PART 1 – APPRAISALS 

Task 1 – Appraisal of 22 Long Drive 

Scenario 

Aria and Wiremu Ngata have contacted you as a result of a recent personal promotion campaign. They have asked you to appraise their property at 22 Long Drive.

You have met with them and inspected the property, taking photographs and notes. During your meeting, Wiremu has told you that he’s been offered a scholarship to a major university in the United States, and if he accepts it, they would be away for at least two years. 

On your return to the office you obtained a certificate of title. You have also collected data about recent sales in the area, and properties that are currently on the market that would be competition for 22 Long Drive. 

The photos, property details and value analyses are below.

Instructions 

Complete these tasks on the MS Word template for Part 1 (under Assignment 2 in the zip file in the Assessment area). 

Use each of the following three methods to prepare an appraisal for Aria and Wiremu. 

(a) Competitive market analysis (CMA), including a minimum of three recent comparable sales, and three comparable properties that are currently on the market.

(b) Net rate analysis, including a minimum of three comparable properties. 

(c) Replacement cost analysis.

22 Long Drive

Land: Freehold 610m2 section, flat contour, basic landscaping, fenced on three sides

House: Brick and monolithic cladding exterior, pressed steel tile roof, 246m2 , built in 2016, in excellent condition

Features: 

• 4 double bedrooms 

• office / study 

• open plan kitchen / family / dining 

• separate lounge 

• family bathroom with shower, bath and hand-basin 

• separate toilet 

• master bedroom has en suite bathroom and walk-in wardrobe 

• double internal entry garage with laundry

Rateable value: $785,000 (last year)

Your research suggests that the replacement cost for a property of this type would be approximately $1,900/m2 . Your branch manager suggests allowing 1.25% depreciation per year, and applying the following values.

Land:                 $350,000 

Chattels:                 $70,000 

Other improvements: $50,000

Recent sales in the area

The following eight properties have sold in the same area in the past three months.

6 Totara Road

Land: Freehold 600m2 section, flat contour, corner section, basic landscaping, fenced on two sides 

House: Brick exterior, and pressed steel tile roof, 240m2 , built in 2014, in excellent condition

Features: 

• 4 double bedrooms

• open plan kitchen / family / dining 

• separate lounge 

• family bathroom with shower, bath and hand-basin 

• separate toilet 

• master bedroom has an en suite bathroom and walk-in wardrobe 

• double internal entry garage with laundry

Rateable value: $765,000 (last year) 

Market history: Listed 12 weeks ago for sale by auction. Sold 2 weeks post-auction.

Sale:                 $835,000

Land:                 $330,000

Chattels:                 $60,000

Other improvements: $40,000

40A Hospital Road

Land: Cross lease 1,012m2 section, flat contour, minimal landscaping, not fenced 

House: Brick, coloursteel roof, 160m2 , built in 2002, in very good condition. Two in block, each with road frontage.

Features: 

• 2 double bedrooms 

• open plan lounge / dining 

• separate kitchen 

• bathroom with shower, toilet and hand-basin 

• single internal entry garage with laundry

Rateable value: $630,000 (last year)

Market history: Listed 11 weeks ago at $679,000. Sold in the first week of marketing.

Sale price:                 $672,000

Land:                 $310,000

Chattels:                 $35,000

Other improvements: $30,000

74 Beach Road

Land: Freehold 655 m2 section, gentle contour, excellent landscaping, not fenced 

House: Brick, pressed steel tile roof, 265 m2 , built in 2015, in excellent condition

Features:

• 5 double bedrooms

• superior kitchen

• separate lounge

• family room

• family bathroom with shower, bath and hand-basin

• 2 separate toilets with hand-basins

• master bedroom has an en suite bathroom, large walk-in wardrobe

• separate laundry

• double internal entry garage and separate double garage

• spa pool (fully compliant)

Rateable value: $850,000 (last year)

Market history: Listed 5 weeks ago for sale by tender. Sold one week ago.

Sale price:                 $948,000

Land:                 $480,000

Chattels:                 $85,000

Other improvements: $105,000

31 Totara Road

Land: Freehold 635m2 section, flat contour, minimal landscaping, fenced on three sides

House: Brick exterior, pressed steel tile roof, 240m2 , built in 2014, in excellent condition

Features:

• 4 double bedrooms

• office / study

• open plan kitchen / family / dining

• separate lounge

• family bathroom with shower, bath and hand-basin

• separate toilet

• master bedroom has an en suite bathroom and large walk-in wardrobe

• separate laundry

• double internal entry garage and single carport

Rateable value: $800,000 (last year)

Market history: Listed 7 weeks ago at $879,000. Reduced to $859,000 2 weeks ago and sold 1 week ago.

