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Overreaction of the year...Claimed the Listing Agent

By
Real Estate Agent with EXP Realty 414-525-0563 57026-90 Broker

  In Wisconsin...finished lower levels are HUGE...it is what we do....it is what buyers want...man caves, workshops, play rooms. If you have an exposed lower level...it is a whole extra level of living...with those people who  count "square feet" Square feet...able to include bedrooms, baths, kitchens, rec rooms, theatre rooms, as additional living space...egress windows and patio doors to the outside make so "un-basement' and so "lower level."  

     Homeowners get creative with this level...relocating buyers especially from areas that do not have basements are thrilled with all the extra living area finished lower levels provide.  One of the things that we are extremely particular 

Permitsabout is permits.David and our home inspector have eagle eyes when it comes to spotting clues for work that may be hiding behind the drywall....the plumbing, electrical...that may have done without a permit...and by someone "handy" and not licensed in any particular trade of aware of the code compliance that the area requires. 

      Having finished a home inspection...the signs were everywhere...wiring not being properly secured....hot and cold water reversed in the wet bar....the water heater controls inaccessible because they faced the wall....and so the amendment began to address these things...if permits were not pulled and these things corrected....the Buyers were out of the transaction.

    "Overreaction of the Year !"  cried the listing agent..."Lots of Wisconsin basements are fJump in the lakeinished without permits !"  (I could hear my Father saying..."If everyone else jumps in the Lake are you going to jump too ?")   Because it's "common practice" doesn't make it right.

    Having seen what lies behind the drywall...plumbing tied with twine...wiring that resembled a creative puzzle of some sort....we are very careful when it comes to permit.  If there is a fire....a leak...is the insurance company going to cover these incidents when the construction was not done properly ? Hmmmm...

    There are remedies for everything...overlooking and ignoring them in our practice is not one of them.

    If you or anyone you know, is looking to Sell or Buy a home in southeastern Wisconsin...permit Sally K. & David L. Hanson, Broker Associates at Keller Williams to interview for the position of listing or buying agent...you will be glad you did.

 

Posted by

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


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Kevin J. May
Florida Supreme Realty - Hobe Sound, FL
Serving the Treasure & Paradise Coasts of Florida

Twenty years ago there does't seem to be that many unpermitted upgrades but today you can spot them relatively easily. Just like the sore thumb of a handyman who wields the hammer. Great post!

Dec 10, 2017 04:42 AM
Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

I've run into these Realtors around here as well, Sally and David.  They make a lot of noise, but when I ask them to write this down to show an attorney or to a judge, they seem to lose their voice quickly.

Dec 10, 2017 04:45 AM
Bob Betel
Allstar Home Mortgage, Inc. - Sweetwater, TN
President, Allstar Home Mortgage, Inc

If you are going to do something, do it right or don't do it at all.

Dec 10, 2017 05:55 AM
Sharon Paxson
Sharon Paxson, Realtor® EQTY Forbes Global Properties - Newport Beach, CA
Newport Beach Real Estate

Good post and the buyers are fortunate you were able to find out work was done without permits.And it could have been a problem with the appraisal and lender as well.

Dec 10, 2017 05:56 AM
Associate Broker Falmouth MA Cape Cod Heath Coker
https://teamcoker.robertpaul.com - Falmouth, MA
Heath Coker Berkshire Hathaway HS Robert Paul Prop

Here on Cape Cod, we also have conservation activity / restrictions / dock licenses / etc., as well as the permit issues. Holly and I, like you, also work hard to be thorough for the buyers and sellers we work for. We believe that the era of information is upon us, and we are rising to the requests for information and solutions from our sellers and buyers.

Dec 10, 2017 06:36 AM
Chris Lima
Turtle Reef Realty - Port St Lucie, FL
Local or Global-Allow me to open doors for you.

Great post Sally and David.  It's our job to pass on the information.  Whether or not the information is accepted is another story.  You can lead a horse......etc.  In my area of Florida, garage conversions can spell trouble for a buyer or the seller for that matter.  "Forewarned is Forearmed!"

Dec 10, 2017 06:49 AM
Sam Shueh
(408) 425-1601 - San Jose, CA
mba, cdpe, reopro, pe

The central section of San Jose is often left over from the county unincorporated neighborhoods. Roads were paved over old farming dirt or gravel roads. Homes and backyards added in law quarters sometime two stories all done w/o a permit. Now the investors are jumping on wagon dividing small homes on dual lots or those incorretly zoned as R2. One sees a two or three story home looking over someone backyard with one story below. What a mess!   The only way is fix is rebuild the entire area. 

Dec 10, 2017 08:31 AM
Brian Rugg
Rugg Realty LLC Sun City Texas 512-818-6700 - Georgetown, TX
Sun City TX Real Estate - Georgetown, TX Real Est

"Over reaction of the year!"  ?  Perhaps, but its the potential buyers reaction and the seller's agent  has to come to grips that buyers will perform their due diligence.  With your help & extertise of course.

