Question about Permits (mortgage broker, broker, house)

[westchesterite10]

Hi - We are looking at a house that has a new full bathroom in the basement. The current owners added it, however, they did not obtain a permit for it. Would this be a problem to buy a house that has a bathroom with no permit? Any idea what is the worst that can happen?

Thanks!

[mfenimore]

I would make them get the permit before closing

[ehmom]

ask your mortgage broker if the bank will turn a blind eye, but my guess is that is less likely these days. I encountered a similar situation with a home I looked at (but ultimately didn't make an offer on) and was told it could be an issue for the bank if it wasn't remedied in some way by the seller - either getting a permit or removing the bathroom.

[NYC Mama]

It's not really that big of an issue. If the bank is ok with it, then you're fine. Remember that getting it legalized will make your taxes go up.

[likerman]

The only difference it will make the taxes go up