Cleveland Appraisal Blog

JUNE 18, 2022

I normally don’t post more than one article per week. This week I have a bonus article for my appraisal colleagues who are interested in becoming expert appraisal witnesses in eminent domain cases. This article was written by Leslie Fields, the Executive Director, Owner’s Counsel of America.

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Cleveland Appraisal Blog

JULY 22, 2021

My family and I are in the midst of a first floor renovation, whilst caring for my wife as she continues to recover from her broken ankle, as I mentioned in my last post. So, I am grateful to have guest blogger, Seth Murphy, who wrote this article for the Cleveland Appraisal Blog. I hope that you find his article beneficial.

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Cleveland Appraisal Blog

JUNE 17, 2022

When developing an opinion of the market value of a property, what appraisers are really measuring is how much depreciation a property has suffered from, and more specifically how much depreciation the improvements on the land have depreciated. Hopefully, you found this article to be interesting. Depreciation!

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Cleveland Appraisal Blog

JUNE 25, 2021

What is the primary reason a newly built home has a higher market value than the same home that is older? Simply stated, it is loss in value. Physical depreciation is the most common cause of loss of value. Even if they are completely renovated, they are still not considered to be new. In a word, depreciation.

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Cleveland Appraisal Blog

FEBRUARY 11, 2022

The appraiser agrees to come in “low” They achieve this by using sales that do not reflect the market value of the property. Does the market value of a home change differ depending on whether the owners are going through a divorce or refinancing their home? The market value is what it is.

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McKissock

JANUARY 31, 2023

” “The definition of market value.” ” “How value is derived.” ” “Why the price per square foot is not an indicator of value.” ” “That cost does not equal value on homes, and picking comparable sales just to hit contract prices is unethical.

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AmeriMac

MAY 24, 2023

By the end of this article, you’ll have a better understanding of this crucial aspect of commercial property ownership. Certified appraisers use different methods to determine the value of a commercial property, such as the cost approach, income approach, and sales comparison approach. What is a commercial real estate appraisal?

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McKissock

OCTOBER 12, 2021

For many different reasons, properties can come on the market in less-than-par condition. At some point it’s no longer “normal market value minus cost to cure equals as-is value.” So is the right price to pay $150,000 (market value after renovations) – $90,000 (estimated cost to cure) = $60,000?

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Appraisal Today

APRIL 26, 2024

However, there are six other types of real estate transactions that you need to know about so you can specify these sale types in your appraisal report as they can affect the market value of the property. Therefore, the final price may not reflect the market value of the property. Not sure if you want to subscribe?

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Patch of Land

APRIL 4, 2018

According to the February 2018 Housing News Report by ATTOM Data Solutions, there are still some local markets with an average discount of at least 30 percent below market value on bank owned property sales. Utica, NY – 57% average discount off market value. Columbus, GA – 52% average discount off market value.

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The Robert Weiler Company

OCTOBER 21, 2022

The short answer: A commercial real estate appraisal is a calculated assessment of value for any type of commercial property. If you’re reading this article, you will likely need a commercial real estate appraisal for property being sold, mortgaged, taxed, insured, or developed.

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Cleveland Appraisal Blog

MARCH 4, 2021

There’s value in that. Subsequently, a new home typically has a higher market value than one that has already been lived in. Here are some links to other articles I’ve enjoyed recently! They get to choose the upgrades, the style and layout of the home. Now starts the wear and tear.

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Appraisal Today

JANUARY 19, 2024

During the two-year renovation, the seller, who bought the home in 2017, updated the kitchen with a Bosch cooktop, Gaggenau appliances, and soft-close doors. For the sake of simplicity, this article touches on merely three such biases: anchoring bias, selection bias, and confirmation bias. In and of itself, it is not market value.

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McKissock

MARCH 1, 2021

Some want me to summarize the market data and give concise guidance on market values. While they may be qualified for the purchase, many don’t have the additional capital for a renovation, nor do they have the time or know-how to accomplish a renovation.

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Cleveland Appraisal Blog

NOVEMBER 11, 2021

I have written several articles demonstrating the inaccuracy of AVMs like Zillow’s Zestimates. One big one is their Zestimate’s inaccuracy at predicting market value, and more specifically, they were relying on their own Zestimates to make important decisions like buying & selling homes. There are several reasons.

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Cleveland Appraisal Blog

MARCH 30, 2021

According to the park manager Pete Houghton, who was mentioned in an article, “Where the Ducks Walk on the Fish” , this attraction draws over 300,000 visitors a year. So many visitors have stopped by over the years, that they renovated the area to make it more visitor friendly, with better parking and a nicer observation area.

