All Forum Posts by: Tony Otis

Thanks Tim.  Is there any distinction between a portfolio loan and a commercial loan?

@John Woodrich is my CPA, he invests in real estate personally as well.

Any reason you chose Minneapolis / St. Paul over Des Moines or even your local Mason City area?  I'm not familiar with the Des Moines area but I've heard from others that are familiar that it's easier to find a cash flowing rental there than in MSP. 

 A 2 unit building is subject to the residential building code, but a 3 unit building is subject to the commercial building code.  In many old buildings, many of the features don't meet present day code.  That's where I think I'll run into most of my problems. For example, the commercial code requires fire and sound rated walls between units.  This will be an expensive process, especially if its required between the existing two units.

I'm considering undertaking a duplex to triplex conversion project in Minneapolis, and looking for the best way to go about it.  Zoning isn't a problem, the street is already zoned for 4+ units.  I've heard that converting from 2 units to 3 units requires the building code to meet commercial standards.  Being that its an old building and probably doesn't even meet current residential standards, this seems like a non-starter.  

I'm looking at owner occupying, so one option I'm looking into is an Accessory Dwelling, and I'm waiting to hear back from zoning on if this would solve my problem.  But its hard to justify the renovation funds if I'm going to have to convert it back to duplex when I move out.  I don't think I'd live there for more than a couple years.

Another option would be to find a work around with the rental licensing.  Are there any options for leasing two units with one lease?  Or does the rental inspector call you on it when they see two exterior doors with a dead bolt?

Has anyone here been able to successfully (and legally) convert to a triplex?

Thanks!

I use Cozy.co.  It's free for rent collection, they don't charge me or my tenants anything.  They make their money if you choose to run background and credit checks through them, or pay extra to expedite payment processing.

I'll be there

@Bruce Runn

I was actually one of the 15 people who watched on Youtube.  Didn't know you were a BP user.  Yeah I thought it was pretty ridiculous too.

I've noticed a few approved rezoning as of late.  You can see the planning commision's meeting notes here:

http://www.ci.minneapolis.mn.us/meetings/planning/...

The latest meeting at the end of August they approved a rezone from R2B from R4 in Whittier.  Two weeks previous, they approved an R2B to R4 in Lyndale neighborhood.  They post the entire meeting on Youtube so you can see the types of things they discuss when considering if they will approve it or not.

Correct I haven't accepted any applications yet.