Updated over 2 years ago on . Most recent reply
Permit code violation on closing day
My contractor didn't pull permits On a renovation but the renos are done. On closing day, I stopped by the property and saw a Stop Work order from the city. ****** situation but in any case we plan to see the permits through. The buyer still wants the house and he wants to close ASAP. The city said it would be about 6-8 weeks to close out the permits. What risk do we have with closing out the permits after the new own takes over? He'll be the "home owner" now so I'm concerned he'll take over the relationship with the new contractor we hired to finish the permits and we'll just be funding an endless amount of work. Any advice? Sell it and then rectify it? or cancel contract, finish the permits and then relist the house in 6 weeks? We had 3 offers on it, so not too worried about relisting. Thanks
Most Popular Reply
The real risk of closing is for the buyer as they inherit this issue with the city. I would offer to escrow $Xxx to more than cover the issue. FYI-If the lender finds out they will most likely not fund until the issues are settled