Jeff Dowler, CRS, The Southern California Relocation Dude (eXp Realty of California, Inc.)

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Bob Crane
Woodland Management Service / Woodland Real Estate, EXP - Stevens Point, WI
Forestland Experts! 715-204-9671

Have not had that issue here, but the city folks are getting tougher every day.

May 26, 2017 07:49 AM
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Barbara Todaro
RE/MAX Executive Realty - Happily Retired - Franklin, MA
Previously Affiliated with The Todaro Team

yes.... usually basements in our area.... and the seller gets a slap on the wrist, fined and pulls a permit for triple the fee.... and then inspected...

May 26, 2017 07:47 AM
Rainmaker
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Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

It comes up more often than people realize. I've had to negotiate after-the-fact permits be obtained by sellers more than once for my buyers.

May 26, 2017 08:04 AM
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Bob "RealMan" Timm
Ward County Notary Services - Minot, ND
Owner of Ward Co Notary Services retired RE Broker

It has not yet for me in my 15 years here in Minot ND or in my previous life in Moorhead MN Jeff Dowler .

May 26, 2017 08:07 AM
Rainmaker
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Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

Yes.  I have had listings and represented buyers where there has been un-permitted space.   Often it is property specific -- what you see is not what is reflected in the public records.   In some of our older properties, it can be common to find discrepancies.

Additionally, it can depend on the type of buyer financing and the lender. The workmanship of the "addition" can also come into play.  

An upfront discussion with the lender can sometimes resolve issues.   

Good luck -- some of these situations are easier to resolve than others.  

May 27, 2017 04:39 AM
Rainer
86,514
Mike Kelly,CRS,CIPS
The MJKelly Team - Santa Rosa, CA
"One of Sonoma County's Natural Resources"

I had a seller tell me, 2 days before closing, that he'd built the house entirely without permits! He was a noted contractor/builder in the area. We had to quickly order a "survey permit" from a county inspector to make sure he'd done it up to code. It passed but I was sweating bulletts then--one of my first deals way back in 1978. But it is very common in our area. We have a resort area on the Russian River and many of those homes where NEVER built with permits. No records were kept then either.

May 26, 2017 09:05 PM
Rainmaker
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William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

I pointed this out to an appraiser that didn't include the adition.  All I got wa a so what!

May 26, 2017 08:44 PM
Rainmaker
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Jennifer Mackay
Counts Real Estate Group, Inc. - Panama City, FL
Your Bay County Florida Realtor 850.774.6582

Yes, actually just occured  - made appraisal without the addition

May 26, 2017 07:14 PM
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Dorie Dillard Austin TX
Coldwell Banker Realty ~ 512.750.6899 - Austin, TX
NW Austin ~ Canyon Creek and Spicewood/Balcones

We can now go online at the City of Austin to see about any permits that were or not taken before we write the offer. Always include closing out or getting a permit for items you see.

May 26, 2017 04:20 PM
Rainmaker
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Kasey & John Boles
Jon Gosche Real Estate, LLC - BoiseMeridianRealEstate.com - Boise, ID
Boise & Meridian, ID Ada/Canyon/Gem/Boise Counties

Lots of unpermitted stuff.  Even decks are supposed to be permitted but people don't even know they are suppose to be.   Sometimes the current owner doesn't even know.  Appraisers don't seem to check and neither does the assessor apparently so it doesn't usually come up as a problem unless the buyer really cares, requests them and then they have to be pulled after-the-fact.  I can't remember it ever affecting an appraisal and having to be deal with it though....how hard is it to get after the fact permits in your area? -Kasey

May 26, 2017 02:05 PM
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Fred Griffin Florida Real Estate
Fred Griffin Real Estate - Tallahassee, FL
Licensed Florida Real Estate Broker

   Yes.

      Not an addition, but recently an unpermitted driveway from the back of the house to the street behind the house.  The Seller made application to the City, they paid a fee of $500 and were granted the permit after-the-fact.

    I once had a "lean-to" torn down from the side of a house, and I have had at least two enclosed garages "put back" by re-installing a garage door.  

May 26, 2017 01:35 PM
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Joe Pryor
The Virtual Real Estate Team - Oklahoma City, OK
REALTOR® - Oklahoma Investment Properties

Not an addtion but a pool without a permit and it violated city codes. Got it worked out but they could have demanded removal.

May 26, 2017 12:06 PM
Rainmaker
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Marco Giancola
Beachfront Realty - Miami Beach, FL
Realtor (305)608-1922, Miami Beach Florida

Yes it does. We have a lot of folks that turn their garages into a bedroom and put in a bathroom. No fly zone!

May 26, 2017 10:37 AM
Rainmaker
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Diana White-Pettis
Bennett Realty Solutions - Upper Marlboro, MD
GRI, CDPE, CNE, WHC Upper Marlboro Homes for Sale

I have not had that issue come up yet.

May 26, 2017 08:46 AM
Rainmaker
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Lyn Sims
Schaumburg, IL
Real Estate Agent Retired

How would the appraiser know? In my area they do not check. I do not check either but I'm sure that title has passed with some sort of code violation. No one here gets permits when they get a water heater replaced & they should.