Sale:                     $842,500

Land:                     $360,000

Chattels:                     $75,000

Other improvements:     $45,000

33 School Road

Land:            Freehold 625m2 section, sloping contour, good landscaping, fenced on 3 sides

House:         Brick exterior, and concrete tile roof, 245m2 , built in 2013, in good overall condition.

Features:

• 4 double bedrooms

• separate kitchen

• separate lounge

• family room

• family bathroom with shower, bath, hand-basin and toilet

• separate toilet

• master bedroom has an en suite bathroom and large walk-in wardrobe

• separate laundry

• double internal entry garage and double carport

Rateable value: $760,000 (last year)

Market history: Listed 4 weeks ago at $829,000. Sold 2 weeks ago.

Sale:                 $805,500

Land:                 $330,000

Chattels:                 $50,000

Other improvements: $35,000

13 Carisbrook Crescent

Land:         Freehold 612m2 section, flat contour, modest landscaping, fully fenced

House:      Brick exterior, and pressed steel tile roof, 220m2 , built in 2002, in excellent condition

Features:

• 3 double bedrooms, 1 single bedroom

• open plan kitchen / family / dining

• separate lounge

• family bathroom with shower, bath and hand-basin

• separate toilet

• master bedroom has an en suite bathroom and walk-in wardrobe

• separate laundry

• double internal entry garage

• large deck

Rateable value:     $690,000 (last year)

Market history:     Listed 6 weeks ago for auction. Sold post-auction, one week ago.

Sale price:                 $725,000

Land:                 $350,000

Chattels:                 $55,000

Other improvements: $30,000

48 Long Drive

Land: Unit title, flat contour, minimal landscaping, fenced on three sides

House: Brick exterior, concrete tile roof, 217m2 , built in 1990, in good overall condition. Front unit in block of three.

Features:

• 3 double bedrooms

• open plan kitchen / dining

• separate lounge

• family bathroom with shower, bath and hand-basin

• separate toilet

• separate laundry

• double internal entry garage

Rateable value:     $790,000 (last year)

Market history:     Listed 9 weeks ago at $729,000. Reduced to $709,000 4 weeks ago and sold 2 weeks ago.

Sale price:                 $695,500

Land:                 $330,000

Chattels:                 $40,000

Other improvements: $40,000

19 Rimu Road

Land:         Freehold 665m2 section, flat contour, excellent landscaping, fenced on three sides

House:       Brick, concrete tile roof, 235m2 , built in 2016, in excellent condition

Features:

• 4 double bedrooms

• open plan kitchen / family / dining

• separate lounge

• family bathroom with shower, bath and hand-basin

• separate toilet

• master bedroom has an en suite bathroom and walk-in wardrobe

• separate laundry

• double internal entry garage and double carport

Rateable value:        $820,000 (last year)

Market history:         Listed 4 weeks ago for auction. Sold under the hammer last week.

Sale price:                 $860,000

Land:                 $410,000

Chattels:                 $50,000

Other improvements: $85,000

Properties currently on the market in the area

The following eight properties are currently on the market in the same area.

69 Bentley Drive

Land:         Freehold 600m2 section, flat contour, plain landscaping, fenced on all sides

House:      Oil-tempered hardboard exterior, and pressed steel roof, 214m2, built in 1996, in good overall condition

Features:

• 3 double bedrooms, 1 single bedroom

• open plan kitchen / family / dining

• separate lounge

• family bathroom with shower, bath and hand-basin

• separate toilet

• single detached garage, and lean-to carport

Rateable value:         $630,000 (last year)

Market history:         Listed 6 weeks ago at $679,000

Land:                     $340,000

Chattels:                     $40,000

Other improvements:     $40,000

108 Beach Road

Land:         Freehold 630m2 section, flat contour, minimal landscaping, fenced on three sides. No view of beach.

