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Old 04-17-2014, 04:00 PM
 
755 posts, read 1,080,411 times
Reputation: 748

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Read a lot of posts about people asking about c/o for extensions and such. So wanted to just post up my not so recent experience and offer a big thanks to the CD community.

I purchased a home a few months back. During the sale process, lawyer found out front extension (half enclosed porch, half covered porch) had no c/o.

Aside from what others said here, bank never found out and didn't ask for a c/o but luckily my lawyer did his job. Anyways, with all the reading here I got nervous anyway and required an escrow of 30k to be left with the seller attorney to legalize it. Everyone was saying it'll only cost a few K, and the extension was only like 150 sq ft. Not large at all. I asked for the high amount because that's what a contractor told me it would cost to demo it and rebuild it.

Ignoring all the months that passed by, the seller ended up spending 25k in expeditor, contractors and town fees. In the end, seller said he should've just offered me a 20k discount to take as is and I could've done whatever I wanted with the money. At that time, I would've taken it.

I read so many threads on this, but those of you who posted warnings. Big thanks to you guys. Saved my arse.
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Old 04-17-2014, 09:17 PM
 
513 posts, read 837,597 times
Reputation: 330
Good info, thanks for posting.
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Old 04-18-2014, 05:25 AM
 
2,770 posts, read 3,540,297 times
Reputation: 4938
Thanks for the info. I'm looking at houses now, and so many of them have something thats not legalized.
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Old 04-18-2014, 06:05 AM
 
4,676 posts, read 9,992,988 times
Reputation: 4908
Bravo!

Good job!!

I love happy endings!!!!!!!
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Old 04-18-2014, 07:33 AM
 
Location: under the beautiful Carolina blue
22,669 posts, read 36,798,199 times
Reputation: 19886
Glad you went into the process being knowledgeable and standing your ground. Enjoy your new home!
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Old 04-18-2014, 07:35 AM
 
Location: Former LI'er Now Rehoboth Beach, DE
13,055 posts, read 18,116,584 times
Reputation: 14009
Who said blogs can't be helpful. Another success story from CD!!!!
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Old 04-18-2014, 07:58 AM
 
1,386 posts, read 5,346,667 times
Reputation: 902
Quote:
Originally Posted by loveithateit View Post
Read a lot of posts about people asking about c/o for extensions and such. So wanted to just post up my not so recent experience and offer a big thanks to the CD community.

I purchased a home a few months back. During the sale process, lawyer found out front extension (half enclosed porch, half covered porch) had no c/o.

Aside from what others said here, bank never found out and didn't ask for a c/o but luckily my lawyer did his job. Anyways, with all the reading here I got nervous anyway and required an escrow of 30k to be left with the seller attorney to legalize it. Everyone was saying it'll only cost a few K, and the extension was only like 150 sq ft. Not large at all. I asked for the high amount because that's what a contractor told me it would cost to demo it and rebuild it.

Ignoring all the months that passed by, the seller ended up spending 25k in expeditor, contractors and town fees. In the end, seller said he should've just offered me a 20k discount to take as is and I could've done whatever I wanted with the money. At that time, I would've taken it.

I read so many threads on this, but those of you who posted warnings. Big thanks to you guys. Saved my arse.

Glad it worked out, the lawyer actually did the correct job and saved you from a sticky situation next time when you sell.

I'm curious as to what ran up the cost so high? my understanding is that this normally would cost a few $K unless things need to be rebuilt.

unfortunately the sucky thing for everyone involved..... $25K was spent essentially for a borderline meaningless piece of paper and not actually any improvement to the house(I guess unless repairs had to be made for that 25K)
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Old 04-18-2014, 09:34 AM
 
1,609 posts, read 4,688,180 times
Reputation: 722
Too many claiming to be experts make posts on here regarding buying & selling that don't know zip.Disreguard these and call your town building dept or contact a realestate lawyer
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Old 04-18-2014, 11:39 AM
 
2,770 posts, read 3,540,297 times
Reputation: 4938
Just curious, how much did your property tax go up by legalizing this little porch.
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Old 04-18-2014, 01:06 PM
 
Location: Long Island
9,531 posts, read 15,884,676 times
Reputation: 5949
"I have 30k budget for this, how much will you charge?"
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