I did an inspection where the borrowers carport was converted to a flower shop. Checked with local county to verify zoning, its zoned residential. How do I choose comparables? Do I have to utilize at least one sale with a home business.
Please advise.
A) When you say "converted", is it still a garage with a bunch of flowers in it, or has it been modified to the point that converting it back to a garage would have considerable costs
B) If it is zoned residential, when you say "shop" can people pull up and do business, or is it a home based business where they create arrangements and deliver them?
If shoppers can pull up to the front, and they are using it like a retail outlet, then it is non-conforming to the subdivision and in violation of current zoning. You must disclose these facts, which will alone kill any residential mortgage.
If you are not appraising for a mortgage, you can still appraise it "Subject To" garage being converted back to its original use, with no adjustments or B) "As Is" with adjustments made for the effect on marketability, including estimated cost to cure.
I am guessing you are doing this for mortgage purposes. If so, you pretty much have a dead file as far as a loan goes.
It is not in a subdivision, and yes the garage is totally converted. The average consumer can drive up, order and purchase flowers to be delivered anywhere in America. They also have FTD logo, LOL. Oh by the way I just checked the yellow pages they advertise in the yellow pages with the subject as their business address. Spoke with AMC rep and advise, they were told by the lender the borrower has a business in living room. Sent pics to AMC, waiting on response before I proceed any further.
LOL...Animal Chin... That brings back some old skateboard memories of Tony Hawk, Lance Mountain and Steve Cablero. They did a skate video called Animal Chin.
