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Zoning Before You Buy · Military Real Estate Rookie Show

• 0:00
  SPEAKER_00: Hello, welcome to the Military Real Estate Ricky Show.
• 0:03
  SPEAKER_00: I'm your host, Rena.
• 0:04
  SPEAKER_00: Today's topic is wait, I can't do that with my property, right?
• 0:09
  SPEAKER_00: Understanding zoning laws before you buy real estate.
• 0:12
  SPEAKER_00: Okay.
• 0:13
  SPEAKER_00: So thank you all for coming and joining my podcast.
• 0:17
  SPEAKER_00: I thank you so much.
• 0:19
  SPEAKER_00: But I want to talk about the zoning laws.
• 0:22
  SPEAKER_00: I get a lot of this from my clients who want to know what they can, you know, build on their property.
• 0:28
  SPEAKER_00: You know, have you ever found a property and thought, oh, this would be perfect for a rental?
• 0:32
  SPEAKER_00: You know, or maybe you looked at a property and thought, I'm going to turn this into an Airbnb, or I'm going to build another house right here.
• 0:39
  SPEAKER_00: Or maybe I'm going to open a house and out of this property, I'm going to do something really good.
• 0:44
  SPEAKER_00: And then somebody say, Did you check the zoning?
• 0:47
  SPEAKER_00: And you're like, what?
• 0:49
  SPEAKER_00: Well, today we're talking about something that can make or break your real estate plans, zoning laws.
• 0:56
  SPEAKER_00: Welcome back to the Military Real Estate Rookie Show.
• 0:58
  SPEAKER_00: I'm your host, Rena, the podcast where we talk about real estate, home ownership, investments, and building wealth.
• 1:05
  SPEAKER_00: And I'm your host.
• 1:07
  SPEAKER_00: And today's episode is especially important if you're thinking about buying and your first home, your investment property, your multifamily land, a property you want to develop, a short-time rental, or property you want to use for a business.
• 1:24
  SPEAKER_00: Because here's today's today's rookie rule: don't fall in love with property before you understand what you're legally allowed to do with it.
• 1:32
  SPEAKER_00: You know, what is zoning?
• 1:34
  SPEAKER_00: Let's start with the basics.
• 1:35
  SPEAKER_00: Zoning is a basic, a set of rules of local rules that determine how land and building can be used and developed.
• 1:44
  SPEAKER_00: Different zoning districts can have different permitting use and development standards.
• 1:49
  SPEAKER_00: That can include things like what type of building you can have, you know, what residential versus commercial you can have, number of units, building height, setbacks, lot coverage, parking, density, accessible structure, and other development requirements.
• 2:10
  SPEAKER_00: For example, the city of Savannah explains that its zoning district identify permitted, prohibited, or conditionally permitted uses, while development standards can regulate setbacks, density, parking, height, and building coverage.
• 2:26
  SPEAKER_00: So when you're looking at a property, don't just ask how much is the house, ask what can I legally do with the property?
• 2:34
  SPEAKER_00: And that's a completely different question, right?
• 2:38
  SPEAKER_00: So rookie mistake number one is I own it, so I can do whatever I want to do with this property.
• 2:44
  SPEAKER_00: No, it does not work like that.
• 2:46
  SPEAKER_00: Owning a property doesn't mean you can automatically use it however you want.
• 2:50
  SPEAKER_00: There can be zoning regulations, building codes, permitting requirements, HOA restrictions, historic district rules, environmental requirements, and other regulations that affect what you can do.
• 3:05
  SPEAKER_00: So if your plan is I'm buying a house and converting it into the garage and another apartment, so and so, and don't assume check, you know, check the plans.
• 3:16
  SPEAKER_00: I'm going to build another house on this lot.
• 3:18
  SPEAKER_00: Don't assume check your plan.
• 3:21
  SPEAKER_00: I'm going to run my business from this property.
• 3:24
  SPEAKER_00: Don't assume check the hoa.
• 3:26
  SPEAKER_00: You know, residential property doesn't always mean the same thing.
• 3:30
  SPEAKER_00: This is another big one.
• 3:32
  SPEAKER_00: Residence, but that tells doesn't tell you everything you need to know.
• 3:36
  SPEAKER_00: It just says residential, right?
• 3:38
  SPEAKER_00: One residential zoning district may allow certain types of housing while another may have different restrictions.
• 3:46
  SPEAKER_00: And zoning can determine whether a property is intended for single use, two-family, multifamily, certain accessory uses, and permitted residential uses.
• 3:58
  SPEAKER_00: The specific zoning district matters.
