Q1 or Q2

[JTip]

Q2 kitchen vs Q1 kitchen

Great examples res.

 

[Peter LeQuire]

I haven't seen it, so I don't know what an appropriate rating is. However, this converted barn does not rise to the standards of Q1 OR Q2. Q2 has among its criteria the requirement for "...detailed, high quality exterior ornamentation...": these do not appear to exist in this structure, the exterior of which, while charming, is very plain.

The interior may be very, very fine. And, you may be able to support the level of renovation with sales data. But in the realm we're supposed to operate, the quality (and condition) ratings are objective, not subjective, and this house does not appear to have the design criteria set out for Q1 or Q1.

 

[residentialguy]

I haven't seen it, so I don't know what an appropriate rating is. However, this converted barn does not rise to the standards of Q1 OR Q2. Q2 has among its criteria the requirement for "...detailed, high quality exterior ornamentation...": these do not appear to exist in this structure, the exterior of which, while charming, is very plain.

The interior may be very, very fine. And, you may be able to support the level of renovation with sales data. But in the realm we're supposed to operate, the quality (and condition) ratings are objective, not subjective, and this house does not appear to have the design criteria set out for Q1 or Q1.

"detailed, high quality exterior ornamentation" isn't a requirement, imo. You can have an plain rectangular mansion with millions in the interior, and a strict adherence to that being a requirement would drop it into a Q3. What about a high end condo on a typical Q4 exterior building. It never can rise above Q4 or Q3? Typically, in SFR they do go hand in hand, but this is a special circumstance where the exterior had to be preserved. With the amount of money he's talking about in interior improvements, this could fall into the C2, imo. It's a possibility....we haven't seen the inside, so that may or may not be the case.

 

[Rich Heyn]

Few owners/purchasers of Q1 properties finance their properties through lenders who will sell the loan to either Fannie or Freddie.

No matter what we as individual appraisers want to think, few appraisers have seen the inside or outside of a true Q1.

Read the definition and consider that "exceptional" to an individual appraiser does not equate to "exceptional" in the marketplace.

 

[gregb]

Inspecting a 13000 sf home tomorrow that was listed for sale in 2012 at $34,000,000. It may be the first Q1 property I have appraised, since starting in 1989.

 

[residentialguy]

Please Greg...don't give my address out. Thanks

 

[residentialguy]

Few owners/purchasers of Q1 properties finance their properties through lenders who will sell the loan to either Fannie or Freddie.

No matter what we as individual appraisers want to think, few appraisers have seen the inside or outside of a true Q1.

Read the definition and consider that "exceptional" to an individual appraiser does not equate to "exceptional" in the marketplace.

Very good advice, Rich

Are you doing ok?

 

[The Warrior Monk]

Few owners/purchasers of Q1 properties finance their properties through lenders who will sell the loan to either Fannie or Freddie.

That's true, but some (non-GSE) lenders require (in all reasonably possible circumstances) that the appraisals be in UAD format. A few of the private banks I work for prefer this format.

The possibility exists that the loan amount is within Fannie/Freddie limits, but typically these borrowers will be able to get a similar deal through whatever lender/investment entity/etc. they normally deal with.

 

[Amy Perkins]

I would have to see the inside but it is not Q1. A Q1 around here has more castle type qualities, think Mansion... like on TV. Q2 or Q3 is more appropriate.

 

[Joe Flacco]

I got sent over a appraisal today by a Certified General in Virginia assigning a Q1 rating to this house. LOL.