Real estate appraisal question

[LabLuvR]

My mother owns a home in the Lexington/West Cola area. She is in an assisted living facility and we will soon have to sell the home to keep her where she is now.

The home is in a commerical zoned area. The area contains mostly residential homes with a few businesses scatttered in the mix. Can any appraiser appraise this property or do I need a commercial appraiser? Can they do two seperate appraisals, one residential and one commercial? The reason for asking is my niece is interested in possibly buying the home, but the commercial value may put it out of reach. Depending on price difference we may sell it to her at a residential price. Thanks!

[willyworm]

My interest was piqued here... so I asked a buddy of mine who works for a lawyer doing title searches, etc for real estate closings. He said a residential loan would never go through. The fact that the land the house sits on is zoned commercial it would kill it. He also mentioned that a crafty lawyer could get creative and pull it off but it'd be tedious for sure. But it'd almost certainly have to be a cash deal.

I'd engage a realtor on the matter to be sure.

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[LabLuvR]

OK thank you

[mctruluck09]

Yeah that is an interesting situation. If done correctly, there are not two values, but one value that is based on the Highest and Best Use of the property taking into consideration the factors you mentioned. The existing zoning, path of growth, probability of a zoning change, etc. From there the picture will be clear as to whether the HBU is a residential property or a commercial property. Sounds to me like the most likely use would be a professional office or home/office conversion type use. Regardless, I would hire a Certified General Appraiser who could provide the market value of either scenario. Obviously, an unbiased appraisal would report the market value of the property, not taking into account the potential affordability of your niece purchasing. The component would need to be figured out with an attorney and accountant. I will be happy to give you recommendations for appraisers if you need some. Good luck!

[trkykilr]

It is worth only slightly less than your stove

[wbrown609]

What Mctruluck said. Really only one actual value of the property. Don’t know the niece’s age or situation, but once she purchases property, it is hers to sell at a profit in the future. Just know that up front, so there are no hard feelings in the family if she buys at a discount.

[charlie horse]

I would think it would need parking spaces, handicap accessible etc to be considered commercial.

[Saltydog235]

I would think it would need parking spaces, handicap accessible etc to be considered commercial.

It would but the appraisal would be as stated above the highest, best use of the property. Not up on Lexington County but, they would probably tax it based on being commercial on a sale if it isn't already. Millage is going to be based on what they can get the most from. It wouldn't be hard to add parking and accessibility, you know the county isn't going to bust balls over paving a lawn unless there's a tree in it they want to save.

[willyworm]

He went on to say that so long as your mom owned the property it was grandfathered in meaning she wouldn't be forced to vacate. But once it changed hands no can live in the residence again.

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[SCSwitchback]

Paul, this brings up another interesting question. If it’s currently zoned commercial but she had a zoning variance to use it as residential then the property would be “grandfathered in.” I’d find out if they’re (they being the county)is going to assess rollback taxes when the use changes. The county assessors office or a reputable real estate attorney would have to be the ones to answer that question with any certainty. But you need to know that so your family can decide who’s paying those rollbacks as they have potential to be substantial.
Give me a call if you need a good appraiser and I can give you a few options.

[scatter shot]

Is it known as a fact that the property is zoned commercial? Or is it zoned as multi use?
The OP's first post says the area is mostly residential with some commercial mixed in

[Hogg]

He went on to say that so long as your mom owned the property it was grandfathered in meaning she wouldn't be forced to vacate. But once it changed hands no can live in the residence again.

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This is wrong.

[Hogg]

Paul, this brings up another interesting question. If it’s currently zoned commercial but she had a zoning variance to use it as residential then the property would be “grandfathered in.” I’d find out if they’re (they being the county)is going to assess rollback taxes when the use changes. The county assessors office or a reputable real estate attorney would have to be the ones to answer that question with any certainty. But you need to know that so your family can decide who’s paying those rollbacks as they have potential to be substantial.
Give me a call if you need a good appraiser and I can give you a few options.

Rollback taxes apply to property qualified for agricultural use; not commercial.

[Hogg]

Is it known as a fact that the property is zoned commercial? Or is it zoned as multi use?
The OP's first post says the area is mostly residential with some commercial mixed in

I was wondering the same thing.

[Sportin' Woodies]

It is worth only slightly less than your stove

Classy

[Sasha and Abby]

Paul's mom passed yesterday. Prayers sent for the family and our friend.

[LabLuvR]

Paul's mom passed yesterday. Prayers sent for the family and our friend.

Thank you Carl we are doing well. She lived live a long life filled with love and joy. She went peacefully so I am comfortable with it all.

[scatter shot]

I'm sincerely sorry for your loss Paul.
My mom passed 2 weeks ago at the age of 84 from cancer. It's a different world without her in it.

[Sportin' Woodies]

Old people are the coolest people on earth. Sorry for yalls loss Paul