Monthly Archives: July 2014

Common Legal Issues in Residential Rental Real Estate Acquisitions With over 6,000 multi-family units sold in 2013 and three years of uninterrupted occupancy growth, purchasing residential rental real estate in the Indianapolis metro area is as popular as ever.   Nevertheless, the astute buyer should be aware of several legal issues that can arise in these types of transactions and have a competent attorney resolve them prior to closing on the purchase. Survey Issues An ALTA Survey is highly recommended prior to the purchase of residential rental real estate.  An ALTA Survey is a boundary survey prepared to the minimum standards jointly adopted by the American Land Title Association and the American Congress on Survey and Mapping.  An ALTA Survey is often required by Lenders and Title Companies and is a good idea for the buyer regardless of whether it is required by another party due to the comprehensive due diligence involved in its preparation. Some common issues that may be disclosed by an ALTA Survey are: encroachments, easements, gaps & gores, incorrect legal descriptions, set back violations, property access issues, and flood zone issues.  All of these issues can be addressed with the help of a competent attorney. Zoning Issues With Indianapolis’ desire to decrease population density in its urban core, a buyer needs to be cognizant that a property’s proposed use conforms to the zoning ordinance.  For example, did you know that the zoning ordinance defines a two family residence (duplex) as “[a] building designed originally for residential occupancy by two (2) families living independently…