Real Estate Agent · Westlake, OH · Member since 2014 · 186 posts · 165 votes
I have a client who bought a home at the cuyahoga county sheriff’s sale (located in city of Cleveland). I noticed that the Occupancy Class in the county records is two-family, but its set up as a one family including only one gas and electric meter. Client plans to flip it as a one family. The lenders that I use are telling me that the appraiser is going to pull the county records and we’re likely going to have an issue due to the mismatch in current use vs county classification of property.
Anyone have any experience with this issue in city of Cleveland?
1) is it a problem for lending or is the appraiser just going to appraise based on current use and not worry about county records
2) if it does become an issue, what does the city of Cleveland require to correct the county records (lenders are telling me that only the city of CLE building dept can authorize a change to county records which sounds right). It does appear that the property could have been a two family in the past, so my concern is that it was illegally converted in the past and we’re going to have to jump thru tons of hoops to fix it
You brought up to very good points. I currently have my team looking into the first point/question you brought up. Being we do quite a bit of work in that area, we want to ensure you are appropriately informed.
I will get back shortly with what my team drums up.
Contractor · Cleveland, OH · Member since 2014 · 317 posts · 181 votes
6y
Hey Don, rarely on BP but just caught this post. I flip in Cleveland.
A- the lender could pull the occupancy class and not care, or they could care. If they do care that it's listed as a 2 family in a district thats zoned 2 family, then just argue with them... "a- the property's current use is a single family. b- dominion has only one gas meter on the property, so likely it's been used as a single family for years. c- the intended use of the project is to keep as a single family. So who cares what it's zoned as" that's what I would say to the lender.
B- As far as changing the zoning, or asking questions about filing a zoning variance or petition to change info on the auditor site (which is wrong all the time w/ sq ft, lot size, bed bath count etc.) I would talk to Matt Moss at the City of Cleveland Planning Dept. Google his number and talk with him, he can advise changes, zoning variances, etc.
Real Estate Agent · Westlake, OH · Member since 2014 · 186 posts · 165 votes
6y
@Jared Lichtin thanks good info. I did tell the owner that just moving forward with it and seeing what happens with the appraisal is an option, the risk being an 11th hour scramble if it becomes an issue. Thanks for the contact at city.