Which Form: 1004 Or 1073?

[JAM]

Hi Fellow Appraisers!

I have a question on which form I should use for a property in Florida that has a Classification / DOR Code of a "Single Family Residential / 01" and a property description that shows the legal description with the words "...Land Condo Ph-3..."

I called the local Property Appraiser office to verify what the subject property is zoned and the administrator moaned and told me that it was "one of those land condos" and had to get the county analyst to evaluate for me. I was trying to speed things up and obtain more knowledge if any of you have had a similar situation and / or which form would you put it on. I don't want to be waiting around for the county to get back to me as this report needs to be turned in yesterday!

I am stumped and the subject property looks like a single family residence with a private pool. Comps for a condo ownership are almost nonexistent as there has not been too many like that except a current active listing in the subject's immediate subdivision that is on the market. If the subject property was classified as a SFR, there would be no issues with finding comparables, but now wondering which form (1073 or 1004). I am thinking it is a 1073, but wanted to find someone who has seasoned knowledge dealing with this situation.

Please advise!

Thank you so much!

JAM​

 

[Digger88]

does the legal description include lot or unit in it? that usually does it up in my hood.

 

[JAM]

Hi Digger!

Here is the legal without the project name:

....LAND CONDO PH-3 OR 3095 PG 2394 LOT 5

The property appraiser website also has no frontage or depth for lot lines.
Land Units of measure SF
Units 9877.31
Frontage 0
Depth 0
Total # of Bldgs

 

[JAM]

Also, the local county property appraiser website gives the sketch of the subject property whereas it would not if it was a condo.

Improvement type: 102 - Ranch
Model Type 1 - Single Family Residential

The sketch gives all the dimensions whereas a condo it would not on the website and just give the living area.

This one has the dimensions of the base, garage, porch, screened enclosure, and shows the private pool.

I am almost thinking this goes on a 1004, but the legal descriptions almost calls it on a 1073 except for the lot number (lot 5).

Thoughts?

JAM

 

[Amy Perkins]

Ask for a title report and if it has articles of incorporation for condo... Then do it on a 1073, it is a "cottage" detached condo

 

[DWiley]

Classifications by tax assessors are notoriously unreliable, as are rules of thumb about legal descriptions referring to a lot or unit number. You need the deed and/or the master deed for the development.

 

[JAM]

Hi Amy and DWiley!

Thank you so much! This is also a foreclosure, so I looked it up on the bank repossessing it back from the prior owner through the "Certificate of Title." It's a Condo from what I read in the formal legal description:

"Unit 5, Phase III, the project name, A condominium, according to the declaration of condominium thereof recorded in official records book 2175, page 3201, public records of county, Florida."

Wow. So bizarre that this is a condo. Thank you so much for all of your assistance! Now, I can finish this report by Monday than wait for the county analyst to get back to me.

Have a great night!

JAM

 

[timd354]

Hi Amy and DWiley!

Thank you so much! This is also a foreclosure, so I looked it up on the bank repossessing it back from the prior owner through the "Certificate of Title." It's a Condo from what I read in the formal legal description:

"Unit 5, Phase III, the project name, A condominium, according to the declaration of condominium thereof recorded in official records book 2175, page 3201, public records of county, Florida."

Wow. So bizarre that this is a condo. Thank you so much for all of your assistance! Now, I can finish this report by Monday than wait for the county analyst to get back to me.

Have a great night!

JAM

Land/site condos are very common in some places (especially Michigan) and just because a property appears to be and functions as a single family detached home does not mean that it is not a condo. Regarding land/site condos, if all of the units in the subject's project are detached units (which sounds to be the case from your dercription), then you may use either form 1004 or 1073 to report the results of the appraisal. If you use the 1004, however, you need to include a supplement/addendum with the same project information that is reported on the 1073. In many markets, land/site condos function as and are treated by market participants no different than a typical single family home, but I have no idea if that applies in your market. If that is the only project like that in your area, then you need to do a historical market study comparing the past sale prices of units in that land condo project to other similar nearby, non-condo type homes to see whether or not the market treats those units differently or the same as non-condo properties and if the market discuounts those units, caluculate what the typical discount is.

 

[JAM]

Hi Tim,

I appreciate the advice. I think I will carry on and do this on a 1073. There aren't too many projects like the subject and you are right that I need to do a historical market study analysis. I see what you are suggesting about considering putting it on a 1004 with a supplement / addendum with the same project information as the 1073. However, I do not want the lender / client to tell me to put it on a 1073 after putting it on a 1004. They are particular about this, but understand what you are saying.

Thank you for your assistance!

JAM

 

[Digger88]

Hi Digger!

Here is the legal without the project name:

....LAND CONDO PH-3 OR 3095 PG 2394 LOT 5

The property appraiser website also has no frontage or depth for lot lines.
Land Units of measure SF
Units 9877.31
Frontage 0
Depth 0
Total # of Bldgs

jeez, has condo and lot in the legal description. never seen that before, lol.