Home / FAQs / I have a property that is in a mixed-use neighborhood that is zoned C-1. Since home and businesses are mixed in the area and the appraiser comments on this, can we do a home loan on the property?

I have a property that is in a mixed-use neighborhood that is zoned C-1. Since home and businesses are mixed in the area and the appraiser comments on this, can we do a home loan on the property?

Since the remaining economic life is a controlling factor, zoning is less of an issue. As long as the appraiser considers the property to have a remaining economic life of at least 30 years, before the change to commercial has touched the point that the highest as well as the best use is no longer residential, it is acceptable to VA. The appraiser should be careful about any harmful effect on the property from the commercial effect, which is not shared by the similar types of properties used in his report.

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