Sales Grid Adjustment Comments

[residentialguy]

Fannie CU took the sales price divided it by the GLA and bam there is your price per square foot.

They didn't subtract the land value. Or did they give consideration for market reaction. The GLA adjustment is not a straight line per square foot calculation. Good try Fannie.

Hardly think so, djd. If that were the case, it would be more like $250-350 per sf.

 

[djd09]

Hardly think do, djd. If that were the case, it would be more like $250-350 per sf.

Then show me how they came up with it.

 

[residentialguy]

Then show me how they came up with it.

Didn't you get your secret decoder ring? You must not know people. That's the FNMA way!

 

[residentialguy]

Seriously though, they didn't say that they got $100 sf. They said
"For example, it would be inappropriate for an appraiser to provide a $20 per square foot adjustment for the difference in the gross living area based on a rule-of-thumb when market analysis indicates the adjustment should be $100 per square foot."

They didn't come up with anything, they gave an example showing how the appraiser needs to use an adjustment that is supported by the subject's market, not by a typical list adjustment that may not be supported.

 

[ucbruin]

Same post that you ignored last time.
Lets revisit it again. Using your term "BS" ...What part of this is deceitful, deceptive or foolish - aka BS?
If you don't, then we know that you are the one spreading BS.

Here you go... show us an example of a few lines that are BS

Adjustments made to the comparables are based on analysis of historic sales data of thousands of properties over an extensive time period. Through the use of paired sales when available within a particular sub market, the use of sensitivity analysis when appropriate, interviews with RE agents, potential buyers and sellers, RE investors and other market participants the appraiser has developed adjustments within local market sub markets (size, lot size, price range etc) that are reflective of typical market participants reaction to the various differences in amenities, condition, quality etc. Adjustments are not necessarily "derived or developed" for each individual appraisal report in a vacuum, but are derived and developed over a long period of time of analyzing similar properties in a particular market sub segment repetitively.

Are you sure you would like me to dissect the paragraph?
I suggest you reread the paragraph again....
Read the generalizations...
But I'm willing....

 

[djd09]

You figure it out.

I figured out fannie is full of it.

 

[residentialguy]

Are you sure you would like me to dissect the paragraph?
I suggest you reread the paragraph again....
Read the generalizations...
But I'm willing....

Quite sure. Plz proceed.

 

[djd09]

it would be more like $250-350 per sf.

Maybe million dollar homes in Ohio sell for that range but based on fannies charts and the typical sale price to GLA in ohio , they are doing a straight price to GLA analysis.

 

[djd09]

250 to 350 per square foot in ohio would make a 1,000 sq ft ranch worth 250,000 to 350,000. wrong.

 

[residentialguy]

Maybe million dollar homes in Ohio sell for that range but based on fannies charts and the typical sale price to GLA in ohio , they are doing a straight price to GLA analysis.

My house is about $400k with 1350 sf GLA. That's $296 sf according to your suggested adjustment calculations

Again, they just gave an example. They didn't set a $/sf adjustment for appraisers