Are you thinking of making improvements to your home for really cheap?
Maybe you are considering listing the home and you want to increase the sale price through an addition or make structural repairs but also want to avoid the cost of pulling permits from the local building department.
In situations like this, you might be unaware of how unpermitted work can derail a sale or present other issues down the road.
If it’s a major change, such as a new bathroom or converted bedroom, it might set off red flags during an inspection, where the current state of the home would differ from previous descriptions. Additionally, the Seller’s Disclosure Notice requires the seller to mark if he is aware of work done without necessary permits. Not disclosing unpermitted work could result in a costly lawsuit.
Scaring off a buyer isn’t the only potential risk of unpermitted work: it could cause issues with financing, result in fines from local authorities (representing another possible lawsuit), disadvantage the seller when it comes time to negotiate, or put the next owner at risk if the work wasn’t done safely or to current building codes.
While painting or changing a light fixture are fine to tackle on your own as a homeowner, larger projects should be done with the correct permits and ideally by a bonded and insured professional.
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