Bedroom or not a bedroom in an appraisal

As a real estate appraiser, I can tell you that there are several factors that must be considered when determining whether a room can be classified as a "bedroom" for appraisal purposes.

First and foremost, a bedroom must have a window that provides adequate light and ventilation. This is typically a requirement set by local building codes. The window must also be of a certain size, typically at least 24 inches wide and 20 inches tall.

Secondly, a bedroom must have a closet. The closet should be of a certain size, usually at least 24 inches deep and 48 inches wide, and it must have a door.

Thirdly, a bedroom should have a door that provides direct access to the rest of the living space, such as the hallway or the main living area. It should also be able to be closed for privacy.

Lastly, a bedroom should have enough space to comfortably fit a bed and some other basic furniture, such as a dresser or a nightstand.

It's important to note that these are general guidelines, and local building codes and zoning laws may have additional requirements or restrictions. Additionally, some appraisers may have slightly different criteria or interpretations of what constitutes a bedroom.

Overall, when determining whether a room can be considered a bedroom for appraisal purposes, an appraiser will consider factors such as the size, layout, and features of the room, as well as any local regulations that may apply.

 

Debunking the Real Estate Appraisal Myth: Homeowners Can Influence the Value of Their Homes

As a real estate appraiser, I have come across homeowners who believe that they can directly influence the value of their homes. Unfortunately, this is a common myth that needs to be addressed. While homeowners can certainly take steps to improve the condition and appearance of their homes, they cannot directly control the market value.

The market value of a home is determined by a number of factors, such as its location, size, age, and the current state of the real estate market. These factors are largely outside of the homeowner's control, and they are the primary drivers of a home's value.

While homeowners may believe that certain improvements or renovations will increase the value of their home, this is not always the case. For example, adding a pool or an expensive upgrade to the kitchen may make the home more attractive to potential buyers, but it does not necessarily guarantee a higher market value.

As a real estate appraiser, my job is to provide an objective and unbiased opinion of a home's value based on a thorough analysis of the market and the property itself. I take into account all of the relevant factors that influence a home's value, including the condition and appearance of the property.

One common misconception that homeowners have is that their emotional attachment to their home will directly impact its value. However, emotional value does not have a significant impact on the market value of a home. While homeowners may have an emotional connection to their property, this does not necessarily translate into a higher market value.

In conclusion, homeowners cannot directly control the market value of their homes. While they can certainly take steps to improve the condition and appearance of their property, these improvements may not necessarily translate into a higher market value. As a real estate appraiser, my job is to provide an objective and unbiased opinion of a home's value based on a thorough analysis of the market and the property itself. Homeowners should be aware of this fact and not fall prey to the myth that they can directly influence the value of their homes.

 

Why Your Home Appraisal May Have Come in Low: Understanding the Appraisal Process

As a real estate appraiser, I understand that homeowners may be surprised or disappointed when they receive a low appraisal. However, it's important to note that appraisals do not always come in low. In fact, many appraisals accurately reflect the fair market value of the property.

That being said, it is possible for the contract price to be higher than the fair market value of the property. This can happen when buyers and sellers negotiate a price without taking into account all of the relevant factors that an appraiser would consider, such as recent sales of similar properties in the area, the condition of the property, and any unique features or amenities.

For example, let's say that a buyer and seller agree on a price for a home that is significantly higher than the recent sales of similar properties in the area. If an appraiser is then brought in to determine the fair market value of the property, they may find that the agreed-upon price is not supported by the market data and the condition of the property.

In cases like this, the appraiser is simply doing their job by providing an unbiased and objective opinion of the property's value. It's important to remember that appraisals are not meant to be good news or bad news for either the buyer or seller, but rather an accurate reflection of the property's fair market value.

If you do receive a low appraisal, it's important to take a step back and objectively evaluate whether the contract price is truly reflective of the property's fair market value. If it is not, you may need to renegotiate the price with the buyer or consider other options.

In conclusion, while it's true that appraisals can come in low, it's important to understand that they are not always the cause of a discrepancy between the contract price and the fair market value of the property. By understanding the appraisal process and working with a knowledgeable real estate agent, you can help ensure that you receive an accurate and fair valuation of your property.

 

Why Contract Price Isn't Always the Same as Market Value: Insights from a Real Estate Appraiser

As a real estate appraiser, one of the most common questions I receive from homeowners is why the contract price of their property isn't always the same as its market value. This can be a confusing and frustrating concept to understand, but it's important to recognize that there are a variety of factors that can impact a property's market value.

First and foremost, it's important to understand that market value is determined by a number of different variables, including the location of the property, the current state of the real estate market, and the condition of the property itself. While the contract price is one factor that can influence market value, it's not the only one.

For example, let's say that a homeowner wants to sell their property for $500,000. However, an appraiser may determine that the market value of the property is actually closer to $450,000. This could be due to a variety of factors, such as the property being located in an area with declining home values, or the property being in need of significant repairs or upgrades.

In other cases, the contract price may actually be higher than the market value of a property. This can occur when a buyer is willing to pay more for a property than it is actually worth due to factors such as emotional attachment, the desire to outbid competitors, or simply a lack of knowledge about the true market value of the property.

Ultimately, it's important for homeowners to understand that market value is a complex and multifaceted concept that is influenced by a wide range of factors. While the contract price is one factor that can impact market value, it's not the only one, and homeowners should work with a qualified real estate appraiser to ensure that they have a realistic understanding of their property's true market value.

If you're a homeowner who is considering selling your property, I highly recommend that you consult with a qualified real estate appraiser to get an accurate assessment of your property's market value. This can help you set a realistic listing price, negotiate with buyers, and ultimately sell your property for a fair and reasonable price.

