Site condo vs Single Family

[TripFee]

Subject is a site condo and there only 3 sales (all inferior) that are site condos within 1 mile of subject. In this area there is no market reaction between a site condo and a single family home, in fact most people who own a site condo don't even realize that it's legally a condo. I would find it more appropriate to use a single family comparable within a mile to bracket subject's superior updates and amenities than to find a site condo 3 miles away. This is on a 1004 currently. Am I wrong about this?

 

[Dublin ohio]

I would find it more appropriate to use a single family comparable within a mile to bracket subject's superior updates and amenities than to find a site condo 3 miles away.

Do both? If I had to use an SFR. I would try to take it from a pud with similar amenities and hoa fee

in fact most people who own a site condo don't even realize that it's legally a condo

Maybe not legal knowledge. But what about hoa fee. I would think that would cause a few questions.

 

[TripFee]

Do both? If I had to use an SFR. I would try to take it from a pud with similar amenities and hoa fee

Absolutely

Maybe not legal knowledge. But what about hoa fee. I would think that would cause a few questions.

This area is mostly puds with similar hoa fees and amenities compared to subject.

 

[Dublin ohio]

Absolutely

This area is mostly puds with similar hoa fees and amenities compared to subject.

Sounds like you have the situation well in hand.

 

[ZZGAMAZZ]

Subject is a site condo and there only 3 sales (all inferior) that are site condos within 1 mile of subject. In this area there is no market reaction between a site condo and a single family home, in fact most people who own a site condo don't even realize that it's legally a condo. I would find it more appropriate to use a single family comparable within a mile to bracket subject's superior updates and amenities than to find a site condo 3 miles away. This is on a 1004 currently. Am I wrong about this?

My current assignment is 95% similar. Only site condo development within miles, in incorporated Chino, CA, with only 1 similar sale within 2 years, so I will use that sale, a few traditional condo sales, and a few PUDs, although I'm uncomfortable about the credibility of the results, although it will be based upon the best data available. I actually thought about declining the assignment although the effort/time required to get to the point when I became aware of that possibility more-or-less precludes that alternative, and nobody else would be able to do any better. Thanks for your post. The AF prepares peeps for anything one might encounter!

 

[ZZGAMAZZ]

My current assignment is 95% similar. Only site condo development within miles, in incorporated Chino, CA, with only 1 similar sale within 2 years, so I will use that sale, a few traditional condo sales, and a few PUDs, although I'm uncomfortable about the credibility of the results, although it will be based upon the best data available. I actually thought about declining the assignment although the effort/time required to get to the point when I became aware of that possibility more-or-less precludes that alternative, and nobody else would be able to do any better. Thanks for your post. The AF prepares peeps for anything one might encounter!

Well, I've got the value trimmed down to a range, of $440K - $490K, with gross adjustments of 30%+,relative to the contract price of $570. Can't wait for the ROV on this one, although the section of the report entitled "Opinion of Value Relative to the Contract Price" sure AF will note that the listing agent chose not to accept my offer to provide potential comparbles that support the list price and/or the contract price.

Caveat: "AF" means "Appraisers Forum" and not the www.urbandictonary.com definition.

 

[ZZGAMAZZ]

Now that I'm dealing with the minutiae of the site-condo, in a relatively small development comprised of about 100 units, built in 2017, I'm really curious about why the builder built these unicorns--presumably because of the potential profit margin, but if so, why wouldn't more of them be built, in a 5- of 10-square-mile neighborhood in which virtually every foot of bare land has been developed during the past 10 years {incorporated Chino near Eastvale and south Ontario for those familar with the local insane residential growth based presumably upon the availability of the vacant land with ready access to 3 major highways, and less than an hour drive to superior labor markets throughout Orange County and Los Angeles County. Almost like whole new cities are being built daily in what were cow pastures less than two decades ago.

Like I know forsure that the AF will advise me to take it in stride and get on with my life, but I'm somewhat hung up on the HBU when I don't know whether an "as vacant" analysis would support site-condos rather than more traditional attached condos. I'm sure that nobody in the world cares but it is an interesting issue.

 

[Alsie35]

Had a detached CONDO unit on a 4000sf lot yesterday. (Yes, these crazy things DO exist here and there). Very low monthly fees for obvious reasons having to do with the design. 2 of my 4 comps were SFRs from the surrounding area due to lack of sales in this small condo complex.

This condo unit functions as, and has the same market appeal as, similar SFRs (says my 20-year experience of analyzing this market area). An extreme case to be sure, but if the data supports it, and its your best option, sometimes SFRs are the way to go.

 

[ZZGAMAZZ]

Had a detached CONDO unit on a 4000sf lot yesterday. (Yes, these crazy things DO exist here and there). Very low monthly fees for obvious reasons having to do with the design. 2 of my 4 comps were SFRs from the surrounding area due to lack of sales in this small condo complex.

This condo unit functions as, and has the same market appeal as, similar SFRs (says my 20-year experience of analyzing this market area). An extreme case to be sure, but if the data supports it, and its your best option, sometimes SFRs are the way to go.

Thanks as always. Just curious: Should the appraiser literally cite his or her "familarity with the local market and the subject's design" in the absence of sufficient quantitative data? Whenever I'm tempted to apply that phrase I always wonder whether I might be challenged to prove that the statement is accurate.

 

[Alsie35]

Thanks as always. Just curious: Should the appraiser literally cite his or her "familarity with the local market and the subject's design" in the absence of sufficient quantitative data? Whenever I'm tempted to apply that phrase I always wonder whether I might be challenged to prove that the statement is accurate.

I believe that statements referring to an appraiser's experience in the market area have been "Verbotten" for quite some time now. I only used it in my reply for obvious descriptive reasons - I never use such a statement in a report.

I just refer to quantifiable market data analysis and append any graphs that help to illustrate it if necessary. (Good catch. )