Value Added: Tax Records, Land Records, and Zoning Maps.

At Lawyers Realty Group, we pride ourselves on exhausting all available resources that may potentially benefit our clients, and that includes examining tax records, land records, and zoning maps for information that may prove valuable for our clients. To the best of our knowledge, other brokerages don’t do this, and it sometimes gives our clients a decided advantage. How? Below are just a few examples of the types of value added services that clients of Lawyers Realty Group enjoy.

At Lawyers Realty Group, we examine the tax bills associated with each and every property that we write a contract on. Tax bills give more information than just taxes. They can contain facts about water liens, whether the property is owner occupied, and tax classifications to name just a few. The following example illustrates the type of valuable information that can be gleaned from a tax bill. If a property in the District of Columbia is in rough shape and unoccupied, the government will tax the property at a much higher rate (Class 3, vacant); however, there are exceptions to the rule that allow for a temporary suspension of the Class 3 rate. If a contract is written on a property with a class 3 exemption that expires right before settlement with a seemingly normal tax bill, pro-rating taxes could be a huge financial swing for both the buyer and the seller. To further illustrate, a residential property assessed at $500,000 has an annual tax bill of $4,250. If, instead, the property is classified at the class 3 rate, the annual tax bill is $25,000! I’ve had this scenario happen more than once, and both times I included language in the contract that shifted the extra expense to the seller. Don’t let something like this throw a wrench in your transaction. Be PROACTIVE and check the tax bill. Better yet, have us perform this value-added service for you.

Land records are another great tool that can be used to gain valuable insight about a property. They can show how the property is owned, whether there are any loans or liens on the property, as well as anything else that might be filed in the Register’s Office. I had one client that absolutely loved a house on a seemingly quiet block in DC. Before we made our offer, I did a quick search of the land records. Oddly, the property had numerous Lis Pendens liens (someone other than the owner claiming an interest in the property) filed and released. A closer examination revealed that they were all filed by the adjacent neighbor for petty disputes. My client loved the house, but decided to NOT make an offer. The potential for having a terrible next door neighbor wasn’t worth the risk to my client. I couldn’t have agreed more. There are a lot of properties that aren’t worth the risk with issues that can be discovered by a thorough search of the land records. Opt to use an agent that doesn’t know how to properly search or interpret land records, and that’s one risk we won’t be able to help you with.

Zoning classifications are also a very important aspect of any property. When I search for properties, I search for all property types, not just residential. I include vacant land, as well as commercial and multi-unit properties. I once had a client looking to buy in Georgetown. A commercial listing came up for a row-house that, at the time, was being used as an office. The location and the price were fantastic. I checked the zoning map, and the property (as well as the entire block) could be used for residential purposes as well! Not only did my client buy at a great price since everyone else was ignoring the property, but I was also able to get the property re-classified to residential and the business improvement tax removed. These value added services lowered my client’s tax bill by a substantial
amount, and as an added bonus, he received street cleaning paid for by local businesses at no cost to
him. It was a win-win all the way around.

So if you are interviewing agents, ask them about these sorts of value added services. They matter, and
too few agents, if any, actually take the time to perform these services. We check all available
information, and thanks to our years of real estate experience and extensive legal training, we actually
know how to interpret the results. And when you’re ready……Buy Smart. Live Well.