DC Condo Conversions
Thinking of investing in real estate? Whether you are beginning or are a seasoned developer, learn why Smart Settlements is the right choice for your investments.
The DC Condo Conversion Guide
Let's first determine Exemption or Election.
01
The property owner files a Request for Vacancy Exemption with the DCRA.
02
The owner applies for a new Certificate of Occupancy.
03
No Conversion Fee is due.
04
The owner submits an Application for Registration with the DCRA. Fees are due upon filing.
01
The property owner files a Request for Tenant Election to Convert and delivers notice to tenants (in both English and Spanish).
02
From date of notice, tenants may establish Tenant Organization within 30 days; the election must be conducted within 60 days. If no election is held, the owner may convert the property without further notice to tenants.
03
A Conversion Fee of 5% of the sales price of each unit will be paid when the deeds are recorded.
04
The owner submits an Application for Registration with the DCRA. Fees are due upon filing.
Lot Zoning
Is the property designated as an 800 Series lot by the DC Office of Tax and Revenue?
01
The owner files a Request for Subdivision with the DC Office of the Surveyor.
02
The plat is signed by the property owner and all trustees listed on the Deed of Trust. If the property owner is a corporation, the plat is signed by 2 officers designated by the charter to act for the corporation. The owner also prepays all taxes due through the next tax period.
03
The request is reviewed by the DC Office of Tax and Revenue, the DCRA Zoning Administrator, and the DC Office of the Surveyor. Upon approval, the Subdivision Plat is recorded.
01
The owner obtains a Commitment Letter from their lender/source of capital or Proof of Funds if the owner is using their own capital.
02
The owner provides a list of all subcontractors and vendors involved in the conversion.
03
The Owner files the Application for Registration with DCRA. The application is subject to a 60 day review period.
FAQs
If you're an investor or are thinking of investing and/or developing real estate continue reading our most frequently asked questions.
Not only is Smart Settlements a fully-licensed title company in the Capital Region and South Florida, Smart has closed over 25,000+ real estate transactions including a long list of investment properties. Here are a few reasons you should use Smart Settlements for your investments:
Fast and efficient closings.
Legal expertise in clearing complicated title issues.
Experienced in closing highly distressed properties.
TOPA experts ready to give extensive guidance.
Streamlined and secure technology throughout the closing process.
Experienced in creative financing.
Custom loan document preparation available from in-house legal team.
Smart Settlements uses an array of resources and tools for developers, here are just a few tools that our investors can take advantage of:
Preliminary title search available for complicated transaction.
Network of private lenders available.
Network of highly skilled Realtors for off-market deals.
Absolutely. Although we can take care of the filing and submission of FIRTPA for you, it is important that you understand what the Foreign Investment Real Property Tax Act (FIRPTA) is and when it applies to a real estate transaction. You can always contact one of our experts to get answers to some of the most frequently asked questions regarding FIRPTA.
Questions? We have answers. Contact us to speak to an expert.
