condo sales: when the entire complex is sold...

[jillayne]

I had this question come up in class last Friday:

Q: When an entire condo complex is sold to one person or entity, does that count (in the statistics) as one sale or do all the units get counted individually?

The sale referenced was taking place prior to foreclosure.

Your thoughts?

Thanks

[mukoh]

Jill,
On bigger projects there is retail value and whole sale value. They are different at appraisals. If a bulding of 500u in bulk sold for X per unit doesn't mean that each unit is only worth x at retail, and it won't be counted in retail appraisal for a like property.

[davidlosh@davidlosh.com]

It's a bulk transfer.

Think of it this way: combined parcel numbers such as spot lots can be sold as a whole for years until they are separated. Combined condo units sell as one. The parcel number may transfer in the sale but the sale is for one unit.

Bulk transfer is also used for tax purposes. Ask an accountant for the significance.

[jillayne]

Thank you mukoh and David. I appreciate your insight.