Selling your house with code violations.
The following information is not specific to all cities and counties, please contact your own city and county to verify any permit issues.
Selling your house with code violations could be very costly to you the seller.
You should inform all prospective buyers in writing of any work that was done to your property without the proper permits. If you don't, the buyer could sue you if something later goes wrong or if the city eventually discovers that the work was done without the proper paperwork and demand that the work that was done without the proper permits be torn down.
May buyers get nervous when a seller notifies them that work was performed on the property without the required permits and then either request a lower selling price or cancel the deal altogether. If you don't want to take this risk by making the required disclosure, consider calling the local building dept and see if you can obtain an "as built" permit for the work that was performed without the permit.
As "as built" permit is basically a permit that is issued after a project is completed and city inspectors determine that it meets the current building code.
When issuing the as-built permit the city may levy a fine on you for doing the work without filing for the permit. But the fine would likely be less that the steep discount the buyer may demand to purchase your home in its present illegal condition, and you should also keep in mind of the legal consequences if the buyer sues you after the sale is completed and they find out about the illegal repairs.
James Loftis P.A. CRS,GRI,EPRO