 

Understanding the Differences Between Doublewide Manufactured Homes and Stick-Built Homes in Kentucky: Valuation and Taxation

 As a real estate appraiser in Kentucky, one of the most common questions I get is about the differences between a doublewide manufactured home and a stick-built home. It's a great question because the two types of homes are very different, and they are valued differently as well.

First, let's talk about what a doublewide manufactured home is. Doublewide homes are built in a factory and transported to the site where they will be placed. They are constructed in two sections that are then joined together on site to create a home that is twice as wide as a traditional single-wide manufactured home. These homes are built on a steel frame and are designed to be mobile, although they can also be permanently installed on a foundation.

On the other hand, stick-built homes are constructed on site, typically using wood framing and other materials that are assembled piece by piece. These homes are often considered to be more traditional in style and are typically built to be permanent structures.

So, why does it matter whether a home is a doublewide manufactured home or a stick-built home? Well, for starters, there are some key differences in the construction materials and techniques used in each type of home. Doublewide homes are often built with less expensive materials than stick-built homes, and they may not be as well insulated or as sturdy as a stick-built home. Additionally, doublewide homes are designed to be mobile, which means that they may not be as secure or as stable as a stick-built home.

All of these factors can impact the value of a home. In general, doublewide homes are valued differently than stick-built homes in Kentucky. While there is no hard and fast rule for how much less a doublewide home will be worth than a stick-built home, it is generally accepted that doublewide homes will be valued at a lower price per square foot than stick-built homes.

That being said, there are many factors that can impact the value of a home, regardless of whether it is a doublewide manufactured home or a stick-built home. Factors like location, condition, age, and upgrades can all impact the value of a home, so it's important to work with a qualified appraiser who can provide an accurate valuation of any property you are interested in buying or selling.

In conclusion, doublewide manufactured homes are different from stick-built homes in several ways, including the construction materials and techniques used, as well as their mobility. As a result, they are typically valued differently in Kentucky. However, there are many factors that can impact the value of a home, so it's important to work with a qualified appraiser to get an accurate valuation of any property you are interested in buying or selling.

 

What is a real estate appraisal

A real estate appraisal is a process of determining the value of a property, usually for the purpose of buying, selling, or refinancing. The appraisal is conducted by a licensed appraiser who assesses the property based on various factors such as location, size, condition, amenities, and recent sales of similar properties in the area. Here's a step-by-step guide to understanding how a real estate appraisal works.

Step 1: Inspection

The first step in the appraisal process is an inspection of the property. The appraiser will visit the property and take note of its size, features, and condition. During the inspection, the appraiser will also take photographs of the property, both inside and out.

Step 2: Research

The appraiser will then conduct research on the local real estate market to find comparable properties that have recently sold in the area. The appraiser will look for properties that are similar in size, condition, and location to the property being appraised. The appraiser will also take note of any unique features of the property, such as a swimming pool or extensive landscaping, that may affect its value.

Step 3: Analysis

Using the data collected during the inspection and research phases, the appraiser will analyze the property's value by considering factors such as location, size, condition, and recent sales of comparable properties. The appraiser will also take into consideration any improvements or renovations that have been made to the property since the last sale.

Step 4: Report

Finally, the appraiser will compile a report that includes a detailed analysis of the property's value. The report will include information on the property's location, size, condition, and unique features, as well as a comparison of recent sales of comparable properties in the area. The report will also include the appraiser's final assessment of the property's value.

In conclusion, a real estate appraisal is an essential process in determining the value of a property. By following a systematic approach that includes inspection, research, analysis, and reporting, the appraiser can provide an accurate assessment of the property's value. This information is invaluable to buyers, sellers, and lenders who rely on appraisals to make informed decisions about real estate transactions.

 

Why Finished Basements Are Not Considered Living SF: Understanding ANSI Standards in Real Estate Appraisal

 As a real estate appraiser, I have often encountered homeowners who are surprised to learn that finished basements are not included in the total living area of their home. While it may seem unfair to exclude this valuable space from the calculation of the home's value, there are several reasons why this is the industry standard.

One of the reasons is that building codes play a significant role in determining what can be considered living area. Building codes establish minimum requirements for structural integrity, fire safety, and other essential features that are necessary for a space to be considered livable. Finished basements may not always meet these requirements, particularly if they were not originally designed as living spaces. They may lack proper egress windows, smoke alarms, or other safety features required by building codes.

Additionally, the American National Standards Institute (ANSI) defines living area as the "finished, above-grade residential area that is heated and cooled for year-round occupancy." Finished basements, by definition, are below-grade spaces and therefore do not meet the ANSI standards for above-grade living area. Finished basements may also lack the necessary amenities, such as proper ventilation, lighting, and ceiling height, to be considered livable spaces.

Moreover, finished basements are not considered part of the above-grade living area of a home. Above-grade living areas are typically more valuable than below-grade spaces, as they offer better natural light, views, and a more comfortable living environment. A home with a larger above-grade living area is generally more desirable to homebuyers and can command a higher price than a home with the same total square footage but with a larger finished basement and smaller above-grade living area.

It is also worth noting that including the finished basement in the total living area of a home can be misleading. Buyers may assume that the finished basement is a fully livable space when it may not be up to code or lack necessary amenities. This can lead to unrealistic expectations and potentially lower offers on the property.

In conclusion, there are several reasons why finished basements are not included in the calculation of living area square footage. These reasons include building codes, ANSI standards for above-grade living area, the potential issues with livability, and the fact that above-grade living area is generally more valuable than below-grade space. As a real estate appraiser, my goal is to provide an accurate and fair appraisal that reflects the true value of the property, and excluding finished basements from the living area calculation helps me to achieve that goal.