There are a lot of good answers here regarding the zoning part of your question. I can help with the financing end of things. You can use a FHA 203K loan to purchase a single family home then convert it to a multi-famiy. To be eligible for the 203K, you would need to owner occupy one of the units. The minimum down payment will be 3.5% of the total acquisition cost ( price of home plus the renovation costs) The lender will need one estimate from a licensed and insured general contractor.
The 203K loan will give you 6 months to complete your renovation. Getting an extension might be possible. If you know that the permitting process might be a longer more complicated process, you might decide to purchase and close on the single family first. You can then work on the permits, then refinance with a FHA 203K loan to complete the conversion. There might be some duplication of closing costs because you will be financing the property twice.But the reduced stress coming from having more time to secure the permits may be a luxury worth paying for.... more
Brad are we talking a single family home or a condo ? If you are talking about a single family home I think there is some great advice down below. I agree it is best to find a contractor that works in your area/ neighborhood. They know exactly what they need to do to get the job done.
If you live in a condo there are additional questions that need answers. Is there anything in the condo documents that would prevent you adding this to building? Do you have roof rights with your unit.?... more
I would agree with CH on this one..I spend a lot of time in that area think the added value of outdoor space (bonus points if it has a view!) will make a difference, although I am not familiar with exact compensation. I know the condo I spend most of my time at even rents for more partly due to the gorgeous roof top deck with views.
I would consult a local real estate agent. As C.H. said, parking and outdoor space do normally increase value.... more
its all about the numbers or the dollars$$$$$$ as far as I am concerned. Does it net you a higher cap rate by doing the renovations? What is the resale potential with the renovations is it higher also? How long do you plan on holding the property?... more
You really need to consult an attorney on this issue. To be clear, you should ask for someone well versed in Contract Law.
There may be conditions in your contract that would void the contract if not met, you need to consult an attorney to be sure.
Best of luck with this.
Bill P... more
The roof deck sounds wonderful and having w & d plus storage are huge pluses. It boils down to what your target wants. If added this features increases the desirability for prospective tenants that will in turn, increase the marketability for securing those tenants. If other similar properties offer these amenities already then you would be simply bringing yourself in-line with the competition.
That is where my thoughts are - keeping your property "hot" for renting so no unit is left empty between leases, more so than the focus of increasing the actual value of your property. As you know that number has been yo-yo-ing for a while.
My recommendation to you is to connect with a Realtor with experience working the local market. He/she can assist with a detailed analysis of the properties of the North End to help you to arrive at the best decision.
I grew up on the South Shore - still have family in the area. But miss the North End!!! Grotto La Strada was one of my favorite restaurants ...can't get Italian food like that here in Charleston! ...or maybe send some of Mike's Pastry this way! yum!
Best of luck
Cate, count your blessings that the cost is only $1,000. If you own a condominium, chances are that this might be addressed as a necessary repair and paid in part or whole by the association. The "U" pipe in the basement is actually a trap to prevent sewer gasses from passing into the property and perhaps further. Many properties now have a valve that acts to prevent a sewage surge from Back Flowing into the building and possibly out a ground floor toilet. You would best to contact the engineering department at the BWSC as chances are you are not alone.... more
At least 5 weeks for conventionals too? Yikes, that's not what I want to hear. I am 24 days and counting. My BOA loan officer said that I should close on my loan between 30-40 days. It's been in underwriting since the 18th or 19th. Took a whole week after the appraisal was done before it was ok'd.... more
Hello- I know this is an old question/ posting- but I would agree with below. 95% of appraisers do not take into account "green" home features as they are evaluating a home's value. However, there are still some things that a prudent homebuyer would value (note I said a prudent, specific buyer- which is not most buyers in the market).
I don't think any of these are going to give you a dollar for dollar ROI as a seller, but they certainly would add some value to many buyers-
solar Hot water heater
geothermal heating system
insulated windows wtih LOW-E glass (in older homes especially)
Ken L.... more