Relocate to Wisconsin : No..The Sellers won't pay for Permits..they will Discount the Price

No..The Sellers won't pay for Permits..they will Discount the Price

  It was our pleasure to showing transferring Buyers their new home in Brookfield...Or potentially their new home. The lower level was beautifully finished...alower finished bar, bath, additional bedroom with egress window, two finished recreation rooms..b-u-tiful...a great place for entertaining and guest quarters !

  There was nothing about this space that did not say "professional" except....when we contacted the City ....there were no permits pulled. In this would mean a building, electrical and plumbing permit.  The costs of the permits based upon what was done..the number of outlets and switches...was now tripled  to about $2,000.

   That cost is just the beginning...who knows what lies behind the drywall...was the electrical work and plumbing done to code ?  After the drywall was removed would Drywall repairlicensed contractors have to re-do everything...remove more walls..mmm...that is the $$$$ question ! No one knows or will kmow because the Buyers will have to buy the property before learning the extent of possible updates. Then after everything passes inspection...drywall has to be put back up and the room repainted.

   Some municipalities in our area require "pre-sale" inspections where the city looks for anything not done that requires a permit or repairs that should be made before the property is transferrred to a new owner. is a roll of the dice to guess the discount that they will may choose to apply to the price that may cover the cost of the "maybe repairs."

   The jury is out at this writing...Buyers are thinking...Sellers are be or not to be.  If you are a homeowner...and may have purchased a home that you did not know required permits for work done...we suggest a trip toinspector the inspection deparment of your municipality and learn what may or may not require permits and get your property up to code before considering selling it. The longer you wait, the more it will cost and there may be safety hazards as well.

    If you are looking for Realtors who will safely guide you thru a listing or purchase in southeastern Wisconsin, call the Hansons, we are honored to be of service.

Sally K. & David L. Hanson, ABR, CDPE, CSS, e-Pro,ILHM, REDS

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Comment balloon 11 commentsSally K. & David L. Hanson • February 09 2016 05:04AM


Yowza!  Not a position I'd want to find myself in.....ever!

Posted by Roger D. Mucci, Lets shake things up at your home today! (Shaken...with a Twist 216.633.2092) over 2 years ago

Good morning Sally! Real meaning to "you can pay me now or pay me later!"! Enjoy your day!

Posted by Wayne Martin, Real Estate Broker (Wayne M Martin) over 2 years ago

It is important for buyers to work with a good agent who can advice them.

Posted by Gita Bantwal, REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel (RE/MAX Centre Realtors) over 2 years ago

This is a very good story to share. Many home improvements are done without the required permits.

Posted by Roy Kelley, Roy and Dolores Kelley Photographs (Realty Group Referrals) over 2 years ago

I just went through this on a sale Sally and David, where sellers had finished a room over the garage and hadn't permitted the space. My buyers and I insisted they get an "after-the-fact" permit and thank heavens we did. Turned out the space was not only un-permitted, it hadn't been done to code. $15K of costs later... seller tried to reduce the price, but I insisted they take on the responsibility of doing the work and permitting and engineering reports. I did not want my buyers to be responsible for any aspect of this down the line.

Posted by Nina Hollander, Your Charlotte/Ballantyne/Waxhaw/Fort Mill Realtor (RE/MAX Executive | Charlotte, NC) over 2 years ago

This is a nearly weekly occurrence in my business!  Yes, you inherit everything you can't see? 

Buyers want that?

Posted by Jay Markanich, Home Inspector - servicing all Northern Virginia (Jay Markanich Real Estate Inspections, LLC) over 2 years ago

Sally and David,

Great story here, we have clients that just have encountered this issue.  I am looking forward to hearing the outcome of this story.  A

Posted by Ron and Alexandra Seigel, Luxury Real Estate Branding, Marketing & Strategy (Napa Consultants) over 2 years ago

Sally and David, properties with out permits seem to pop up their ugly head fairly often.  Something that would have been simple when the work was being done all of the sudden becomes complicated.

Posted by George Souto, Your Connecticut Mortgage Expert (George Souto NMLS #65149 FHA, CHFA, VA Mortgages) over 2 years ago

This wouldn't fly down here at all, Sally and David.  Too many unknowns.  And forget about financing, won't happen.

Posted by Gabe Sanders, Stuart Florida Real Estate (Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales) over 2 years ago

Good morning Sally K. & David L. Hanson ,

Keep us posted on the outcome. City of Austin has a website you can go on and check every property and see if the permits were submitted and closed out on projects. Worth it to find out..don't want to inherit problems down the road.

Posted by Dorie Dillard, Serving Buyers & Sellers in NW Austin Real Estate (Coldwell Banker United Realtors® ~ 512.346.1799) over 2 years ago

Good morning Sally. I see problems like this much too often, so many homeowners really don't think about the consequences.

Posted by Joe Petrowsky, Your Mortgage Consultant for Life (Mortgage Consultant, Right Trac Financial Group, Inc. NMLS # 2709) over 2 years ago