I've inherited some lake front property along with my brother and sister. Sister and I want it, but brother wants to sell his share. Land was appraised at $200,000. My sister and I will give him his third, but should we give him a third of the appraised price? or the speculated selling price? If it were sold, it may bring in only $180,000. Should I do some checking on other properties that have sold in the area? How can I get our cost to be more realistic?
2007-02-20 14:23:44 · 5 answers · asked by jonim2b 1 in Business & Finance ➔ Renting & Real Estate
Get a couple of CMA's from local realtors. This is the Current Market Value. Having an appraisal is like having a wedding ring appraised. Yeah... you can say it's worth that much, but try getting anyone to buy it for that price! A CMA tells you what the fair market price would bring if the property were to sell today. This is the price that you should use to buy out a third party. When Realtor does a market analysis, they will look up at least three comparable properties than have sold in the area within the last 6 months to a year. Their report should take into account any appreciation (or depreciation with the housing slump in some areas) the property may have been subjected too. Get several opinions from different companies. Most realtors do not charge for this, because they are hoping to get your business and list the property. Just call them and ask if you could get a Market Analysis done on your property.
2007-02-20 14:42:26 · answer #1 · answered by mschvs_65 4 · 2⤊ 1⤋
It really depends on how you want to structure the arrangement with your siblings. I am an appraiser and we do these types of appraisals all the time. Our clients will get an appraisal done and divide the shares equally amongst the parties. This will protect all parties in the transaction from overvaluing or undervaluing the property. The selling price has no bearing on market value because it has not happened yet. You could arrange it where you will sell it then split the price if desired. I would check comparables in your area to give you a good indication of what is going on in your area.
2007-02-20 23:28:07 · answer #2 · answered by tianaramal 4 · 0⤊ 0⤋
First of all, a realtor does not appraise property - an appraiser does. (Unless you live in a state where realtors have an appraiser's license, but I honestly don't know of any.) In order to get an accurate appraised value, an appraiser is required to check into other properties that have sold in the area to return an accurate value on your property. Those are called "comparables".
Before you get into all of the monetary issues, I'd HIGHLY recommend talking to a title company about how you would handle such a transaction. The deceased's WILL might have to be probated, etc. Sometimes these deals can be sticky.
Talk to a title company (some states have attorney's that handle real estate transactions, not title companies) and get your first bit of professional advice on how to split the land and go from there.
Good luck!
2007-02-20 22:44:37 · answer #3 · answered by GiggleFairy 3 · 1⤊ 0⤋
Check with a few local Realtors and Appraisers. They will look at the MLS Listings for your area and give you an estimated value for the property based on recent sales of like properties. Keep in mind that these are only estimates and opinions from these people. A conservative Realtor or Appraiser may say its only worth $170,000 were as a liberal Realtor and Appraiser could value it at $210,000.
2007-02-20 22:32:50 · answer #4 · answered by Sean O 1 · 0⤊ 0⤋
yes 1/3 of the appraised price.not the market priced. but if you want to screw him give him 1/3 of the assesed price.
2007-02-20 22:28:05 · answer #5 · answered by spideyrealestate 2 · 0⤊ 1⤋