8 Secrets of the Zoning Administrator/Inspector:

That old building in your town you dread visiting when you need a permit, or more importantly, answers, about your property and what you can do is possibly your best resource for development!

Hi, I'm Dave, an investor (buy & hold, flips) who is also a municipal building, rental and zoning administrator and city planner. Its a mouthful, but cross training has come in handy!

I get to see the real estate world from the other side (not like Beetlejuice) and want to share 8 tips and ideas with you for a new perspective on real estate investing.

#1) Understand your district: Zoning districts are nearly identical all over the county on the surface, but complex when you assemble all the pieces! Know your development district. Usually there are large lot SF (R1) Medium (R2) small/medium mixed (R3) and multi family (R4). Towns with city planners also study their neighborhoods for maximum benefit and create overlay districts, such as historical, redevelopment targeted restrictions or some other concept to stimulate stability or maintain features. The same goes on up the chain to Commercial, Industrial, Office, Agriculture and so on. What's the point youre probably asking by now: BUILDING ENVELOPE and USE. You may have a duplex in a R1 district and its now legal non-conforming. Hopefully it doesn't burn down because you can only put a single family back in. That 12 unit you just bought in an R3 with a historic overlay...want to fix the exterior you have to meet your historic preservation requirements. Its expensive. Building envelope issues may require a variance because your lot is to small, or you have unique features. All of these items play a major role in your property. Setbacks are designed to create "uniform development". There are exceptions in the setbacks...memorize them.  They can get you extra space and if you are wise about how the definitions work....you can stretch your space and your profits.

#2 Know your easements: When buying a property always get your easements. You usually can only build a fence on an easement. Public works needs to access easements, including digging them up and replacing them. You thoughy that huge space in your backyard was good for a future garage....only to find a gas line runs right through it! No building permits for you.

#3 Find out about the rental inspection program (if there is one) before you close on your rental! So many issues crop if you don't, or the previous landlord was operating without being registered. There are fees/fines and lists you get put on. Make sure you get on the right list. Yes, it costs money. I've seen annual registrations as low as $25 per unit and as high as $500.00. Get your unit inspected. Make sure you comply with inspector requests. Its okay to disagree but don't argue too much with them. You'd better make a great case first. I can't stress enough about smoke detectors and CO2 and proper egress! Read the first 4 chapters of the 2012 International Res. Code and you should be competent enough to cruise through the basics with the inspector.

Generally the rental inspector position is a good job and a lot of people stay in that position 10-15 years (personal experience) so that person will be on your case a long time. They also know who is new in the game, and who wants out. They won't give you much, but if you read between the lines, you can figure out who is ready to retire. Find their signs and call them. Get your deal. Also more communities are moving towards crime free housing. I like the idea because it improves rental areas and gives landlord some protections as described within the adopted crime free ordinance. Just don't break fair housing! It gets tricky. I always question though, where do those "banished" people go. It puts the burden on the community that doesn't have crime free housing.

 Also, if you have an appointment with the inspector, show up. I'll charge you to reschedule a missed.

#4 Get your permits: This is so that an industry veteran or knowledgeable inspector reviews the work of a contractor, and so the zoning administrator knows your addition or change is compliant. If its built and not compliant, I WILL MAKE YOU TEAR IT DOWN at your own cost. 

Not all work requires permits. Its different everywhere. But its worth it to know. In my municipality a new hotel costs about $20,000 between plan review and inspections. A large city could reach into the hundreds of thousands in similar PERMIT FEES. Usually for the home its relatively inexpensive. We're about $1,200. Some communities it can reach $10,000.

Your contractor knows their work will be reviewed. I always get asked why inspectors charge/are needed. This Summer I inspected a home being during the framing phase. No anchor bolts from the bottom plate to the foundation, just occasional tapcons! That house would've blown right off the foundation. Last week I required two units raise their service mast from 3' to 12'. Their main entrance conductors were at chest level and children lived next door.

#5 Find out when seminars and intergovernmental meetings are: I know almost everything happening in my community and usually two or three other major communities before anyone else. A new off ramp from a highway is going to be constructed and the 700 acres around it are being developed. I already know the layout, design standards and highest and best uses of those properties. I know the costs, zoning and requirements of darn near every organization involved. The best part...you could too. I am required to attend intercommunity meetings, but they are often open to the public, or by request. If you attend you can be years ahead of the game. I already know the best spot for a car wash, senior complex and premium rental locations to be built. I know the proposed bus stops and bike paths. I also meet the property owners.

#6 Understand your boards: The ZBA, Plan Commission and Board often look to the Zoning Administrator for guidance, although not always. So its good to ask us what we think of your requests before you submit them. Often times most variances, waivers and other requests are harmless, but others cross a line. You really need to prove hardship or special conditions you have that others don't. Additionally, if you propose something that requires a hearing, also be prepared to offer or accept conditions. You want to have a bigger driveway than allowed because you now have an RV, offer the board, in exchange, to plant 2 new trees and to make sure you additional coverage is pervious to make up for the difference in on site water management.

You want to get a special use to convert a manual spray car wash to storage rentals, offer to provide more attractive screen and special lighting conditions above and beyond what's required.

Zoning administrators may also know of pre-existing cases. I ALWAYS request a FOIA after I learn about a similar variance or special use that is similar to a request I will ask for. I can see who was for or against the request, what they liked or didn't, and how the requests were worded by the applicant before I submit my own. Then I can really fine tune my application and play to the favorable board members and come with alternatives or accept conditions. I, as a zoning administrator, have be shocked by how bad some applications are. Likewise, I have changed MY OWN request while reviewing other brilliant approaches. Some people are just darn clever. By the way, most municipalities send letters to all neighbors within XXX' of your lot for variances and put a HUGE sign on your lot for 30 days with your request and date of hearing. See secret tip!!!

#7 Know your design standards: Some communities have design standards. They may only allow brick front facades. Others may have none. Some are based off the year the plat was developed, or the average material type of the subdivision. Don't go in thinking your going to flip a home and put up EIFS on that gorgeous corner lot duplex when you have to do 50% brick.

#8 If you have an ACTIVE HOA always make sure you have permission from them for any changes you are going to make. It shows the inspector you are on top of your game. I don't even write a fence permit if I know the association is active, without a letter from the associations "design committee". Same goes for renters. If you are putting up that seasonal pool, you're landlord better have  written to me that its okay. I am not required to enforce, care about or even know the HOA policies, but its worse to give a permit only to have someone from the board call me, or have the mayor questioning my intent. Then the permit holder loses out financially and makes too many neighbors into enemies. So, I just wait for that letter.

That was highly condensed. I would be happy to explain in detail.

Silver's Secret: Whenever I am going to make major changes, I always write a very nice letter to the two closets neighbors in each direction from my home. I include a graphic showing how nice my work turns out,  why I am doing it, and my phone number. I find they never/rarely call, and are so much more appreciative and amenable when the municipality sends them notifications and posts a huge billboard on my lot. They are shocked and feel left out. Its better to let them know its coming. They usually show up and support the change!!!!

I will post more secrets later!