Do I take the title company to court? (Buffalo: lenders, attorney)

[moneypit08]

So in 2006 I purchased a house in Port Jeff Sta. In early 2007 I get a letter from the town about and illegal dormer. During closing a CO wasn't provided to me, I was told by the title company that it was all clear and on file with the town. I get the CO from the town after I get a violation notice and it says its a 1 story rachero with attic & 1 car garage. But I purchased a house that is one story on one side and a 2 story on the other side of the house & a 2 car attached garage. The town says I'm now responsible to correct the situation. So it looks like the house is all orginal no extensions on it. The house was built in the 60's. Now my question is, do I have a chance to sue the title company for not doing there homework? I'm already in the process of legalizing the house.

[Kbinspections]

Did you speak to your attorney that closed the deal?

[BuffaloTransplant]

I would have your attorney look into what the original house was ( maybe even blueprints on file) and whether any building permits were ever issued for the house for the dormer/second floor. Sounds like someone did this in the past and now they might be reassessing and found it. If none were, it is illegal and I bet the sellers knew it. Your attorney needs to find out who built it; I think they are at fault and not the title company. However, there must be an initial survey of the house and it should be attached to the title, it will show you what the house is and say what it is ( like: 1 story brick house attached garage). Any further surveys -- like the one that SHOULD have been done when you bought -- will show changes.

[TomMoser]

Originally Posted by BuffaloTransplant

I would have your attorney look into what the original house was ( maybe even blueprints on file) and whether any building permits were ever issued for the house for the dormer/second floor. Sounds like someone did this in the past and now they might be reassessing and found it. If none were, it is illegal and I bet the sellers knew it. Your attorney needs to find out who built it; I think they are at fault and not the title company. However, there must be an initial survey of the house and it should be attached to the title, it will show you what the house is and say what it is ( like: 1 story brick house attached garage). Any further surveys -- like the one that SHOULD have been done when you bought -- will show changes.

Actually, it is YOUR ATTORNEY that is at fault. He should have done a search for co's.

[moneypit08]

I went to town and got a copy of orginal permit, CO. Orginal permit is for 1 story house with attic, 1 car garge. CO says the same. There is no orginal surveys on file, expect for the one I paid for when I bought the house. There are no plans on file either. I now had to pay and architect to design plans for the house to apply for a permit. I'm gonna get it all legalized and pay all the required fine. I have been advised to do this, then onces I had a list of all the money i have spent to go talk to an attorney and take futher action.

[TomMoser]

It's hard to believe that everyone missed this. Did you take out a mortgage, because lenders usually do co searches too.

[moneypit08]

yes i took out a mortage. i cant believe everyone missed it. and during closing I had asked several times for a CO and everyone said it was clean. I have spent a load of money already on plans and now going to get permits, then I have to probably pay fines.