BUSI 330

RESIDENTIAL

APPRAISAL REPORT

REAL ESTATE DIVISION

ADDRESS OF SUBJECT PROPERTY:

123 FIRST STREET, OAKVILLE, ON

 

PREPARED BY:

 

STUDENT NAME:

 

STUDENT NUMBER:

 

 

 

Grader: ____________________________________

 

Marks: _____________ %

 

Letter Grade: ________

 

 

 

 

LETTER OF TRANSMITTAL INFORMATION

 

September 5, 2016

From:

Joan Milano

Efficient Appraisers Inc.,

128 First Street, Toronto, Ontario.

File Number: 6875

To:

Mr. Brendan & Lena Fanella

129 First Street, Oakville ON

 

Dear Brendan & Lena,

As per your instructions, I have conducted a personal inspection and appraised of the Single Family Residential property located at: 123 First Street, Oakville ON.

 

The aim of this appraisal is limited to estimating the market value of the subject residential property. The property rights which I have appraised are based on the available provisions for the site and its improvements. Based on my assessment, the estimated market value of the subject single family residential property, considered as on September 1, 2016 is $900,000 (Nine Hundred Thousand Dollars).

 

In the attached report, I have detailed the description, analysis and other relevant supportive data for drawing conclusions and final estimated value. Enclosed you will also find the descriptive photographs and limiting conditions concerned with the subject property.

Sincerely,

 

Joan Milano

Efficient Appraisers Inc.

Contents

 

 

LETTER OF TRANSMITTAL INFORMATION.. 2

 

PHOTOGRAPHS OF SUBJECT. 3

Front View of the Subject Property. 3

Rear View of the Subject Property. 3

Street View of the Subject Property. 4

 

SUMMARY OF SALIENT FACTS. 6

 

PART – I: PREFACE.. 7

Definition of the Appraisal Problem.. 7

Assumptions and Limiting Conditions. 9

Regional and Area Analysis (Optional) 9

Neighborhood Analysis and Trends (Optional) 9

Land Description and Analysis (Optional) 10

Description of Improvements (Optional) 11

Description of Improvements: Observed Depreciation. 11

 

PART – II: ANALYSIS & CONCLUSIONS. 12

HIGHEST AND BEST USE ESTIMATE.. 12

DIRECT COMPARISON APPROACH.. 13

DIRECT COMPARISON APPROACH (continued) 14

 

CERTIFICATION BY APPRAISER.. 16

 

LIST OF REFERENCES. 19

 

APPENDIX – 1. 22

DESCRIPTION OF IMPROVEMENTS. 22

APPENDIX – 2. 23

COST APPROACH – LAND VALUE.. 23

 

APPENDIX – 3. 25

 

APPENDIX – 4. 27

 

SUMMARY OF SALIENT FACTS

Type of single family dwelling: Detached Two Storey

 

 

Address of property:            123 FIRST STREET, OAKVILLE ON

 

 

Effective date of the appraisal: 01 September 2016

 

 

Dimensions and area of site: 49.21’ x 114.53’ / 527 Sq Mt

 

 

Dimensions and area of building(s): 3201 Sq ft

 

 

Highest and best use: Residential Use

 

 

Estimate of land value (as if vacant): $480,000

 

 

Estimate of value by Cost Approach: $900,000

 

 

Estimate of value by Direct Comparison Approach: $

 

 

Final estimate of value: $900,000

 

PART – I: PREFACE

 

Definition of the Appraisal Problem

This appraisal has been prepared with the purpose of determining the subject property’s estimated Market Value as on the effective date of appraisal mentioned above. Function of this report is to the award credits for the completion of BUSI 330 course, (Sherratt, 2015).

 

Present registered owner:

JOSEPH BROWMAN

 

Past sales history (5 years):

NIL – The property has been originally owned by Mr. Joseph Browman since it was constructed.

 

Legal description:

PLAN 123 LOT 456

 

Encumbrances:

 

Mortgage information: [x] No mortgage

Mortgage information				[ x ] No mortgage
1st held by				2nd held by
	Principal outstanding	Monthly payments	Are taxes included?	Date due	Interest rate	Amortization period	Conditions
1st	$	$			%
2nd	$	$			%

 

Rights-of-way, other encumbrances

[x] none             [    ] (if any, describe)

 

Definition of Property Rights Appraised

The Fee simple estate, (Erp & Akkermans (ed), 2012) as described by the Appraisal of Real Estate (3^rd Canadian edition) states and I quote “Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, expropriation, police power and escheat.” Unquote.

