MLS says 4 Units, seller says 5.

[Hope S.]

I have come across this situation a couple of times - the MLS lists a 4 Unit multi, with rents for 4 Units. Somewhere in the communications, usually a realtor email or verbally, we're informed of a 5th unit. It may conform to code, but the town does not list the property as a 5 Unit.

My question is - how do you handle this in your offer price?  Completely discount the 5th unit?  Partially discount?  If you think its more likely than not the town would approve the 5th unit?  

I am currently analyzing a deal where the seller has factored in the 5th unit in his asking price.  I don't think its reasonable to pay that if I'm taking the risk of getting legit.   

Advice and opinions welcome.

thank you!