Profile picture for samsung1071

I just found out that a bathroom and attic work done without Permit (1 month to closing).

Hello-

We signed our P&S last month. We are due to close next month on a townhouse. We wanted to remodel a few things so i called a few contractors to take a look at the house. One of them asked for the original plans and it looks like one of bathroom has had work done (it was a powder room and now it has a shower installed) and the attic has been fully finished. When my agent asked for the Permit history, no permits have been issued since it was sold to the current owner (she is the only owner of the house).

While both the bathroom and attic look good, i am scared when i go to sell it, i will have a problem. What should i do? Can i even get out of this deal now? My inspection was done a week ago and we are all set to go ahead. This did not come during my inspection. I have already paid about 25K during P&S. Initially i was only worried about the bathroom but i think the whole attic being finished without a permit might be an issue as well?

Any advice will be greatly appreciated.
  • June 16 2012 - Boston
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Answers (6)

Profile picture for samsung1071
This is what it states on my P&S -

"Buyer has performed all inspections of the premises, and is satisfied with same.
Buyer understands that the premises are being purchased "as is" (as of the date of Buyer's home
inspection, if any) and Seller makes no warranties regarding the condition of the premises. The
provisions of this paragraph shall survive the delivery of the deed."

The seller never disclosed that the work was not done with Permits.
  • June 19 2012
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Profile picture for wetdawgs
When you sell, the next buyer may ask you to pull the permits and get them signed off before they move forward.  So, yes, it is quite possible it would be a pain in the future.

Therefore, either get it resolved now or move on to another property.
  • June 16 2012
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Profile picture for samsung1071
Yes - the appraisal has been done.
We do have an inspection contingency. I called my lawyer and she said as this was not disclosed before i can back out.

I am newbie when it comes to home buying. Even if i agreed to go ahead with this, when i go to sell this, would i not have problems? Just because its been done to code doesnt mean i would not be fined for work that have no permits ?

Thanks
  • June 16 2012
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Profile picture for shapiroamg
Has the appraisal been completed yet?
  • June 16 2012
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Profile picture for wetdawgs
Did you have an inspection contingency?   If so, make it clear that you aren't moving forward until the previous owner can pull permits and get them signed off.
  • June 16 2012
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As long as the work is up to code, you should be okay. Many home-owners skip pulling a permit on getting work done, because of the extra expense and "headache". It doesn't mean the work wasn't done by a licensed professional. I assume you've had an inspector look at things and he didn't come up with any issues related to the attic or bathroom? If you're still worried, get an electrician and a plumber into the place to take a closer look.
  • June 16 2012
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