BiggerPockets

Hi Jorge,

Yes. When we close we do a lien search report (separate from a title exam). This searches for code violations and permits. We, as the title company, work with the listing agent and the seller on getting those resolved before we can close, so we can clear the title.

You should check with the title company and/or the listing agent to see if they were aware of the permit and have been addressing it.

Also, I am finding more and more, on cash deals that some sellers/buyers are writing into the contract that the buyer would be responsible for permits. If your contract is written this way, then the buyer would be responsible. If there is a lender, a lender will not allow a code/permit to show on their title because ultimately, it will become a lien and take presedence over their mortgage.