Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
If a lender was willing to finance you without COs, would you still want COs before closing? Or would you just let it go, make sure it's to code, and not pay the extra property taxes? Our agent said it was possible to do, but I feel weird about it. The owner had the proper permits for construction, did the work, but never got the COs.
I would think it is illegal to live in a home without COs. You would be facing fines and you would have to vacate the home until you got them. Also I doubt you could insure a home without them.
I would think it is illegal to live in a home without COs. You would be facing fines and you would have to vacate the home until you got them. Also I doubt you could insure a home without them.
Thanks for your response.
It's not a full home CO, it's for a large addition. It feels dishonest to me, but the listing agent said it's an AS IS sale, and that there are lenders who will approve it. My agent said it's done sometimes.
The taxes are very high already. My agent seems to think that the town most likely raised the taxes after the homeowner obtained permits to renovate.
Even if you could purchase and insure a home without proper COs, I wouldn't do it. It will come back to bite you, and probably at some very inconvenient time, like when you're selling and want to get out.
Also make sure permits have been obtained and town/city inspections have been performed.
It may raise your taxes a bit, but as the saying goes, "penny wise and pound foolish." (And of course the REA doesn't care. All she wants is for you to close and get paid on the deal. Your attorney should be looking out for your interests.)
Ok, if it's the addition, the worst case scenario is an inspector comes in and condemns the addition, you can't use it and may have to tear it down.
Slightly less scenario is that the inspector says you can't use the addition until it passes inspection, and if that includes electrical, hvac and plumbing you have to open the walls for it to pass.
And you would have to pay for that. And still I doubt that an insurance company would insure if they knew about the unpermitted work. And you damn well know they will deny any claims if something happens.
LBM, you know enough from the Long Island forum that this is a bad idea. If you ever want to do something in that house, you'll pull permits, the town will come in, see the unpermitted addition, and make you bring the whole thing up to code - at your expense.
Long Island in particular is so unlike the rest of the country when it comes to real estate that you should heed what has been said on the LI CD forum many times. Don't do it.
Highly unlikely a RE appraiser will miss an entire addition.
If permits were ever opened, they will show on a title search. Doubtful a lender will overlook that.
I really appreciate this advice. When you have two realtors telling you it can be done, and have a homeowner who is refusing to get them, you start to question whether it's you or them who is out of his/her mind.
As an aside: how did they pull permits for a second story addition, build the second story, and not get it COd??
Thinking the owner might not have finished the work (not a chance you want to take) and that's why he couldn't get the CO, I got this from family in NY. Just a short piece of info that coincides with my doubts about safety and resale and what lender would want this:
In the link: "Once you purchase a property, you, as the owner, have the legal obligation to make sure that the building obtains a final CO documenting its compliance with the Building Code and the Zoning Resolution. Because this is your responsibility, you should ask your attorney to obtain written assurance and sufficient escrow from the seller/developer to ensure that the developer actually finishes any outstanding work and obtains the final CO in a timely manner."
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
