First time posting. I am currently at contract for a 2 family. The house is set up as a two over two.
Tenants currently in place and would like to stay.
Property cash flows nicely and the rents are below market value so there is a value add play there as well.
Anyway the title report came back and the property is listed as a single family home and also is CO'd this way.
However the property was advertised as a legal two family and the town assessor is currently taxing the property as a two family.
Two separate meters as well.
Everyone involved including my attorney, agent, etc seem to not have the answers for me.
There are no rental permits on the property either which are required in this town.
Seems to be a lot of mixed information that has me considering to pull out of the deal.
Anyone have any experience with this?
Co'd as a single family
Assessor and being taxed as a two family
Currently rented with two separate tenants
Any advice greatly appreciated.
You need to find the building permits and CoO that list it as a duplex. If they aren't available you need to either abandon the deal or get the seller to sign a request for repairs that makes the risk you are taking by renting it worthwhile.
Seth thanks for the response.
It looks like getting the proper CofO is not going to happen.
Most likely at this stage planning to walk away from the deal.
Once again thank you for info.
If the town assessor is taxing it as a duplex, wouldn't they require some paperwork on file before doing so? I would investigate there first. Also, with two separate meters I would think that the utility company would need some documentation from the city before installing that. This may be another place to hunt for the proper certificates. In Philly we have "variances" to the zoning code. If a variance is on file we are good. I would pressure your title company to investigate what the tax assessor and utility companies have on file. They should be doing this legwork for you, and if you don't close, they don't get paid.