 

Definition of Market Value

Market value as defined in the Appraisal of Real Estate (3^rd Canadian edition) states that, and I quote “The most probable price, as of a specified date, in cash, or in terms equivalent to cash, or in other precisely revealed terms, for which the specified property rights should sell after reasonable exposure in a competitive market under all conditions requisite to a fair sale, with the buyer and seller each acting prudently, knowledgeably, and for self-interest, and assuming that neither is under undue duress.” Unquote.

 

Effective Date of Appraisal

The effective date of appraisal for all practical purposes will be taken as 1 September, 2016 as this is the date on which this report has been finalized and all the relevant data, quotations and values taken for appraisal purposes are what they were on this date, (Kao, Sung & Chen (ed), 2014).

 

Assumptions and Limiting Conditions

This report about the subject property has been subjected to the following assumptions and limiting conditions.

1. Legal description about the subject property which has been described in this report is what has been shown to be recorded in the Registry or Land Title Office and although this fact has not been directly verified from the Land Title Office it is believed to be correct as it has been corroborated by the present owner, (Sexton & Bogusz, 2013).
2. This appraiser has made every effort to verify all the information which it either received from others or which was sourced from outside sources and to the best of my knowledge the same is believed to be reliable and correct.
3. All drawings, sketches, diagrams and photographs shown in this appraisal report have been included solely for illustration purposes and have been incorporated to facilitate the prospective buyers in gaining a better visualizing of the subject property.
4. As stated in this report, all facts pertaining to distribution of land and the building are applicable only for the purpose of utilization which is as identified in the report, (Burn, Cartwright & Maudsley, 2009).

 

Regional and Area Analysis (Optional)

As the Land Title Office or the Registry has not been approached for the verification of the titles or other documents pertaining to the subject property, it is not possible nor is it advisable, in the absence of authenticated data, to conduct an analysis of the subject property vis-à-vis the region and adjoining areas, (King, 2015).

 

Neighborhood Analysis and Trends (Optional)

In Toronto, Ontario, possibilities of conventional financing are plenty and the rates are attractive for the purchasers. Hence, there is no need for the sellers to negotiate a sale based on financing concessions. This is being referred to by local brokers as a case of seller’s market. This means that it is relatively easy time for buyers but one of the most difficult times for marketing the sale of properties, (Megarry et al, 2012). Hence, although the local market conditions are presently constituted of a healthy relationship between supply and demand, there still is slow movement of the local economy. One of the area’s largest manufacturing unit has announced the closing of its plant which will result in phase-out of more than 1,500 local jobs over a period of two years, (Bevans, 2008). Although the layoffs have begun, it seems too early for estimating the full effect of this situation on the local economy. The bright side is that some new firms have already started moving into this area and also some of the local enterprises are expanding their operations. Still, the situation is not so good that the growing number of new jobs can offset the loss. Hopefully, the marketability of the subject properties may somewhat enhance due to under supply of houses in the subject property’s price range and its prime location in such a promising district, (Hinkel, 2010).

 

Land Description and Analysis (Optional)

Every parcel of land is unique in itself because of its physical attributes and physical location as these make a great impact on its utility and the highest and best use. This does not alter the value or importance of any adjacent properties, which will continue to be considered as unique because of their own attributes, (McFarlane, Hopkins & Nield, 2012). Land finds many uses and these include purposes of agricultural or commerce or residential or recreational use. Moreover, land use is highly affected because of its topography, climate and availability of natural resources. Population increase, industrial scope and social trends of the area determines the Land Use or Zoning carried out by the authorities, (Baum & Baum, 2015). Governments also take into consideration the land’s geography and the availability of natural resources, possibilities of locating industries and potential of expanding markets for marking of Zones or Land Use criteria. Laws connected with Zoning and Land Use reflect the various rights and obligations which are associated with various interests of the buyers in particular parcels of land, (Baum & Baum, 2015).

 

Description of Improvements (Optional)

This option has not been used as there were no visualized improvements found in the subject property.