• 4:02
  SPEAKER_00: What if I want to bill?
• 4:03
  SPEAKER_00: That is another question that most property owners want to know.
• 4:07
  SPEAKER_00: You know, you find a vacant lot, you think I'm going to build a duplex right there.
• 4:12
  SPEAKER_00: Sounds good, right?
• 4:13
  SPEAKER_00: But before you start calling contractors, you need to determine is this allowed?
• 4:19
  SPEAKER_00: And even if it's allowed, there may be requirements regarding, you know, lot size, setbacks, parking, building heights, density, lot coverage, access, utility, stormwater, etc.
• 4:34
  SPEAKER_00: Or it may be just a you think it's residential, it might just be commercial.
• 4:38
  SPEAKER_00: I had one this morning, the price was very low.
• 4:42
  SPEAKER_00: But the my client wanted a residential land, but finds out we call the the zoning department.
• 4:49
  SPEAKER_00: Guess what?
• 4:50
  SPEAKER_00: It's zoned for commercial.
• 4:52
  SPEAKER_00: So you have to make sure that it's zoned properly, and that's why investors need to do their homework before purchasing the land.
• 5:01
  SPEAKER_00: Now, what about a investment property?
• 5:03
  SPEAKER_00: Like I said, this is where zoning becomes really important.
• 5:08
  SPEAKER_00: Let's say you want to buy a property as a rental.
• 5:12
  SPEAKER_00: You might think the numbers work, but does the intended rental use comply with the zoning and local regulations?
• 5:21
  SPEAKER_00: Hmm, that's something you need to verify.
• 5:23
  SPEAKER_00: And if you're thinking about a short-term rental, don't just assume it's a house, so I can Airbnb it.
• 5:31
  SPEAKER_00: No, you need to check with the zoning department at the county or the city.
• 5:37
  SPEAKER_00: So short-term rental regulations can have additional requirements and depending on the jurisdiction.
• 5:42
  SPEAKER_00: Like I said, in property location, you need to call and verify.
• 5:47
  SPEAKER_00: For example, Savannah has a short-term vacation rental regulation and overlay system that affect where those regulations apply.
• 5:58
  SPEAKER_00: So your investment strategy has to work legally, not just financially.
• 6:04
  SPEAKER_00: So you need to call to double check on what are the rules and what are the regulations that you're trying to accomplish.
• 6:13
  SPEAKER_00: So what about adding an ADU?
• 6:16
  SPEAKER_00: Let's talk about it.
• 6:17
  SPEAKER_00: What is a ADU's additional drilling unit, right?
• 6:21
  SPEAKER_00: Let's talk about something that a lot of people are interested and could make you know a lot of money when you're thinking about you know building multifamilies.
• 6:30
  SPEAKER_00: Maybe you think about I'll buy a house and put a little apartment in the backyard.
• 6:34
  SPEAKER_00: You know, maybe a great idea.
• 6:36
  SPEAKER_00: But before you spend the money, you need to find out if you can build an ADU on that particular property.
• 6:44
  SPEAKER_00: And if it's allowed, you ask, what's the requirements?
• 6:47
  SPEAKER_00: What size?
• 6:48
  SPEAKER_00: Can it be located?
• 6:50
  SPEAKER_00: What's the setback apply?
• 6:52
  SPEAKER_00: What apartment, what parking requirements are allowed, what are the permitting requirements?
• 6:57
  SPEAKER_00: You need to check before you buy, you know.
• 7:00
  SPEAKER_00: So we want you to make sure that you're educated on things because as I go through the real estate of my life and helping my clients, I run into this all the time.
• 7:12
  SPEAKER_00: So what if I want to run a business?
• 7:15
  SPEAKER_00: Hmm, here's another scenario.
• 7:18
  SPEAKER_00: You find a property, it's beautiful, it's a great location.
• 7:22
  SPEAKER_00: You think I want to run my business out here.
• 7:24
  SPEAKER_00: But the fact that you can physically operate your business there doesn't necessarily mean that the zoning permits that use.
• 7:30
  SPEAKER_00: You may need to verify the property zoning district and whether your proposed business is permitted use or required additional approval.
• 7:38
  SPEAKER_00: And there's also costs along with that, right?
• 7:41
  SPEAKER_00: Whether it's a you're renting by the rooms or you're renting just just for the no, you're just renting, you rented it out, you know.
• 7:50
  SPEAKER_00: So you need to check with the city and the county.
• 7:52
  SPEAKER_00: Savannah provides a process for business locations, approval, and zoning information requests.
