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572Daytona
03-16-2006, 09:07 AM
Got a question for any appraisers out there or anyone who stayed at a holiday inn express last nite :)
On one of my rental properties the county needs 628.6sq ft of my property for a permanent contruction easement. How would something like that go about about being evaluated?
Basically the approach they took (supposedly by a qualified appraiser) was to figure out the going price per acre in the area, extrapolate a per sq ft price from that and then reduce that by 50% since they are only putting an "easement" on our property and not actually taking the property (personally I would prefer they buy it outright). Offering me a grand total of $500. That's kind of like taking a price for 10,000 acres and then offering 1/10000 of that for just the acre you want, it doesn't work that way that I'm aware of.
I'm just curious, would this type of valuation hold up in court as a fair market value appraisal should it come to condmenation proceedings? I know if I asked any of my neighbors for 628ft of their property they sure as hell wouldn't sell it to me for $500. When the guy from the firm called my about their "generous" offer, I offered to instead swap it for 628sq ft on his property but for some reason he didn't take my generous offer.

Jbb
03-16-2006, 09:09 AM
Go on and fight the man.....this way....when I drive by when you are picking up garbage on the side of the highway[after spending a night in the box!]...I can flick my cigarette butt at you....
Power to the people...... :p

572Daytona
03-16-2006, 09:13 AM
Sage advise I'm sure. So will you sell me 628sq ft of casa JBB's (sometimes green) lawn?

Jbb
03-16-2006, 09:16 AM
Sage advise I'm sure. So will you sell me 628sq ft of casa JBB's (sometimes green) lawn?
I shoot at people who are found where they dont belong.....my property is mine....On of my friends here at work ...who lives in West Point....just got his 40 acres house and shop taken by the State for the new Kia plant going in...He seems very happy with what they offered...

572Daytona
03-16-2006, 09:19 AM
Yeah, I'd be happier too if they were buying the whole thing house and all. But we just bought this last summer and the house is brand new, sucks to have a new road in your front yard.
So you and junior gonna get a job at the new kia plant? I understand that you have friday's free.

socalmofo
03-16-2006, 09:20 AM
They have to give you fair market value - Unless you live in Tijuana it doesn't sound like fair market value. Do you research and take it to them.

Jbb
03-16-2006, 09:24 AM
Yeah, I'd be happier too if they were buying the whole thing house and all. But we just bought this last summer and the house is brand new, sucks to have a new road in your front yard.
So you and junior gonna get a job at the new kia plant? I understand that you have friday's free.
I could use another job...perhaps I will look into it.... :p

572Daytona
03-16-2006, 09:24 AM
The problem is I don't know how to value 628sq ft, I have access to mls but I won't find any comparables for land sales that small. I also don't know how to value an easement vs fee simple transfer. I know that easements are a big negative when it comes time to sell, but I don't know how to place a dollar figure on that.

socalmofo
03-16-2006, 09:31 AM
Appraisers can do different approaches to find the value of the land.

Brewzed
03-16-2006, 10:07 AM
They have to give you fair market value - Unless you live in Tijuana it doesn't sound like fair market value. Do you research and take it to them.
Actaully they don't have to give you anything. You can fight it, but if it is for public road and it's in the public's best interest, they will take you to court for what is called "Eminent Domain". Which means the right of a sovereign government, or some person acting in its name and under its authority, may acquire private property for public or quasi public use upon payment of reasonable compensation and without consent of the owner. There is also "Condemnation" which is the right or power of the government to take private property for public use on making just compensation therefor.
I would take the cash, there's really nothing that can be done. If it's not usable equitable property, your lucky their offering you anything in the first place. If you fight, you will just acrue attorney fees and what not.

me4drvr
03-16-2006, 10:13 AM
Have they prepared a legal description or exhibit of the area? Are they even going to build anything within the easement area (retaining walls, sidewalk, etc.?) It may just be for a sliver of maintenance area. Either way it sucks, but when the man wants to come through, they'll come through.
Call Arnie and tell him that 650 sq.ft. of YOUR property is being terminated.

socalmofo
03-16-2006, 10:21 AM
[QUOTE=Brewzed]payment of reasonable compensation [QUOTE]
I'm not einstein but $500 is not reasonable!
Thanks for proving my point.