(Please see Appendix–1 at the end of this report for applicable FORM for this optional section.)

 

Description of Improvements: Observed Depreciation

While making an estimate of the subject property’s value by using the cost approach method, I deducted the depreciation from the total assessed value. It must be explained for your reference that the depreciation which is used while making real estate appraisals is different from what is used for tax calculations, (Baum, 2009). Here, Depreciation refers to the loss in value of the subject property due to all the causes which affect the subject property. Notable factor is that land is usually not depreciated, unless it has been degraded due to erosion or improper use or because of zone change.

 

Also, depreciation is considered as either curable or incurable. Curable Depreciation refers to such losses in the value of the subject property which can be modified at a cost which is less than the value increase of the subject property after it is modified, (Goodhart & Hofmann, 2007). On the other hand, Incurable Depreciation refers to those modifications which can either not be carried out or may cost more than the expected appreciation in the value of the subject property in case they are carried out, (Karadimitrio, Magalhaes & Verhage, 2013).

 

Depreciation is also classified depending on its cause, such as:

• Physical Depreciation(aka physical deterioration)

This is based on the deterioration caused to the subject property’s structure because of normal wear and tear.

• Functional Depreciation (aka functional deterioration)

This is loss to the subject property’s value which is because of those features which have become obsolete with time and may include unfashionable design, outdated plumbing or electrical or heating systems and inadequate insulation, (Myers, 2012).

• External Depreciation(aka external deterioration)

This is a loss to the value of the subject property which results because of changes occurring in the external factors and may include the surrounding environment, properties and zoning which may cause a decrease in the value of the subject property. Externalities such as increase in crime in the area is also a factor considered under this depreciation, (Ashworth & Perera, 2015).

 

Although the use of these different depreciation types may give an indication of the improvements related to the subject property, it does not help in calculating the actual value of the subject property, (Fair & Raymond (ed), 2013). Hence, it is always recommended that adopting the Straight-line Method (aka Economic Age-life Method) calculates the depreciation in a linear way taking into account the lifespan of the structure and decrease in value at a constant rate. The annual amount of depreciation is determined by dividing the different costs of the structures by their assumed lifetime, (Kirkham, 2014).

Long-lived

Age concept                           No. of years   

Chronological age                       05    yrs.

Effective age                               05    yrs.

Economic life                              50    yrs.

Remaining economic life                      40    yrs.

 

 

PART – II: ANALYSIS & CONCLUSIONS

 

HIGHEST AND BEST USE ESTIMATE

Definition

Highest and best use has been defined in the Appraisal of Real Estate (3^rd Canadian edition) as and I quote “the reasonably probable and legal use of vacant land or an improved property that is physically possible, legally permissible, appropriately supported, financially feasible, and that results in the highest value”. Unquote.

Analyzing the Highest and Best Use of the Site, as if Vacant

The area where the subject property is located has been showing a consistent demand among the buyers. Moreover, those who have been living in the area find it progressive, peaceful and environment friendly. Hence, even if the land had been vacant, its value would have escalated because of these factors, (Taylor, 2008).

Adequacy of the Existing Improvements

No adverse easements or encroachments have been noticed in and around the subject property. However, since the title had not been searched for fully qualifying this Statement the data quoted, including the Flood Map Data is considered to be accurate, although authenticity cannot be guaranteed, (Burn, Cartwright & Maudsley, 2009).

 

Conclusion of Highest and Best Use

It is safe to assume that the value of the subject property, as calculated for the purpose of purchase by you, is based on the most appropriate method of calculation used and should be considered as best value for the subject property under the given circumstances, (Smith & Jaggar, 2007).