• 7:59
  SPEAKER_00: So before signing a contract for a property intended for business, you need to verify the use.
• 8:07
  SPEAKER_00: Okay, and how do you check the zoning?
• 8:10
  SPEAKER_00: Here's some practical part.
• 8:12
  SPEAKER_00: How do you actually find out?
• 8:14
  SPEAKER_00: Start with the property address where it's available, the parcel ID, and for the properties in Savannah, this the city provides a zoning map through the Savannah area GIS system, and where you can search by address.
• 8:30
  SPEAKER_00: And usually your realtor is providing this education for you.
• 8:36
  SPEAKER_00: So you don't have to do it yourself.
• 8:37
  SPEAKER_00: So, but if you want to be self-educated, you know, you this is how you identify the zoning district.
• 8:44
  SPEAKER_00: Then you need to look at the regulation to that zoning district.
• 8:47
  SPEAKER_00: And here's an important point finding zoning district is only step one.
• 8:52
  SPEAKER_00: You still need to determine whether you intend use, your intended use is usually permitted, and whether additional conditions may apply.
• 9:02
  SPEAKER_00: Zoning is not the only thing.
• 9:04
  SPEAKER_00: This is where I want you guys to slow down.
• 9:07
  SPEAKER_00: Just because zoning allows something doesn't necessarily mean you're done.
• 9:12
  SPEAKER_00: You may have also HOA restrictions, building codes, permits, historical districts, uh, flooding regulations, environment regulations, parking, utility, all it's just a lot, local licensing requirements.
• 9:28
  SPEAKER_00: So if you're buying an investment property, you need to look at the whole picture and not just say, hey, zoning said I could do it and I'm doing it.
• 9:37
  SPEAKER_00: No, you need to look at those things I just just listed off.
• 9:41
  SPEAKER_00: Now, my military investors, PCS can moves can create some interesting real estate opportunities.
• 9:48
  SPEAKER_00: Maybe you bought a house with the intention to keep it when you move.
• 9:51
  SPEAKER_00: Maybe you're thinking I'll turn my current home into a rental.
• 9:54
  SPEAKER_00: It sounds really good.
• 9:56
  SPEAKER_00: That's something you need to plan for to before the PCS orders come.
• 10:00
  SPEAKER_00: If you know that this is your year to, you know, move to another duty station.
• 10:04
  SPEAKER_00: Ask is the rental use allowed.
• 10:06
  SPEAKER_00: Call the city, call the county.
• 10:08
  SPEAKER_00: Are there local restrictions?
• 10:10
  SPEAKER_00: Ask if there's HOA restriction.
• 10:13
  SPEAKER_00: You need to talk to your HOA about this because they also play a part in this as well.
• 10:19
  SPEAKER_00: What insurance will I need?
• 10:21
  SPEAKER_00: What will property management cost?
• 10:23
  SPEAKER_00: Does the rental strategy still make sense?
• 10:26
  SPEAKER_00: Because being a part of the rent department is not the same as saying my mortgage paid because I have tenants.
• 10:33
  SPEAKER_00: So you just need to make sure that you have all your ducks in real before you say, okay, I'm going to rent this.
• 10:40
  SPEAKER_00: You still have expenses.
• 10:41
  SPEAKER_00: The biggest rookie mistakes that I've seen is here what I want you to remember.
• 10:46
  SPEAKER_00: Do not rely solely on listing descriptions.
• 10:49
  SPEAKER_00: The listing might say great investment, good opportunity.
• 10:53
  SPEAKER_00: That's fine.
• 10:54
  SPEAKER_00: But you need to verify the facts that the matter in your investment plan.
• 10:58
  SPEAKER_00: Don't assume because another house on the street has an apartment, Airbnb, detached structure, etc., your property automatically allows the same thing.
• 11:08
  SPEAKER_00: No, don't assume it.
• 11:10
  SPEAKER_00: Different properties have different zoning overlays, restrictions, circumstances.
• 11:16
  SPEAKER_00: Okay.
• 11:17
  SPEAKER_00: Five questions to ask before you buy.
• 11:20
  SPEAKER_00: Number one, what is the property's zoning, you know, district?
• 11:26
  SPEAKER_00: Call them up.
• 11:27
  SPEAKER_00: And when you call them, what users are permitted in the zoning in this area?
• 11:32
  SPEAKER_00: And let them know what your intended conditions that you want to do.
• 11:36
  SPEAKER_00: What's your intended use of this?
• 11:38
  SPEAKER_00: And there are additional permits, approvals, or conditions.
• 11:41
  SPEAKER_00: Ask them that.
