Pittsburgh South Side flats- 2 units in SFH? Any Issues

3 Replies

My Brother and I are looking to purchase a property that currently operates with 2 units- The building is considered a SFH though and the current owner pays utilities. Is there any issue with this set up that we should consider- From our initial calculations, it would Cash flow etc. But I am concerned that there is something that we as new investors are not seeing? Or that we are not asking the right questions?

Many thanks for any responses-

First check the County website for the currently recorded USE CODE.  If it shows as single family, go to the owner or their Realtor to see if this is accurate or if they can provide an Occupancy Permit as a multi.  If not, you could run into trouble down the road.  The Use Code isn't always up to date.

Thank you both for your responses- Yes- from what I understand, it is coded as a single family. I found this out as we saw in the inspection report that the utilities are not split- We went to renegotiate to cover the expenses to split the electric etc. The response from the owners is that the home is coded as a single family so the current electric is ok. The home is clearly multi unit with 2 kitchens etc.  

Sounds like as you say, this could mean trouble - I will ask the realtor for the Occupancy Permit to ensure we don't get into trouble with this- Its our second property so I want to make sure we make the right decisions.

Is this something that you feel we can use to lower the asking price and get zoned properly? Several properties in this area are used this way-and I can see the current owners saying that its not a problem.