Updated almost 3 years ago on . Most recent reply
Converting a 4 unit to a 6 unit - Pros vs Cons
Hey All!
We recently acquired a small multi currently recognized as a "Legal 4 unit" by the city. This unit is separately metered and has 6 units with 6 entrances and 6 paying tenants.
We are wanting to get it recognized as a "legal 6" to increase its value in the eyes of the lender. What are the Pros vs. Cons of doing this? I'm sure taxes will increase, but I don't want to open a can of worms on other issues.
Ultimately, we want to rehab the building and use the additional units to pump the value for a long-term loan.
Thoughts???