572Daytona
03-16-2006, 10:37 AM
Arnie isn't going to be able to help me since I'm in Georgia but they do have to compensate you fair market value. I don't think what they are offering constitutes fair market value. I know I should probably hire my own attorney and appraiser, but for I what I stand to be compensated it isn't worth it. On the other hand I've been screwed in real estate deals before when I've relied soley on surveys and reprensatations from the other party. I found this on findlaw.com, gives a pretty good overview but doesn't help me much in determining my FMV:
How the Government Takes Private Property
As the government makes its plans for expansion and improvement of publicly maintained roads and utilities, it determines which private parcels will be affected. Once it makes that determination, the government will work with its own appraisers to determine the appropriate price for the necessary property interests. When the government has established its estimation of the property value, it may offer the landowner a particular price for the property. If the property owner agrees, the government buys the land. If the property owner disputes the government's valuation and they cannot agree on a price, the matter will go to condemnation proceedings.
During condemnation proceedings, the property owner will get to offer his or her own valuation for the property. Typically, the property owner will work with an attorney and an appraiser. The attorney will protect the property owner's legal rights respecting the involved property, and the appraiser will work to establish the property's fair market value. The property owner may also oppose a forced sale by contesting the government's proposed use of the property. As long as the use is proper, however, this type of challenge will fail. As an alternative, the landowner may also claim that the extent of the property the government is attempting to condemn is too great and that its purposes can be fulfilled with less intrusion. Generally speaking, the government is only allowed to invade the property rights of individuals to the extent necessary to accomplish the intended public purpose.
Value of the Property
Most condemnation proceedings turn on the value of the property at issue. How much a piece of property (or an interest in property) is worth depends on many factors. For a piece of undeveloped land with a single owner and no exceptional or unusual features, establishing the property's value may be fairly straightforward. The zoning of the property and the value of surrounding tracts will provide useful guidance for the calculation. In urban settings, however, the property is likely to be developed. In this case, the current use of the property, the structures upon it, access to the property, the interests of any lessees, and many other issues will complicate the value determination. The many unique characteristics of the property often result in a different estimation of value between the property owner and the government. In addition to an appraiser and an attorney, each side may have additional experts, such as engineers and architects.
Factors that are considered in property valuation include: its size, how it is zoned, what kinds of buildings and roads are on it, what it's currently being used for, what it could be used for, how accessible it is, what other businesses or land uses are adjacent or nearby, and whether there are tenants or other leaseholders involved. The property may represent the owner's livelihood, so that to the owner it is worth everything he or she has invested in it, and all that can be derived from it. To the government, however, the relevant value is the property's market value -- what an interested buyer who is not obligated to buy might pay to an interested seller who is not obligated to sell. The valuation is also made as of a particular date. This is because property values can fluctuate over time. To arrive at one price, the determination is established as of one date.
The value determination also turns on the amount of the acquisition. In some instances, the government may need to take all of the owner's property. In other cases, the government's acquisition will be more limited. The government may need to acquire only a part of the property, or just an easement over it. The value of these interests depends on the land involved, and on the effect the loss or intrusion of that land will have on the rest of the property.

sorry dog
03-16-2006, 12:41 PM
I feel your pain. Family is in a comdenation type fight over a bridge project but it's much bigger and has political issues. Highway dept is trying to fock us.
Since the $$ is low maybe you can bluff them into thinking your going to hire an attorney to contest the value and they'll up the offer to get'er done.

572Daytona
03-16-2006, 12:51 PM
That's my thinking. If I do nothing they are going to have to take it to court and I will still get at least $500 when all is said and done even if I don't show up in court. I would think it would be worth more to them to not have to do that. We are the smallest piece of property that they needs. They claim to have all of our neighbors buy in but I don't trust them as far as I can throw them. They've sent us paperwork asking what we will take, and I'm trying to figure out a way of valuing the property that will justify why it's worth more.

sorry dog
03-17-2006, 08:28 AM
Your wife is high rolling RE agent right?
I'm thinking she could add an easy $500 in selling fees.
...or you could say fock it once you remember that a weekend with the jet boat is $250.