Square footage question

[Steer]

It is a detached poolhouse

Razorbacks2,

In your market is it common and typical to combine the GLA? In my area, some cities do measure and include outside areas as GLA, but I was always taught that this space was not "living space."

In my opinion GLA should be the main dwelling only with a seperate contributory value given to the poolhouse since you don't typically live or sleep in it.

Check with other ethical appraisers in the area and you will get a heads up on what your peers are doing.

 

[razorbacks2]

Standards Rule 2-1a - Each written or oral real property appraisal report must clearly and accurately set forth the appraisal in a manner that will not be misleading

Also, if the appraiser did not clearly specify what he/she was trying to do, the scope of work for the appraisal report was not clearly defined.

Looking through my 08 USPAP book, I'm finding several ways USPAP has been violated just by being misleading. I'd write more, but, lucky me, I'm swamped at the moment.

 

[Mary Tiernan]

Hey Walter

Your case can be strengthened by finding your appraisal 101 book and quoting passages from there.

Let me know if you have lost yours - I will then find the passages and relay the author's name on my book and you can try to buy a book to have for the hearing.

 

[Mztk1]

In So CA, a desired feature in new tracts is a 'casita', a small detached room with a bathroom which can serve as a home office, guest house, hobby room, teenager room, or whatever. They are always included in the square footage on the tract brochures and in the county records . . .

That's true here, too, and I should have been more specific. The ultimate determination as to whether it is called "living area" is the market. And we do have those "Casitas" as you call them. They are always counted in living area because the market views them as living area. If you pull comps based on square footage without the area you'll end up having to make a very large adjustment (above living area adjustment) for the "casita" because the houses do not compete with the smaller house market you'd be comparing them to, but the larger houses that would be equal in living area counting the detached area. But they are the exception and if ANSI is ever adopted as law here in Florida or in your neck of the woods, they'll have to be counted differently.

But of course those "casitas" are not pool houses. More like a guest suite in the vein of a hotel. Very popular in the areas where relatives show up from everywhere because you moved near some hot vacation spot.

 

[Otis Key]

In So CA, a desired feature in new tracts is a 'casita', a small detached room with a bathroom which can serve as a home office, guest house, hobby room, teenager room, or whatever. They are always included in the square footage on the tract brochures and in the county records . . .

Ms Burke - that is a "gringo-ized (more specifically a "Listing/Selling Agents'" definition) butchering of the word. I see it here too but it doesn't hold water.

casita

Main Entry:ca·si·ta Pronunciation: \kə-ˈsē-tə\
Function:noun
Etymology:Spanish, diminutive of casaDate:1868 : a small house

http://www.merriam-webster.com/dictionary/casita <<Source

BTW Allison - no offense

 

[PropertyEconomics]

The question is how does the market treat it? In some markets other similar properties are marketed under the total square footage and as such similar comparison would be appropriate with FULL explaination of exactly what it there. In other markets the square footages are separated and similar comparision would be appropriate with FULL explaination.

The real question is how does the market treat the square footage of the two?

That is how they should be treated in an appraisal. An appraisal REFLECTS the market.

 

[Mztk1]

I am currently involved in litigation (bankrupcy) where the appraiser for the other side (an evil bank) did the same thing. I have been looking for a specific USPAP rule against this but I can't find one. Does anyone have any input?

Aside from ANSI Z765-2003 there is no standard way to measure; and there is none that I know of that MUST be followed (aside from a couple of states that have adopted ANSI, but I don't think NJ is one of them).

The text book (12 Edition AI "The Appraisal of Real Estate) I have defers to VA, FHA and Fannie/Freddie Guides for measuring living area. The only consistent thing each of these has is that the area must be above grade and it must follow local customs. But even for the below grade the area can be considered as living area if the market lends inself to such comparisons:

"To ensure consistency in the sales comparison analysis, the appraiser generally should compare above-grade areas to above-grade areas and below-grade areas to below-grade areas. The appraiser may deviate from this approach if the style of the subject property or any of the comparables does not lend itself to such comparisons. However, in such instances, he or she must explain the reason for the deviation and clearly describe the comparisons that were made."

None of the guidelines I've read specifically discuss whether to count the detached area or not, so I'd have to think it is a market to market thing. If the market considers the accessory unit as part of the living area, then it is, if not, it's not. But the instances where it would be counted as living area has got to be rare. In the several years I appraised in NJ I don't think I ever came across an occassion where a detached area was counted as GLA.

 

[David Sawyer]

No, No appraisers never combine gross living area of main residence and pool house/guest house or other detached bldgs. This is only something the realtards do in their listings.

 

[realbiz]

In So CA, a desired feature in new tracts is a 'casita', a small detached room with a bathroom which can serve as a home office, guest house, hobby room, teenager room, or whatever. They are always included in the square footage on the tract brochures and in the county records . . .

I don't think she meant this was aceptable, because it is not. The OP said this is the problem they have come across. Allison is just pointing out that a "casita" is included in the county records here (sometimes), which we know is incorrect. When I see this I just separate the "casita" out of the livable square footage. The problem is when you pull county records and the square footage says 3,500 for example. When you get to the property, it is 2,900 with a 600sf "casita". Now comparables you brought with you in the field are no good, unless you can access your comps in the field (which I do at times).

 

[Marcia Langley]

razor,

In general, most appraisers agree that there must be continuous interior finished and heated access between the two areas in order to count it as GLA. And in most markets this is a fast and hard rule.

Also, in general, what it is marketed as is not an important consideration.

The credibility of the appraisal depends on the similarity of the comps and the proper use of adjustments.

In some markets there are entire neiborhoods with casitas and appraisers there typically count it all as GLA and all of their comps are similarly affected. The reports would be credible.

In a market where such configuations are not common, so that similar comps are not available it would have to be considered an accessory unit and shown on the grid as a separate amenity. One could not credibly compare a combined GLA with a house that was all of a piece.