Dec 10, 2017 04:01 PM
Andrew Mooers | 207.532.6573
MOOERS REALTY - Houlton, ME
Northern Maine Real Estate-Aroostook County Broker

The workmanship was a tad casual. Knowing before buying is better for everyone. To avoid court house steps and billable hours over the heart ache. It's hard tellin' without knowin' is another expression Sally K. & David L. Hanson !

Dec 10, 2017 04:12 PM
Adam Feinberg
Elegran - Manhattan, NY
NYC Condo, Co-op, and Townhouse Advisor

Definitely not an overreaction. The owners may have been fine living with this situation- but when asking someone else to assume the risks they dealt with- it is a different standard- and they shouldn't be surprised.

Dec 10, 2017 06:00 PM
Sally K. & David L. Hanson
Excellent response !
Dec 10, 2017 06:41 PM
Jean Alicea
Home suite Homes, Inc. - West Palm Beach, FL
Home suite Homes

This goes with a realtors' responsibility of doing his or her due diligence and disclosing to everyone involved in the transaction.

Dec 10, 2017 07:42 PM
Melissa Spittel
Coldwell Banker Residential Brokerage - Westminster, MD
"Achieving Results Together "

Wow! Where was the responsibility to disclose that permits weren’t obtained?

Dec 11, 2017 06:14 PM
Sally K. & David L. Hanson

The present owners had a sloppy inspector and an  agent  who


didn't  check.....sigh

Dec 11, 2017 06:21 PM
Morris "Bill" Austin
Team Price Real Estate - Dripping Springs, TX
Exceptional service is my standard expectation.

Sally & David,
The agent who called this the over reaction is underwhelming in his duty to his client. I feel like the listing agent should have asked about the permitting issue in advance. When Stevie Wonder could see the issues it should be disclosed up front at the least and probably corrected before listing the house. As a REALTOR when we “suspect” there are not permits we must ask and disclose.

Morris “Bill” Austin

Dec 11, 2017 06:20 PM
Sally K. & David L. Hanson

Checking with  the municipality when  you list elimnates


the  guess  work  of who didn't  tell   who  what

Dec 11, 2017 06:25 PM
Kimo Jarrett
Cyber Properties - Huntington Beach, CA
Pro Lifestyle Solutions

Full disclosure and documented attestation of all structural and electrical repairs or additions are essential in addition to the TDS especially when it appears that any changes to the original property were made.  

Dec 11, 2017 06:49 PM
Debe Maxwell, CRS
Savvy + Company (704) 491-3310 - Charlotte, NC
The RIGHT CHARLOTTE REALTOR!

Unbelievable, Sally! Didn't you just want to say, "Overreaction, my ass?!!" 

Agents in this business never cease to amaze me - and they still have licenses??Go figure!

Dec 11, 2017 07:07 PM
Sally K. & David L. Hanson

Yes Debe Maxwell, CRS   lots of agents are there to get the house listed....and skip the"Home  Work"....this  is  a  prime  example.

Dec 11, 2017 08:02 PM
Jon Sigler
Coldwell Banker Realty - South Windsor, CT
Sigler Sold Another! 860-306-8029

And they probably wanted to base the sales price on that below grade space as though it was above grade to add insult to injury.

Dec 12, 2017 06:33 AM
Sally K. & David L. Hanson

Fortunately no...here our MLS lists those numbers separately.

Dec 12, 2017 06:40 AM
John Wiley
Fort Myers, FL
Lee County, FL, ECO Broker, GRI, SRES,GREEN,PSA

Here in Florida, we do not see lower level finishes, but we do see a lot of older homes with garages enclosed and made into a bedroom or family room.

Many are not permitted. It is not an overreaction to address these issues, it is being responsible and doing due diligence.

Great and informative post.

Dec 12, 2017 10:59 AM
Christi Farrington
Dagny's Real Estate - Wilton, CT
~ Your representative in Fairfield County, CT

My first question would have been, "Do you have the permits?"  

Dec 12, 2017 12:43 PM
Sally K. & David L. Hanson

Not always that simple....the contractor who could have been working for a  Seller or two or more ago may not have passed them on....but they are on record at the municipality.

Dec 12, 2017 12:52 PM
Margaret Mitchell
Coldwell Banker Yorke Realty - York, ME
Seacoast Maine & NH Real Estate

Hmm...  Not an overreaction, just an under disclosure.  The first thing I do after securing the listing, is visit the code office and check the permits. In many cases,  a seller has pulled a permit but never closed it out.  Needs to be corrected or disclosed!

Dec 12, 2017 01:07 PM
Sally K. & David L. Hanson

Good practice Margaret Mitchell ....sometimes the city at least here...neglects to do that even after an inspector has re-inspected


the completed project...always a good idea to check !

Dec 12, 2017 01:10 PM
Mary Hutchison, SRES, ABR
Better Homes and Gardens Real Estate-Kansas City Homes - Kansas City, MO
Experienced Agent in Kansas City Metro area

During a remodel, you just don't know what corners have been cut until it's too late.  There doesn't seem to be much pride in workmanship like the old days.  Good advice in this post!

Dec 12, 2017 01:35 PM