City Owned Residential Property

Schenectady’s Procedure for the Sale of City-Owned Property

Buying a house can sometimes seem confusing. Below is a brief explanation of how the home buying process works through the City and/or SURA*

All available structures that are owned by the City and/or SURA must be listed on the Multiple Listing Service (MLS - www.mls.com) for a minimum of ten (10) calendar days prior to any offers being accepted.

After the ten (10) calendar days, offers are then accepted from the listing agent or any NYS Licensed Real Estate Agent and presented to the Property Management Committee.

The accepted offer approved by the Property Management Committee, will then be submitted to the Claims Committee for approval. No offers can be made or accepted after the contract is presented to the Council Committee Meeting for consideration.  

If approval is obtained from the Claims Committee, the offer is then submitted to the City Council for approval. Once an offer is approved by City Council, all resolutions must then be executed and approved prior to scheduling a closing.  

After the completion of the above processes, the purchaser’s counsel may contact the Office of Corporation Counsel to schedule a closing.

 THE CLOSING AND AFTER:

 The City’s Owner-Occupancy Program Requires: 

1. Owner occupant buyers to execute a non-payable Note and Mortgage and a Use Agreement

2. The listing agent to return any City-owned locks and lock keys for that particular listed structure, or a charge may be incurred to the agent.

3. Purchasers shall pull all permits within thirty (30) days or the City may recapture the property. The City will do periodic checks on the property.

4. The structure be brought up to code within one (1) year. The City will do periodic checks on the property. 

5. Owner-occupant buyers to occupy the property for five (5) years after purchase or the City may recapture the property. The City will do periodic checks on the property. 

If you are unable to meet the above provided time frames, you must submit in writing (prior to any deadlines) to the Corporation Counsel a written request for any extension and the reason why the extension is being requested.

 INVESTORS: 

Investment Buyers must execute a use agreement.

Approved investors will have thirty (30) days to pull all permits and six (6 months) to bring the parcel up to code. The City will do periodic checks on the property. 

If investors are unable to meet the above provided time frames, investors must submit in writing (prior to any deadlines) to the Corporation Counsel a request for any extension and the reason why the extension is being requested.

* These are general guidelines which will be followed; However the City acknowledges that there are unique facts and circumstances to each sale and sometimes it may be necessary to deviate from these procedures. No sales are final until after Council approval and a closing occurs, and the City reserves the right to deviate from these guidelines on a case-by-case basis at its sole discretion with Council consent.*

 List of City and/or SURA Owned Structures (updated monthly)

CONTACT THE LISTING AGENT OR ANY NYS LISCENSED REAL ESTATE AGENT.

Property structures owned by the City and/or SURA but not yet on this list, are NOT available for sale. Please check back monthly for availability.

 MAKE AN OFFER ON STRUCTURES:

Offers through a real estate agent should be made on standard MLS documents. All potential purchasers must demonstrate financial ability to purchase the property and bring it up to code before any offer is presented as described above.

To demonstrate financial ability to purchase, the potential purchasers must present documentation sufficient to satisfy the City. The following are examples of documentation which may be requested:   

• Purchase Offer Form
• Prior year tax returns 
• Two (2) most recent savings and checking account statements 
• Two (2) most recent paystubs    
• Any other additional income verification information

In addition to financial ability, all prospective buyers will be cross referenced with the City of Schenectady’s Bureau of Code Enforcement and Bureau of Receipts to determine whether or not the prospective buyer is up to date on their taxes and/or has outstanding code violations. In addition, the City of Schenectady will check the purchaser for outstanding liens, judgments, bankruptcies and other pertinent information.   
 
Proposals are considered for value of the offer, financial ability, history of the owner relating to taxes and code issues. The City Property Management Committee considers offers and then forwards a recommendation to the City Council.  The City Council then considers whether to authorize the Mayor to enter into the agreement. 

 The City’s Owner Occupancy Program 

Requires purchasers pay flat rate permit fee of $500.00 for single and two-family homes at closing, pull all permits within thirty (30) days or the City will recapture the property.

Requires the structure be brought up to code within one (1) year. The City will do periodic checks on the property. 

The City’s Owner Occupancy Program requires owner occupant buyers to occupy the property for five (5) years after purchase or the City may recapture the property. The City will do periodic checks on the property. 

If you are unable to meet the above provided time frames, you must submit in writing (prior to the deadlines) to the Corporation Counsel, a request for any extension and the reason why the extension is being requested.


 APPROVED INVESTORS: 

Approved investors will have thirty (30) days to pull all permits and six (6 months) to bring the parcel up to code. The City will do periodic checks on the property. 

* These are general guidelines which will be followed; However the City acknowledges that there are unique facts and circumstances to each sale and sometimes it may be necessary to deviate from these procedures. No sales are final until after Council approval and a closing occurs, and the City reserves the right to deviate from these guidelines on a case-by-case basis at its sole discretion with Council consent.*


Vacant Lots:
For information on vacant lots, including property lists and applications please click on "City Owned Vacant Lots" on the left hand side of the page.