Accessory Unit Adjustment Message - 634

This message identifies when the appraiser did not make an adjustment for an accessory unit when one may have been warranted or when the appraiser’s adjustment may have been in the wrong direction.

An accessory dwelling unit is typically an additional living area independent of the primary dwelling unit and includes a fully functioning kitchen and bathroom. Some examples may include a living area over a garage or a basement unit.

1. From the Appraisal Overview page select the Adjustments tab.
2. On the Adjustments page, scroll down to the rows titled ‘Other’ and then to the column of the comparable identified in the message to review any adjustments the appraiser may have made. In this example, the appraiser did not note there was an accessory unit for this comparable or make an adjustment.
   
   
3. Additional tools in Collateral Underwriter (CU) can be used to research the comparable including aerial photography. Go to the Comparables tab and click on the property address for comp 3. Then click on the EagleView tab to open the satellite image of the property. Use the + or - feature to zoom in or out and the compass feature to rotate the view.
   

Things to Consider

CU noted that a prior appraisal report identified this comparable had an accessory unit. Lenders should determine if the appraiser’s adjustments are adequately supported and reflective of market reaction. The impact to the appraised value should also be considered in terms of both the magnitude and direction of the adjustment in question. Think about how the overall credibility of the appraisal is impacted.

In some cases, it may be beneficial to seek clarification and support for some adjustments that may impact the subject’s appraised value.