 

DIRECT COMPARISON APPROACH
Data Comparison Chart
Item	Subject Property	Comparable No. 1	Comparable No. 2	Comparable No. 3
Address	123 First Street, Oakville ON	1181 Milna Drive Oakville ON	2390 Taylorwood Drive, Oakville ON	1412 Craigleigth Road, Oakville ON
Legal description	Plan 123 Lot 456	Plan 1181 Lot 1256	Plan 2390 Lot 2456	Plan 1412 Lot 1456
Sale date	Conditional Offer	22 February 2014	04 May 2013	31 January 2014
Instrument no.
Registration date
Vendor
Purchaser	Brendan & Lena
Sale Price	$900,000	$910,000	$890,000	$905,000
Rights conveyed	Fee Simple	Fee Simple	Fee Simple	Fee Simple
Financing
Conditions of sale
Expenses made immediately after purchase
Time difference (mos.)	0
Distance from subject (blocks)	0	1.5 mile	2.5 mile	2.0 mile
Location
Bldg size	49.21’ x 14.53’	55.15’ x 110.00’	49.21’ x 115.16’	45.96’ x 115.91’
Type/Quality Construction	Detached/Avg	Detached/ Avg	Detached/ Avg	Detached/ Avg
Energy efficiency	Good	Good	Good	Good
Design and appeal	2 Storey / Good	2 Storey / Good	2 Storey / Good	2 Storey / Avg
Age	6A / 5E	Similar	Similar	Similar
Condition	Good	Avg	Good	Avg
Basement	Partial Finished	Finished	Unfinished	Finished
Air conditioning	No	No	Yes	Yes
Heating	Yes	Yes	Yes	Yes
Fireplace	Yes	Yes	Yes	Yes
Appliances	Yes	Yes	Yes	Yes
Lot size
Zoning	Residential	Residential	Residential	Residential
Garage/carport	2 Cars	2 Cars	2 Cars	2 Cars
Local Improvement Charges	NIL	NIL	NIL	NIL
Other comments:

 

DIRECT COMPARISON APPROACH (continued)
Adjustment Chart
Item	Comparable no. 4	Comparable no. 5	Comparable no. 6
Sale price	$910,000	$890,000	$905,000
Real property rights conveyed adjustment
Adjusted price	$910,000	$890,000	$905,000
Financing adjustment
Conditions of sale adjustment
Expenses made immediately after purchase adjustment
Adjusted price	$910,000	$890,000	$905,000
Date of sale adjustment
Adjusted price	$910,000	$890,000	$905,000
Other adjustments as required:
– Location
– Building size		–          $53,865
– Construction
– Energy efficiency
– Design and appeal
– Age
– Condition	– $5,000		– $5,000
– Room count	+ $2,500	+ $5,000	+ $5,000
– Basement unfinished area	– $15,000	+ $10,000	– $10,000
– Basement/finished below grade area
– Air conditioning
– Heating
– Fireplace
– Appliances
– Lot size
– Zoning
– Garage/carport
– Local Improvement Charges
– Landscaping	– $3,000		–          $10,000
–
–
Total Other Adjustments	–          $20,500	–          $38,865	–          $25,000
Final Adjusted Sale Price	$889,500	$851,135	$880,000
For reconciliation purposes:
Total Adjustment
Total adjustment as % of Sale Price	2.30%	4.56%	2.84%

 

DIRECT COMPARISON APPROACH (continued)

 

Adjustment Analysis in Order:  

1. Property Rights

Not applicable

 

2. Financing

Not applicable

 

3. Motivation

Not applicable

 

4. Expenses made immediately after purchase

Not applicable

 

5. Time

Not applicable

 

6. Other

Not applicable

 

DIRECT COMPARISON APPROACH (continued)

Adjustment Analysis (continued)

Other adjustments @ 2% $18,000

DIRECT COMPARISON APPROACH (continued)

Reconciliation

Direct Comparison Approach Conclusion:  $882,000

 

RECONCILIATION OF VALUE

Indicated value by Cost Approach                                                     $ 900,000

Indicated value by Direct Comparison Approach                   $ 882,000

 

The Market Value, as defined, for the subject property as of 1 September, 2016 is estimated to be            $ $900,000.

The exposure time for the subject property has been estimated at 3 months.

