National Statistics and Trends Can Augment Local Multifamily Appraisals: The Appraisal Journal
January 2, 2020 08:00 AM
CHICAGO (Jan. 2, 2020) – Opinions of value can recognize both local and national indicators when appraisers value multifamily rental properties, according to an article published this week in The Appraisal Journal.
The Appraisal Journal is the quarterly technical and academic publication of the Appraisal Institute, the nation’s largest professional association of real estate appraisers. The materials presented in the publication represent the opinions and views of the authors and not necessarily those of the Appraisal Institute.
“Challenges with Appraising in the Secondary/Tertiary Multifamily Rental Market,” by William J. Kimball, MAI, demonstrates how national indicators and statistical data from the internet can be analyzed and used to augment typical local market analysis.
Read “Challenges with Appraising in the Secondary/Tertiary Multifamily Rental Market” in the Fall 2019 issue of The Appraisal Journal.
“The Tradeoff between Selling Single-Family Houses as Vacant or Lived-In: Evidence from the Bloomington-Normal Housing Market,” by Adebayo A. Adanri, Ph.D., SRA, and Han B. Kang, Ph.D., uses data from the local multiple listing service and a hedonic regression model to investigate whether occupancy status of homes impacts sale prices or time on the market.
“Incorporating a Discussion of Risk in Appraisals: A New Direction for the Appraisal Industry,” by Martin A. Skolnik, MAI, points out that during an appraisal assignment, appraisers collect and discuss information on many risk factors that might tangentially describe the risk to the mortgage lender. Currently, various risk items are embedded in the report’s narrative. This article proposes a potential expansion of the appraiser’s scope of work, where the report evaluates and addresses the risks in a distinct discussion.
“High-Voltage Transmission Lines and Residential Property Values in New England: What Has Been Learned,” by James A. Chalmers, Ph.D., summarizes research over ten years on the effects of high-voltage transmission lines on residential property values in New England. While many large statistical studies have shown no price effects of transmission lines on house sale prices overall, this article presents a case study analysis that suggests a pattern where there is a likelihood of an HVTL effect on value for a subgroup of nearby properties
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The Appraisal Institute is a global professional association of real estate appraisers, with over 17,000 professionals in almost 50 countries throughout the world. Its mission is to advance professionalism and ethics, global standards, methodologies, and practices through the professional development of property economics worldwide. Organized in 1932, the Appraisal Institute advocates equal opportunity and nondiscrimination in the appraisal profession and conducts its activities in accordance with applicable federal, state and local laws. Individuals of the Appraisal Institute benefit from an array of professional education and advocacy programs, and may hold the prestigious MAI, SRPA, SRA, AI-GRS and AI-RRS designations. Learn more at www.appraisalinstitute.org.