings that share a common wall. They can be sold seperately, and mortgaged indepedently.

Calling it a duplex would not only be improper, it also would likely not be the HBU. I'm going to bet the value of the two seperate would exceed the value of the whole.

 

[CURT VAN HOOSER]

Ditto Greg...sounds like two properties to me. Verify with county and/or title....

 

[bart nathan]

They call these 1/2 plexs in my area.

 

[RSW]

I vote for two seperate sfrs.

 

[leelansford]

We have an assignment for a ZERO lot line property. They are two single family residences that share a common wall. They are a mirror image of a common duplex in this immediate market area. The lender is asking that we do the report on the duplex form. However, each side has it's own parcel number, taxes, sewer hook ups....). The owner has the ability to sell each side as a single family residence if desired. Zoning allows for duplex or zero lot line homes.

How would you all approach this one.

Thank you for your help.

There are two separate properties...they just happen to be attached to one another.

If they were not attached, but were two detached SFRs and happened to be next door to each other, would you consider it appropriate to appraise "it" as a 2-unit property?
Of course not!

Does this answer your question?

Do note that somewhere...someplace...there is a lender who would (if it suited the lender's needs) ask the appraiser to appraise the property as if it were a zoo if the owner kept a variety of exotic animals.

 

[Chris Colston]

So the borrower/owner owns both units? Is one tenant occupied and the other owner occupied or are both rentals? Could complicate the problem?

Separate parcel numbers, taxed as individual units, sounds like 2 appraisals with 2 case numbers if FHA. Occupancy is an issue here.

Get back to client and let them know all that you currently know. Some how I don't think this assignment will be continued to completion.

 

[Charles Decker]

We have plenty of these here (mostly in Sun City) and are referred to as Gemini/Twins. We always do these on 1004's. Make sure you find out the arrangement for roof repair/replacement as the roof is typically continual and most of the time, both owners share equal responsibility.