What is superadequacy? It’s basically a synonym for “overimprovement”. It’s when a property is overimproved and the cost exceeds the value it adds to the property. Examples of superadequacy would be a 10-bedroom house in a 3-bedroom neighborhood, a swimming pool that costs $40,000 but adds $10,000 in value, an air conditioning unit in Antarctica, solid gold bathroom countertops or a $50,000 kitchen remodel in a $100,000 neighborhood.
Can you spot any superadequacy in the 30-second clip I shot below?
What examples of overimprovement have you seen? Can you think of instances of overimprovement found on television remodel shows?
If you have any real estate appraisal, consulting, or property tax appeal needs in the Greater Sacramento Region, contact me at 916.595.3735, by email, on our appraiser website or via Facebook.
cute….I love the music. I appraised a house in Menlo Park that was being used as a boarding house for the elderly, very specific use because the kitchen was so small and there were 8 bedrooms and 6 bathrooms. It was a good business for the owner, but not very saleable if it were to be listed for sale.
Thanks. Wow, I can see a house like that struggling to sell on the open market (unless the new owner was planning on the same use). It seems that most of the houses like this in Sacramento are not constructed all that well either. The additions or garage conversions just don’t look all that great. Bare minimum.
Its eerie how your blog posts match up to my work and what I’m currently doing: this morning I valuated an 8 room, 3 bed/2bathband 1,876 whopping square feet made from a former 3bed/1bath 962sqft 1953 once-vintage now McMansionicky, Gibbons Park area home.
Now I’m heading out to Gold River but i’m going to read your post about the neigborhood first 🙂
Thanks for another excellent blog post, Ryan!
That’s funny, Anne. That doesn’t sound like an easy BPO and I’m sure it wouldn’t be an easy appraisal either. Those ones take time. I wonder if any of the addition was done with a permit….
I just appraised one in Gold River last week actually, but no post. 🙁
Enjoy your day, Anne. Keep up the hard work.
The Gibbons Park Franken-home was done with permits, not that it makes it ok – lol! You know what I’m talking about!
You tweeted appraising one in Gold River – how’d that one work out for you? cuz I might have some questions for you later. I’m heading out to Deedle Ave tonight with TheKid™ to look at a 1951 3/1 with a converted garage.
And I finally got around to watching your video – it’s HYSTERICAL!! Very clever, Ryan!
That’s good to hear about permits. Gold River is all wrapped up. I’m glad to answer any questions if I know the answers. I’m glad you liked the video. 🙂
Did I say Deedie? I meant Sabalo – lol. It’s done and I didn’t have to bother you 🙂 there were good sold comps for me to use. Unlike Deedie, where there are few comps – lol – cool “country-in-the-city” Citrus Heights location on a .5acre flag lot, but the house needs a bulldozer. :/
I’m glad it worked out!!!