Home Buying in New York>Question Details

Roisinohare, Home Buyer in Brooklyn, NY

I have just put a bid on a recently gutted and then renovated house in Brooklyn. My lawyer now tells me that there hasn't been any permits ever filed.

Asked by Roisinohare, Brooklyn, NY Fri May 17, 2013

Now i am very concerned. What should I do?

Thank you.

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Answers

17
This is really something your attorney should investigate further and advise you on. You say you have bid on it, not yet purchased it. I would have concerns about this situation and things might not have been done up to code. Your attorney absolutely needs to see if the permits truly were not filed and what recourse there is now that the work is already done. If you still want the house, it should be on the seller to remedy the situation.
1 vote Thank Flag Link Fri May 17, 2013
Your lawyer can advise you best. The architect/contractor should have filed with the Dept. of Buildings on a gut renovation. You/your attorney need to make sure that everything was done to code and that the Certificate of Occupancy (C of O) reflects the house after the renovation. In other words, if this was a 5 unit home that was converted to a single family, or vice versa, there would have a to be a C of O that indicates that.
1 vote Thank Flag Link Fri May 17, 2013
I would go with your attorney's advice. The permits can be opened but if the work wasn't done to code then it will have to be properly done.

Chris
1 vote Thank Flag Link Fri May 17, 2013
Your attorney can better advise, what is he/she suggesting...
1 vote Thank Flag Link Fri May 17, 2013
Get the selling agent to follow up with this. The seller has to disclose everything that was done. Your attorney and seller's attorney need to discuss this as well.
1 vote Thank Flag Link Fri May 17, 2013
I would say first, dont panic. By the phrasing of your statement you have only put a bid on the property (not signed a binding contract of sale). I would focus at this time on getting your lawyer to investigate the permit situation. He or she should advise you as to which permits seem to be missing and the ramifications to you if, down the line, any missing permits become an issue. Your lawyer is there to guide you through the legal aspects of the purchase process and if you trust them and they feel there is a serious issue take heed.

Best of luck!
1 vote Thank Flag Link Fri May 17, 2013
The building will need a current certificate of occupancy, and if permits weren't filed, there is no immediate way for you to know how much cost and effort will be necessary to make the building a legal dwelling. This certainly devalues the property. Make sure your offer took this devaluation into account, and that you are prepared to do the work to bring the property into compliance. Also, be aware that you may not be able to get a mortgage unless the building has a current C of O. In addition to your attorney's advice, you may ned to consult with an expeditor, architect, and/or have a survey performed to garner enough information to make an informed decision. This process is seldom quick or easy, but if you love the property and can negotiate a great price, it may be worth it!
0 votes Thank Flag Link Mon May 20, 2013
your lawyer did his/her due dilligence and found some very important infromation for you. As a real estate agent I research this before allowing my buyer to place an offer. I wish you good luck.
0 votes Thank Flag Link Mon May 20, 2013
your lawyer did his/her due dilligence and found some very important infromation for you. As a real estate agent I research this before allowing my buyer to place an offer. I wish you good luck.
0 votes Thank Flag Link Mon May 20, 2013
your lawyer did his/her due dilligence and found some very important infromation for you. As a real estate agent I research this before allowing my buyer to place an offer. I wish you good luck.
0 votes Thank Flag Link Mon May 20, 2013
your lawyer did his/her due dilligence and found some very important infromation for you. As a real estate agent I research this before allowing my buyer to place an offer. I wish you good luck.
0 votes Thank Flag Link Mon May 20, 2013
your lawyer did his/her due dilligence and found some very important infromation for you. As a real estate agent I research this before allowing my buyer to place an offer. I wish you good luck.
0 votes Thank Flag Link Mon May 20, 2013
Listen to your lawyer, when a house is gutted and renovated there should be permits filed with the City, and sign offs by city inspectors to make sure the work was done correctly, electric, gas lines. There should have been drawing submitted to the city as well. I believe plumbing is self certifying, but were licensed contractors and sub contractors used. Your do not know what is behind the walls, Was the occupany changed/use changed? do you have a clear CO for the current use of the building? you can look up buildings on NYDOB, left hand side click on BIS enter property address, you can look up permits filed, CO information, etc.
be prepared next time,
If you really love the house ask the owner to provide a complete record of work, contractor names, license information, etc. but be careful. If you attorney says don't do it listen to him.
0 votes Thank Flag Link Fri May 17, 2013
I would find another home, good luck,

Jim Simms
NMLS # 6395
JSimms@cmcloans.com
Financing Kentucky One Home at a Time
Web Reference: http://jamessimms.com/
0 votes Thank Flag Link Fri May 17, 2013
Did your attorney receive title? This is something your attorney an advice you on enter than anyone else. It's possible that the investor who is selling you the house is still waiting for the permits, which sometimes can take some time. If that's the case, you should be able to move forward with this process and simply be on standby until the permits are issued. If they never applied for permits, that's a totally different situation. Follow your attorney's advice, and if you're not sure of what he/she is saying to you, hopefully you have an experienced Realtor and/or Loan Officer who can help guide you.

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Javier Meneses
Senior Loan Officer
NMLS #23130
STERLING NATIONAL BANK
310 Crossways Park Drive
Woodbury, NY 11797
jmeneses@snb.com
(516) 606-9648 Cell
(631) 659-2011 Office
(516) 918-5383 Fax
0 votes Thank Flag Link Fri May 17, 2013
That means its an illegal dwelling .
If you do buy the property you will have to file for all permits and pay for them and legalize the house with the city in order to have it as your residence .
0 votes Thank Flag Link Fri May 17, 2013
Which permits are missing?
0 votes Thank Flag Link Fri May 17, 2013
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