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Housing Wire

OCTOBER 10, 2023

A Comparative Market Analysis (CMA) is a detailed report that helps real estate agents evaluate and determine the market value of a property. In this article, I’ll share the steps, what to include, what not to includes, and how to assemble a CMA report that’ll impress your clients.

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Property Metrics

AUGUST 13, 2020

In this article, we’ll look at eleven types of risk in commercial real estate investment. . A liquid asset is one that can be sold immediately at market value. If an owner had to sell a piece of real estate by the end of the day, chances are that it would be for a price far below market value. Credit/Default Risk.

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Property Metrics

MAY 28, 2021

” If there is curable functional obsolescence, it means that the property could be renovated or upgraded in a cost efficient manner to bring the property up to modern standards. If it exists, it is up to the property owner/investor to assess the cost of repair/renovation versus the benefits that they will receive from it.

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The Robert Weiler Company

MAY 18, 2022

The ROI is calculated by comparing the total cost of the investment (including the initial purchase price plus any other expenses) to its current value or sale price. Though, keep in mind that commercial real estate doesn’t always sell at market value. But you can estimate your ROI based on comparable property sales.

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McKissock

DECEMBER 21, 2021

A little bit of friendly competition encourages bidders to commit to properties they love, which increases the chances of your home selling at market value or above. They inspire a sense of urgency with a drop-dead date for possible purchase being the day of the auction.

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Zillow

JULY 11, 2019

Warning: This article is not going to make you an expert. You can't deduct capital investments like new buildings, additions or renovations. Your local government will assess the market value of your property at its "highest and best use" and charge you a percentage of that value every year. More on these later.

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McKissock

FEBRUARY 21, 2021

This means having to renovate the house so that it is in good condition, which is never cheap. Note: Keep in mind that you will need to ensure the property is in the best shape for you to live in (renovation costs) and that moving in could lead to an increase in property taxes. Download here. Rent out the property.

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AmeriMac

JULY 25, 2022

The seller wants to max out the estimate based on the growing inflation and number of renovations made, while the buyer wants the best deal in the market even as home affordability worsens. This article discusses what an appraisal requires, why it needs to be reviewed and the methods involved in arriving at both conclusions.

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Simonson Real Estate

DECEMBER 6, 2022

In 2022, Simonson Appraisals completed a steady stream of financing assignments with planned new construction or significant proposed renovations. On several occasions, we were presented information about construction or renovation plans well after the initial assignment was started. Clarify What Value or Values are Needed.

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McKissock

JUNE 27, 2021

Cap rates: To find this, you divide the NOI by the current market value. Location and demographics: Your value will go up if you’re in a high-traffic area with good visibility. To find the best value, you might want to look into some niche markets. These can help you see your growth over time.

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Property Metrics

APRIL 7, 2022

The yield on cost is a commonly used metric when evaluating real estate development and value-add projects. In this article we’ll take a closer look at the yield on cost in real estate. Then we’ll look at how to calculate the yield on cost for a value add project. Does this value-add project make sense?

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Appraisal Today

FEBRUARY 16, 2024

This article provides an insight into the appraisal process of historical properties, emphasizing the role of market data, potential buyers, specialized databases, appraisal methods, and the significant impact of preservation restrictions. This is one of the best short articles on residential to commercial.

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The Robert Weiler Company

SEPTEMBER 16, 2021

The question is, how exactly is property value determined? The following article delves into the “science” of residential and commercial real estate appraisal and discusses the steps to succeed. Explanation of potential risks you may face or negative aspects that may impact the market value of the commercial property.

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Property Metrics

DECEMBER 10, 2021

In this article you’ll learn what a 1031 exchange is, how a 1031 exchange works, what the 1031 exchange rules are, the 1031 exchange timeline, and then we’ll cover some frequently asked questions. While in the QI’s hands, the owner can use the sales proceeds for renovations on the replacement property.

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The Robert Weiler Company

MARCH 15, 2021

And if there’s a bottom of the 9 th inning push to classify the building as “historic,” renovations and demolition may be additionally hampered, making the building less attractive to future buyers. Their uniqueness makes determining appraisal value difficult, and there’s often a limited buyer pool interested in purchasing such buildings.

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Housing Wire

OCTOBER 17, 2023

A May 2023 ProPublica article details how the self-proclaimed “largest homebuyer in the United States” is training its franchises to target and sometimes take advantage of distressed homeowners who are in pain. “Our These institutional buyers purchased pre-foreclosure properties for 30% below estimated after-repair market value on average.

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