How to Identify a Residential Complex Property
By: McKissock December 16, 2022
Excerpts: The property to be appraised is atypical
In this case, the property is an outlier, oddball, or not common for the particular area. Of all the characteristics that can make a property complex, physical features are the ones that are most obvious. Some of the key physical features that can make an appraisal assignment complex include:
The form of ownership is atypical
In this case, circumstances involving ownership are uncommon or make the appraisal more complex. For example: The owner doesn’t own property rights on a waterfront property.
The market conditions are atypical
In this case, unique market conditions increase the complexity of the appraisal. For example:
The property is located in an area where there are no other sales.
There is no market for the house; no sales are occurring for some reason (e.g., the property is near a nuclear site cleanup).
Note: the link to the complementary post, “How to Pull Comps on a Complex Property,” is included in this blog post.
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My comments: Worth reading with good tips. I published “Tips for dealing with complex residential appraisals” in the November issue, much longer with many more tips and examples.
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