House:      Brick and painted cedar exterior, pressed steel tile roof, 245m2, built in 2014, in excellent condition

Features:

• 4 double bedrooms

• open plan kitchen / family / dining

• separate lounge

• family bathroom with shower, bath, toilet and hand-basin

• 2 separate toilets

• master bedroom has an en suite bathroom and walk-in wardrobe

• triple internal entry garage with laundry

Rateable value:         $800,000 (last year)

Market history:         Listed 2 weeks ago for auction. Pre-auction offer after first week, $895,000, rejected by vendors.

Land:                 $530,000

Chattels:                 $90,000

Other improvements: $80,000

Apt. 5D, 27 Commerce Street

Land:         Unit title, flat contour, excellent landscaping, no fencing

House:     Apartment, concrete exterior, pressed steel tile roof, 105m2, built in 2014, in excellent condition

Features:

• 2 double bedrooms

• compact kitchen / dining

• small separate lounge with balcony

• family bathroom with shower and hand-basin

• separate toilet

• 1 parking space on grounds

Rateable value:         $615,000 (last year)

Market history:         Listed 5 weeks ago at $649,000

Land:                 Not applicable

Chattels:                 $35,000

Other improvements: $20,000

61 Long Drive

Land:         Freehold 625m2 section, gentle contour, good landscaping, fenced on three sides

House:      Brick exterior, pressed steel tile roof, 256m2, built in 2017, in excellent condition

Features:

• 4 double bedrooms

• open plan kitchen / family / dining

• separate lounge

• family bathroom with shower, bath, toilet and hand-basin

• separate toilet

• master bedroom has an en suite bathroom and walk-in wardrobe

• separate laundry

• double internal entry garage

Rateable value:     $793,000 (last year)

Market history:     Listed 3 weeks ago for auction. Excellent feedback, with 4 registered bidders for auction next week.

Land:                 $360,000

Chattels:                 $70,000

Other improvements: $55,000

22 Kauri Road

Land:         Freehold 605m2 section, flat contour, excellent landscaping, fenced on three sides

House:      Cedar exterior, pressed steel tile roof, 219m2, built in 2007, in excellent condition

Features:

• 2 double bedrooms, 2 single bedrooms

• open plan kitchen / family / dining

• separate lounge

• family bathroom with bath, toilet and hand-basin

• double internal entry garage with laundry

• single carport

Rateable value:         $725,000 (last year)

Market history:         Listed 8 weeks ago for auction. No bids. Currently on market with a listed price of $779,000.

Land:                 $350,000

Chattels:                 $40,000

Other improvements: $45,000

97 Moorehouse St

Land:         Freehold 625m2 section, gentle contour, good landscaping, fenced on three sides

House:      Solid plaster exterior, pressed steel tile roof, 250m2, built in 2018, in excellent condition

Features:

• 4 double bedrooms

• open plan kitchen / family / dining

• separate lounge

• family bathroom with shower, bath, toilet and hand-basin

• separate toilet

• master bedroom has an en suite bathroom and walk-in wardrobe

• separate laundry

• double internal entry garage

Rateable value:         $780,000 (last year)

Market history:         Listed 3 days ago at 879,000.

Land:                 $365,000

Chattels:                 $60,000

Other improvements: $50,000

78 Valley Way

Land:         Freehold 609m2 corner section, steep contour, good landscaping, fenced on two sides

House:      Brick and solid plaster exterior, pressed steel tile roof, 250m2, built in 2017, in excellent condition

Features:

• 4 double bedrooms, 1 single bedroom

• open plan kitchen / family / dining

• separate lounge

• family bathroom with bath, shower toilet and hand-basin

• separate toilet

• master bedroom has an en suite bathroom and walk-in wardrobe

• double internal entry garage with laundry

Rateable value:    $780,000 (last year)

Market history:     Listed 3 weeks ago for $892,000.

Land:                 $340,000

Chattels:                 $60,000

Other improvements: $50,000

32 Dunkerron Street

Land:         Freehold 615m2 section, flat contour, minimal landscaping, fully fenced but in generally poor condition.

House:     Weatherboard exterior, concrete tile roof, 170m2, built in 1976, in average to poor condition

Features:

• 2 double bedrooms, 1 single bedroom

• separate lounge

• separate kitchen / dining

• family bathroom with shower, toilet and hand-basin

• separate laundry

• single separate garage

• right of way section, with driveway shared with two other houses

Rateable value:         $590,000 (last year)

Market history:         Listed 8 weeks ago at $635,000. Reduced last week to $619,000

Land:                 $300,000

Chattels:                 $25,000

Other improvements: $25,000