How Real Estate Zoning Can Impact Your Buying Decision

by Michael Pellegrini 03/07/2021

Image by fancycrave1 from Pixabay

Most home shoppers do not think about how the property they are considering is zoned. However, depending on certain circumstances, it may prove beneficial to check into zoning restrictions before you purchase a home. First, some homes are built in areas where there is mixed zoning — residential and commercial — which could cause problems when you are searching for a home mortgage. Your real estate agent is obligated to inform you of any special zoning of a property you are considering.

Work from Home Zoning Requirements

Some municipalities have specific requirements for home office work. While those who work from home doing computer coding, telemarketing, or data entry may not have clients or other people coming in and out of their home during business hours, it is still important to verify with the city or town that local business licensing requirements are met.

Other types of businesses that work directly with customers such as pet grooming, hairdressers, nail technicians, or day care providers should make sure their physical location is zoned appropriately. In some cities and towns, having a home business that involves customers come to your house can run afoul of zoning rules. Since your business may create additional traffic, it is something you should consider before you sign a purchase and sale agreement.

Mixed Zoning May Increase Taxes

As a buyer, you should also be aware of how zoning laws impact your taxes. For example, most municipalities have different tax rates for property which is zoned residential and commercial, others may have a different rate for property which is classified as mixed. In nearly all cases, property with a commercial zoning classification means higher taxes. Keep in mind, it is not unusual to find multi-family homes built in commercial or mixed zone areas.

Buyers should be aware there are some municipalities with zoning requirements that can impact their ability to have certain outbuildings on their property including sheds, barns, and decks. Your real estate agent should be able to answer any zoning questions you have and help you determine if they will have an impact on your ability to get financing or use the property in the manner you intend.

About the Author
Author

Michael Pellegrini

As a Real Estate Professional my number one goal is to provide exceptional service that leaves my clients happily satisfied. I do this with my commitment to helping you buy or sell your home with the highest level of expertise in your local market. This also means helping you understand each step of the buying or selling process. I do not sell houses, I simply guide my clients through a predetermined series of events to ensure a smooth stress free Real Estate experience. You can count on me to always do what's in your best interest, as I pride myself on being honest, trustworthy, and knowledgeable in the Real Estate market. I understand how important it is to get the best offer for your property, therefore I make it my responsibility to help you achieve these goals. Whether you are buying or selling your primary residence, a second home, investor property, a first time buyer, or just relocating to a new neighborhood, I can help make your home-ownership dreams come true. (First Time Buyer Specialist) (Certified Probate & Trust Specialist)

"A Trusted Name in Sonoma County Real Estate."