CERTIFICATION BY APPRAISER

I, Joan Milano, certify that, to the best of my knowledge and belief:

1. I have developed and submitted this appraisal according to the scope of work required and as stated in this appraisal report.
2. I have performed visual inspection of the exterior and interior of the subject property. I have reported the improvements condition of the subject property in their factual as well as specific terms, (Ostrowski, 2013).
3. I have conducted this appraisal according to the requirements laid under the Uniform Standards of Professional Appraisal Practice which have been adopted by the Appraisal Standards Board and which were in place at the time of preparing this appraisal report.
4. I have developed the opinion of the subject property’s market value by using the sales comparison approach. I gathered adequate market data for developing a reliable sales comparison approach for use in the appraisal document, (Ostrowski, 2013).
5. I also certify that although it is suggested to use the cost and income approaches for arriving at the market value of the subject property, I did not develop these, as these were not appropriate to the available data regarding the subject property.
6. I have suggested, after research, verification and analysis, the current agreement for purchase of the subject property. I have also taking into consideration the purchase offers of the subject property pertaining to the last twelve months, (Boussabaine, 2013).
7. I have reported, after research, verification and analysis of the prior sales of the comparable sales figures for a one year period prior to the date of this report.
8. I have selected those comparable sale amounts which I found to be location-wise, physically and functionally to be similar to the subject property, (Myers, 2004).
9. I have not taken into account those comparable sale amounts which were the combination of a land sale and contract purchase price of the house.
10. I have reported information in this report which was gathered from parties who hold a financial interest in sale or financing of properties, (Myers, 2004).
11. I have enough knowledge and 12 years of experience in appraising properties of this type in this area, (Robinson et al, 2015).
12. I have access to the appropriate and necessary private as well as public data sources, including the public land records, tax assessment records, and multiple listing services for the area where the subject property is located.
13. I believe that the information, estimates, and opinions obtained by me are true and correct, (Ashworth, 2013).
14. I have taken into consideration those factors which could have an impact on subject property’s value with respect to its neighborhood and its proximity to adverse influence in the preparation my opinion about the market value.
15. I have not withheld any information, knowingly or unknowingly, from presentation in this appraisal report, (Robinson et al, 2015).
16. I have also given in this appraisal report, my own unbiased personal opinions, as well as professional analysis and based my assumptions and conclusions on the limiting conditions stated in this appraisal report.
17. I do not have any present or prospective, direct or indirect, interest in the subject property, nor do I have any present or prospective personal interest or bias with the participants in this transaction. I have not based, partially or completely, either my opinion or analysis of the market value assessed in this appraisal report on any basis which is prohibited by law, (Cartlidge, 2012).
18. My employment for conducting this appraisal was not conditioned on an agreement that I would report or present a supporting analysis for a predetermined specific value or to attain a specific result, (Towey, 2013).
19. I have personally prepared the opinions and conclusions about the subject property and states in this appraisal report. If I relied on any significant information or opinion obtained from an outsider, I certify that such an outsider was qualified to offer such opinion or information, (Blocher et al, 2006).
20. I have not authorized any third person to make changes to any items stated in this appraisal report. Hence, any such changes to this appraisal report shall be considered as unauthorized and I will not take responsibility for them.
21. The client in this appraisal report, who is an individual, and who ordered for and will receive this appraisal report has been identified by me in the transmittal communication, (Lavender, 2014).
22. The client has the right to disclose or distribute this appraisal report to other borrower, lender, the mortgagee or its successors and assigns, mortgage insurers, government sponsored agencies or other secondary market participants. Such a consent should be obtained from the owner of this appraisal report, before disclosing or distributing this report by any other party, including the public through advertising, news, sales or any other media, (Lester, 2013).
23. I am also aware that any disclosure or distribution of this appraisal report by me or the client are subjected to certain laws and regulations. Further, I am also bound by the provisions of the Uniform Standards of Professional Appraisal Practice that pertain to disclosure or distribution of this report by me without proper authorization, (Pratt, 2010).
24. The borrower, any other lender, the mortgagee or its successors and assigns, mortgage insurers, government sponsored agencies and other secondary market participants can rely on this appraisal report if it becomes part of an mortgage finance transaction which involves any one or more of the parties mentioned above, (King, 2015).
25. In case this appraisal report is transmitted electronically and contains my “electronic signature,” or is used through a facsimile transmission containing a copy or representation of my signature, such a copy of the appraisal report will be considered as effective, enforceable and valid as if it is a paper version of this appraisal report containing my original hand written signature.
26. Any intentional or negligent misrepresentation found in this appraisal report can result in a civil liability and/or a criminal penalty including fine or imprisonment or both, as stated in the provisions of the federal or similar state laws.

 

________________________                                                    __________________

Signature of Student                                                                                  Date Signed

LIST OF REFERENCES

Ashworth, A. (2013) Contractual Procedures in the Construction Industry. Oxon: Routledge.