May 26, 2017 08:19 AM
Rainmaker
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Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Jeff,

It depends on the city jursidiction and how they view it.  A

May 26, 2017 08:04 AM
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Roy Kelley
Retired - Gaithersburg, MD

I have not experienced this issue.

May 27, 2017 04:02 AM
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Praful Thakkar
LAER Realty Partners - Andover, MA
Andover, MA: Andover Luxury Homes For Sale

Jeff Dowler -  sometimes this can happen!

May 26, 2017 10:29 PM
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Debe Maxwell, CRS
www.iCharlotteHomes.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310 - Charlotte, NC
The right Charlotte REALTOR!

Never during the appriasl but, during the Due Diligence period when we're uncovering & discovering. It's not an easy fix all of the time, Jeff Dowler. I've had walls that had to be torn out to re-inspect (or FIRST-inspect!) electrical and plumbing that a seller did on his own. HVAC units that simply had to pay to have the inspector come out to document that a county inspector had inspected them also. 

May 26, 2017 09:40 PM
Rainmaker
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Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

Some time it is a problem

 

May 26, 2017 06:23 PM
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Debbie Reynolds, C21 Platinum Properties
Platinum Properties- (931)771-9070 - Clarksville, TN
The Dedicated Clarksville TN Realtor-(931)320-6730

I have not had that happen, yeat the appraisal process. At listing, sellers are asked if they pulled proper permits for any additions. This is when it is addressed. This is when corrections, inspections, permit fees can be completed.

May 26, 2017 06:17 PM
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Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate

I have not had that come up yet as an issue Jeff Dowler and we have a lot of it in my area. 

May 26, 2017 04:10 PM
Rainmaker
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Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

Most excellent question Jeff...Lets find out

May 26, 2017 09:50 AM
Rainmaker
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Annette Lawrence , Palm Harbor, FL 727-420-4041
ReMax Realtec Group - Palm Harbor, FL
Making FLORIDA Real Estate EZ

Of course.

However, such space is disclosed and will be an integral part of the accepted purchase offer.

It is addressed by advising the buyer that space can disappear, but if that happens the buyer is still buying at the negotiated price.

May 26, 2017 08:46 AM
Rainmaker
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Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

Yes, especially in older homes!

May 26, 2017 08:05 AM
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Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Have not experienced this yet.

May 29, 2017 04:05 PM
Rainmaker
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Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

It comes up as an issue when the appraiser can't consider it as part of the square footage because it didn't have a permit.  That doesn't happen too often unless there is some obvious reason why it wouldn't be to permit.

 

If I suspect any additions were done, I ask about permits and let the sellers know it could be an issue when I'm signing them up.

May 28, 2017 03:09 PM
Rainmaker
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Elizabeth Weintraub Sacramento Broker
Elizabeth Anne Weintraub, Broker - Sacramento, CA
Put 40 years of experience to work for you

All the time, Jeff. It's the bane of my existence. Sellers who bought the home that way do not understand that government regulations have changed since then, and lenders are much more strict.

We have 3 basic choices. Suck it up and lower the price because it appraises at the square footage noted in the tax rolls. Get a permit after the fact (which cost one seller $8,000 and they had to open the wall). Hope there are other homes with the same addition w/o a permit that maybe or maybe not the appraiser will find and use, which is doubtful.

May 27, 2017 05:34 PM
Rainmaker
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Thomas J. Nelson, REALTOR ® e-Pro CRS RCS-D Vets
Big Block Realty 858.232.8722 - La Jolla, CA
& Host of Postcards From Success Podcast

Yes.

We've had TDS disclosures, to written addendums accepting it as-is, to sellers being required to have the city review and hand out solutions to get permits. Over the years I've seen it all, but often in a market like this, buyers adopt the issue for want of the house and extra sq.ft. and accept the risk...but we document this. 

May 27, 2017 11:16 AM
Rainmaker
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Tony and Suzanne Marriott, Associate Brokers
Serving the Greater Phoenix and Scottsdale Metropolitan Area - Scottsdale, AZ
Haven Express @ Keller Williams Arizona Realty

Only once....a long time ago....

May 27, 2017 07:49 AM
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Harry F. D'Elia III
RentVest - Phoenix, AZ
Investor , Mentor, GRI, Radio, CIPS, REOs, ABR

Resolve--must be inspected by city and pay for permit

May 27, 2017 06:58 AM
Rainmaker
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Sandy Padula and Norm Padula, JD, GRI
HomeSmart Realty West - Carlsbad, CA
Presence, Persistence & Perseverance

Not so far, but I can see how it would.

May 27, 2017 06:54 AM
Rainmaker
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Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

Yes

May 27, 2017 06:06 AM
Rainmaker
4,799,701
Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

Yes.  It either needs to get permitted, torn down, or possibly the buyer will accept it knowing the issue.  Nothing can be done about the appraisal unless the owner gets the permit completed and approved.

May 27, 2017 05:51 AM