WE took 16 40 yard dumpters off of that house property and various vehicles etc etc. there was also a live boa constrictor that scared the heck out of one of the workers it got away ( of course) and the police wanted me to walk to all the neighbors and warn them to watch out for their cats:)WE demo's the house and I built a 1.5 mil dollar spec on it.

I agree, I would be very careful doing anything that is not permitted or allowed based on the zoning. 

Costs like engineering and permitting can become disproportionately high for mid-size projects.Height and Density: Focus on areas where zoning allows for verticality and density.

@Rene Brodowsky appraisers, like most workers, will take the path of least resistance if allowed.Appears they are using an AI system to valuate your home.As suggested already, you may want to request an actual appraisal, which you will have to pay for, and send your own comparables to Huntington Bank to try to guide the appraiser.Otherwise, you may need to try a different lender.

The economics do not allow for a property renovation, properly permitted and all deferred maintenance issues addressed.  

Can you take it to the city to get it permitted?

As far as permits and renovations and ADU additions?

After reviewing the latest ordinances, reports, and city guidelines, here’s a summary of my findings as of 11/18/2024:Key FindingsPermit Types and Fees:Type 1 (Owner-Occupied): $300 for 3 years.Type 2 (Non-Owner-Occupied): $450 for 3 years.Density caps apply to Type 2 permits (12.5% of block face).Enforcement:3 violations in 3 years lead to permit revocation.Fines up to $500/day for violations.Hotel Occupancy Tax (HOT):City: 9%, County: 1.75%, State: 6%.Platforms like Airbnb and VRBO will remit directly to the city starting Feb 2025.Platform Obligations:STRs must have valid permits; unpermitted properties will be removed by platforms like Airbnb.Special Exceptions for Density Limits:Require approval by the Board of Adjustment (BOA).Zip Code BreakdownI focused on these 11 zip codes:Under San Antonio Rules:78205, 78204, 78215, 78210, 78212, 78245, 78258Independent Municipalities (Separate Rules):Alamo Heights (78209)Leon Valley (78238)Helotes (78023)Next Steps:Research density caps and zoning in specific zip codes.Dive into independent municipality rules for Alamo Heights, Leon Valley, and Helotes.Evaluate market maturity and income potential using tools like AirDNA.If anyone has experience operating STRs in San Antonio or these specific zip codes, I’d love to hear your insights, especially about density limits, enforcement trends, or community sentiment.Thanks in advance!

Just keep thorough records of your expenses—materials, labor, permits, etc.

All you're doing is finishing space and you should be able to go through normal permitting processes to get that done.