 

Ashworth, A. and Perera, S. (2015) Cost Studies of Buildings (6^th ed.). Oxon: Routledge.

 

Baum, A. (2009) Commercial Real Estate Investment. London: Taylor & Francis.

 

Baum, A. and Baum, Prof A. 2015 Real Estate Investment: A Strategic Approach (3^rd ed.). Oxon: Routledge.

 

Bevans, Neal R. (2008) Real Estate and Property Law for Paralegals. London: Aspen Publishers Online.

 

Boussabaine, A. (2013) Cost Planning of PFI and PPP Building Projects. Oxon: Routledge.

 

Burn, Edward Hector, Cartwright, John and Maudsley, Ronald Harling. 2009 Maudsley and Burn’s Land Law. Oxford: Oxford University Press.

 

Cartlidge, D. (2012) Quantity Surveyor’s Pocket Book (2^nd ed.). Oxon: Routledge.

 

Erp, Sjef van and Akkermans, Bram (ed). (2012) Cases, Materials and Text on Property Law. London: Bloomsbury Publishing.

 

Fair, D.E. and Raymond, R.J. (ed). (2013) The Competitiveness of Financial Institutions and Centres in Europe. Dordrecht: Springer Science & Business Media.

 

Goodhart, C. and Hofmann, B. (2007) House Prices and the Macroeconomy: Implications for Banking and Price Stability. Oxford: OUP Oxford.

 

Hinkel, Daniel F. (2010) Practical Real Estate Law (6^th ed.). Boca Raton, FL: Cengage Learning.

 

Kao, J.C.M., Sung, W. and Chen, R. (ed). (2014) Green Building, Materials and Civil Engineering. London: CRC Press.

 

Karadimitrio, N., Magalhaes, C. and Verhage, R. (2013) Planning, Risk, and Property Development: Urban Regeneration in the England, France, and the Netherlands. Oxon: Routledge.

 

King, Sarah. (2015) Beginning Land Law. Oxon: Routledge.

 

Kirkham, R. (2014) Ferry and Brandon’s Cost Planning of Buildings (9^th ed.). West Sussex: John Wiley & Sons.

 

Lavender, S. (2014) Management for the Construction Industry. Oxon: Routledge.

 

Lester, A. (2013) Project Management, Planning and Control (6^th ed.). Oxon: Butterworth-Heinemann.

 

McFarlane, Ben, Hopkins, Nicholas and Nield, Sarah. (2012) Land Law: Text, Cases, and Materials. Oxford: Oxford University Press.

 

Megarry, Robert, Wade, William, Harpum, Charles, Bridge, Stuart and Dixon, Martin J. (2012) The Law of Real Property (8th ed.). New York: Sweet & Maxwell.

 

Myers, D. (2004) Construction Economics: A New Approach. New York: Taylor & Francis.

 

Myers, D. (2012) Economics and Property. London: Taylor & Francis.

 

Ostrowski, S.D.C. (2013) Estimating and Cost Planning Using the New Rules of Measurement. West Sussex: John Wiley & Sons.

 

Pratt, D. (2010) Fundamentals of Construction Estimating (3^rd ed.). New York: Cengage Learning.

 

Robinson, H., Symonds, B., Gilbertson, B. and Ilozor, B. (2015) Design Economics for the Built Environment: Impact of Sustainability on Project Evaluation. West Sussex: John Wiley & Sons.

 

Sexton, Roger and Bogusz, Barbara. 2013 Complete Land Law: Text, Cases, and Materials Oxford: Oxford University Press.

 

Sherratt, F. (2015) Introduction to Construction Management. Oxon: Routledge.

 

Smith, J. and Jaggar, D. (2007) Building Cost Planning for the Design Team (2^nd ed.). Oxon: Routledge.

 

Taylor, J. (2008) Project Scheduling and Cost Control: Planning, Monitoring and Controlling the Baseline. Florida: J. Ross Publishing.

 

Towey, D. (2013) Cost Management of Construction Projects. West Sussex: John Wiley & Sons.

