However, like @Ellis San Jose mentioned above, you will command more $$$ for your property if it is delivered vacant (unless you are getting top market rent for that unit).If you do sell with tenants, be prepared when the prospective buyer requests rent rolls, estoppel certificates, rent history, existing leases, rent due dates, security deposits, and any other written or verbal agreements.

While multi-family is permitted in R-8 by right, converting an existing structure may have some nuances they ought to be able to explain.

The only problem I've run into sometimes is that existing ductwork was not exactly "made" for air conditioning so the location of the returns and vents is not ideal... so certainly rooms may not be as cool as other rooms.

One thing they will look for is length of existence - was your business established yesterday or has it been around for awhile?  

ive got a potential seller with an existing mortgage left over of 190k an the home arv is abt 310k how would i go about my offer price formula with the existing mortgage? 

Best wishes THere's even no need to add bed room because lot of home in existing supply already has one or two new rooms.The one I saw yesterday has six ; in record it says 3/2 ; so there's that LOL

They may well exist.

Yes  we exist.

Having an existing HELOC is always a great resource (if you are planning on repaying the HELOC through the sale of said property, assuming equity would cover the loan payoff.

We purchased it for the purpose of rezoning to commercial and expand our existing business model (workspace rental for people in the creative field).