• 11:42
  SPEAKER_00: And are you know, ask the HOA and figure out what who to contact with the historic plans and use flood or restrictions.
• 11:51
  SPEAKER_00: You know, if you don't know these answers, don't guess.
• 11:54
  SPEAKER_00: You need to call the appropriate local government offices, qualified professionals.
• 12:01
  SPEAKER_00: So, investment challenge for you.
• 12:04
  SPEAKER_00: Find a property online, don't buy it.
• 12:06
  SPEAKER_00: Don't call the seller, don't fall in love with the kitchen, don't start picking out paint.
• 12:12
  SPEAKER_00: Instead, look up the zoning.
• 12:13
  SPEAKER_00: It's really free of, you know, just look up the zoning.
• 12:17
  SPEAKER_00: Find out the zoning district, permitting, development standards.
• 12:21
  SPEAKER_00: Then ask, does the property astral work for the investment strategy?
• 12:25
  SPEAKER_00: Then how you start thinking like an investor, you know.
• 12:28
  SPEAKER_00: So before you get into a purchase and you've already decided you like the property, just go on ZillowRealder.com, pick a property and call.
• 12:38
  SPEAKER_00: You know, if you know that you want to, you're interested in a certain area.
• 12:42
  SPEAKER_00: Here's today's military real estate rookie rule: never buy based on what you think you can buy, you know, because buy based on what you verify.
• 12:52
  SPEAKER_00: And that is a really good, right?
• 12:56
  SPEAKER_00: So the property might be beautiful and it might be price right.
• 13:01
  SPEAKER_00: It might be, I'll say the numbers look good, and your tender use is great.
• 13:07
  SPEAKER_00: You could have all like you could have a very, you could have a very expensive problem if you do not call to verify.
• 13:15
  SPEAKER_00: So I will like for you, and if you're listening, do this.
• 13:21
  SPEAKER_00: Rena, I have no idea how to figure all of this out, and that's okay.
• 13:26
  SPEAKER_00: That's fine.
• 13:28
  SPEAKER_00: That's one of the reasons you work with a real estate professional who can walk you through the process.
• 13:35
  SPEAKER_00: And guys, if you're buying and selling in Georgia or Florida, I love to help you.
• 13:40
  SPEAKER_00: I help to navigate the real estate side of the transaction.
• 13:43
  SPEAKER_00: You know, whether you are first-time buyer, a veteran, an active duty, an investment person, or just a regular seller or looking for your next investment property, I am here to help you.
• 13:54
  SPEAKER_00: Let's talk about your goals.
• 13:56
  SPEAKER_00: And if you're outside of Georgia and Florida, that's really okay.
• 13:59
  SPEAKER_00: Reach out to me anyway, Reno Barron Real Estate on Instagram.
• 14:04
  SPEAKER_00: I may be able to connect you with a real estate professional in my network who serves the area and who also is an educator.
• 14:12
  SPEAKER_00: You don't have to figure out everything by yourself.
• 14:15
  SPEAKER_00: We are here to help you.
• 14:17
  SPEAKER_00: So start with this conversation.
• 14:19
  SPEAKER_00: And if today's episode helped you understand zoning a little better, follow me on Military Real Estate Rookie show Arena Baron Real Estate at on Instagram, or you can leave me an email at rena barren realestate at gmail.com.
• 14:38
  SPEAKER_00: Leave me a review, share this episode, and send me the episode and send this episode to somebody who's looking at a property and saying, I can make so much money with this, but little do they know they haven't checked that zoning.
• 14:52
  SPEAKER_00: You know, real estate is not just finding a property, it's about understanding the property, understanding location, understanding the numbers, understanding the financing.
• 15:03
  SPEAKER_00: And yes, understanding the zoning.
• 15:07
  SPEAKER_00: I'm Rena Baron, your host of Military Real Estate Ricky Show.
• 15:11
  SPEAKER_00: And if you're ready to buy or sell or invest in Georgia or Florida or anywhere in the country, reach out to me.
• 15:18
  SPEAKER_00: And if you're somewhere else, reach out anyway.
• 15:21
  SPEAKER_00: I can help you connect you with realtors in my network who is very well educated educating you.
• 15:28
  SPEAKER_00: Thank you for listening.
• 15:28
  SPEAKER_00: Follow the podcast, share the episode, and remember don't just buy real estate.
• 15:34
  SPEAKER_00: Understand the real estate.
• 15:36
  SPEAKER_00: I'll see you on the next episode.
• 15:38
  SPEAKER_00: Military Real Estate Rookie Out.