Site Condo

[Have Laser-Will Travel]

I am appraising a fully detached dwelling with exclusive airspace rights over the ground. The land ownership is condominium but the airspace rights over the land serve essentially as a site. The AMC is saying that it is not a site condo and should go on a 1073. To be a site condo, I am being told, it must have its own lot and be a condo in title only. I do believe there are titles that are as they describe but, my point is, if it competes in the SFR market, wouldn't it make more sense to put it on a 1004? Isn't this the whole reason HUD had moved to use the 1004 for site condos? Now I am learning HUD has backed off of this move. Can someone tell me what constitutes a site condo or cite a source?

 

[Elliott]

If the AMC says it goes on a 1073, it goes on a 1073. Don't worry, they'll tell you to put it on a 1004 in two weeks and you'll get to charge them again.

 

[Michigan CG]

Site Condominiums
Single-family site condominium subdivisions are physically identical to platted subdivisions. The only real difference is that the sites are divided and recorded by condominium documents rather than a plat. Lot sizes are governed by the same local zoning restrictions that would apply to traditional subdivisions. The distinction between platted and site condominiums only involves state laws used to divide and convey the land itself; it has nothing to do with the homes or the quality of the sites.. The road must be built to local road standards. Developers choose the site condominium method of land division because it removes many of the delays involved with state, county and local department agencies under the traditional platting process. Just like traditional platted subdivisions, the homeowner is responsible for the maintenance of their yard and improvements subject to the master deed. They are responsible for their property as well as their share of the community assets. This is identical to traditional subdivisions with homeowner's associations.

 

[eld2310]

I would say that a site condo is just that - the "unit" is the lot and any improvements built thereon. In a regular condo the unit is the improvement and the lot/land is common area. What does your Survey, Map and Plans and/or Condominium Declaration say constitutes a unit for this development?

Either way, the comps have to be condominiums.

.

 

[Michigan CG]

Either way, the comps have to be condominiums.

No they don't. If it is a site condo similar to the ones we have here no one knows the difference.

Condominium is a form of ownership, not a building style. Around here a typical buyer would consider a site condo just as much as they would consider platted subdivision.

 

[sputnam]

This is the appraisal business. It doesn't have to make sense, it just has to comply.

 

[sunster]

To be a site condo, I am being told, it must have its own lot and be a condo in title only.

Yup. Site condos are somewhat common out here in my market, and that is basically how they are determined.

Now as far as what form to put it on, it depends on the client. In order to avoid PITA retypes, you should always clarify it with them beforehand. I just did one last week and the client instructed me to use the condo form. But I'd estimate about 30-40% of the time the SFR form is requested instead.

 

[3 Putt]

as what form to put it on, it depends on the client. In order to avoid PITA retypes, you should always clarify it with them beforehand. I just did one last week and the client instructed me to use the condo form.

Nothing in USPAP dictates what form you have to use.

Just write it on a cocktail napkin from your corner bar and be done with it!