APPENDIX – 1

DESCRIPTION OF IMPROVEMENTS

DESCRIPTION OF BUILDING

Dimensions

Area

Type/style

Year Built

Foundation

[   ] Poured concrete

[   ] Concrete blocks

[   ] Concrete posts

[   ] Wood posts

Framing

[   ] Wood

[   ] Concrete

[   ] Steel

[   ]

Basement

[   ] Full

[   ] Partial

[   ] None

[   ] Slab

[   ] Crawl space

Basement Finish

Exterior Walls

Brick veneer

Clapboard

Stucco

Siding:

Vinyl

(percentage)

Wood

Stone veneer

Aluminum

Solid masonry

Aluminum

Roof

[   ] Asphalt shingles

[   ] Wood shingles or shake

[   ] Slate

[   ] Clay/tile

[   ] Built-up tar & gravel

[   ] Gutters & down spouts

[   ]

Interior Walls

[   ] Dry wall

[   ] Plaster

[   ] Paneling:

type

Floor Coverings

Above ground

Carpet

Tile

Ceramic

Hardwood

Linoleum

(percentage)

Basement

Carpet

Tile

Linoleum

Other

Fireplaces

Number:

Location:

Type:

Kitchen

[   ] Built-in dishwasher

[   ] Garburator

[   ] Built-in range and oven

[   ] Exhaust fan

[   ] Vent hood

Cabinets – type and material:

Quality

Counter material:

Other features

Fixtures:

Quality

Electricity

No. of amps:

[   ] Circuit breakers

[   ] Fuses

Plumbing

Pipes

[   ] Copper

[   ] Galvanized

[   ] Mixed

Hot water tank

[   ] Electricity

[   ] Gas

[   ] Oil

Capacity:

Connections

[   ] Washer

[   ] Dishwasher

[   ]

Drainage

[   ] Plastic

[   ] Galvanized

[   ]

Heating

[   ] Forced air

[   ] Hot Water

[   ] Steam

[   ]

[   ] Oil fired

[   ] Gas fired

[   ] Electric

[   ] Humidifier

Air Conditioning

[   ] Yes

[   ] No

[   ] Central

Swimming pool

[   ] Yes

Type:

Garage

[   ] Single

[   ] Double

[   ] Attached

[   ] Detached

[   ] None

[   ] Carport

[   ] Electricity

[   ] Heated

[   ] Interior finish

Type of construction:

Flooring:

Dimensions:

Area:

Porch

[   ] Open

[   ] Screened

[   ] Enclosed

Size:

[   ] None

Patio/Deck

[   ] Concrete

[   ] Wood

[   ]

Size:

[   ] None

Rental Equip.

[ ] Water softener

[   ] Hot water tank

[   ] Furnace

[   ]

[   ] None

APPENDIX – 2 COST APPROACH – LAND VALUE

Data Comparison Chart

Item

Subject

Comparable no. 1

Comparable no. 2

Comparable no. 3

Address

Legal description

Sale date

Instrument no.

Registration date

Vendor

Purchaser

Sale price

Right conveyed

Fee simple

Financing

Conditions of sale

Expenses made immediately after purchase

Time difference (mos)

0

Zoning

Location

Frontage/depth

Lot area

Topography

Utilities

Interior/corner lot

Local Improvement Charges

Easements/Rights of Way

Other comments

COST APPROACH – LAND VALUE (continued)

Adjustment Chart

Item

Comparable no. 1

Comparable no. 2

Comparable no. 3

Sale price

Real property rights conveyed adjustment

Adjusted price

Financing adjustment

Conditions of sale adjustment

Expenses made immediately after purchase adjustment

Adjusted price

Date of sale adjustment

Adjusted price

Other adjustments as required:

– Zoning

– Location

– Frontage/depth

– Lot area

– Topography

– Utilities

– Interior/corner lot

– Local Improvement Charges

– Easements/Rights of Way

Total Other Adjustments

Final Adjusted Sale Price

Adjusted unit sale price / frontage OR

Adjusted unit sale price / area

For reconciliation purposes:

Total Adjustment

Total adjustment as % of Sale Price

 

 

 

 

COST APPROACH – LAND VALUE (continued)

 

Adjustment Analysis in Order:  

1. Property Rights
2. Financing
3. Motivation
4. Expenses made immediately after purchase
5. Time
6. Other

COST APPROACH – LAND VALUE (continued)

APPENDIX – 3

APPENDIX – 4

Site Description