<p>Usually walk-outs are on slopes, but you could certainly dig out. The slope does not need to be huge. </p>
<p>Everywhere we have lived that did not have basements was a result of high water tables.</p>
<p>
</p>
<p>Was just joking, but yes, no sweat equity or benefits such as fees or commissions from the 401K/IRA to the “disqualified persons” as defined by IRS.</p>
<p>There’s also an option between no basement and traditional basement called a California Basement. Instead of excavating the entire house’s footprint, only a small area is dug out underneath. A concrete floor is laid down, and some sort of retaining wall is used (something like cinderblock). I’ve seen a few of them, and they’re actually pretty nifty. They’re basically just a big hole in your crawlspace under the house. A friend’s home has his hot water heater and AC unit installed down there, so there’s no wasted space in the house.</p>
<p>Also, GladGradDad, if you only want to live in a house with fully permitted work, don’t ever look at buying anything in LA county territory. We actually had real estate agents laugh at us when we asked if the “family room in the back” was a permitted expansion. From what we’ve found, many people actually live in the county area because of the complete lack of oversight by the county.</p>
<p>Goodness, that’s scary. When we sold our old house last summer, we were required by the town to fix something that – while we had gotten a permit to do it – had never been finally inspected and signed off on by the town. </p>
<p>I genuinely think that, if the inspector is any good, it does guarantee that repairs and additions are made correctly and that people remain safe.</p>
<p>A city inspector’s job is to enforce minimum building codes/standards in a construction project. They are focusing on the soundness of an infrastructure, not on the cosmetics. So, an inspector could sign off a renovation building permit with no paint on the wall, no floor coverings or just a light bulb on a 20’ vaulted ceilings, scratched tub or sink or old, beat up kitchen cabinets etc.</p>
<p>I’ve done some renovation work in my house myself including framing, drywall, fairly major electrical, etc. and hired out some of the new plumbing work and some other work but I made sure to do a permit and have it inspected. As long as things are done to code there’s not a problem with doing a permit and having the inspections other than the permit will cost some money.</p>
<p>To get the permit plans must be submitted and those plans must meet code. In order to meet code the person drawing up the plans (me in my case) needs to figure out what the codes are. In some cases engineering work needs to be done as well when it comes to structural components or some environmental calculations. If the permit were to be skipped then the plans could well be ‘less than code’ and the design sub-par. If those steps were skipped due to not getting a permit then who knows what the plans would be? It could have a 2" foundation pour, studs 24" on center, thin drywall or worse, incorrectly done electrical, and all kinds of improper and dangerous things (extreme examples here).</p>
<p>If the plans are approved and the work done right the inspection is a simple matter. </p>
<p>I’ve also noticed that contractors are cognizant of the fact that inspections will take place and seem to make extra sure their work will meet the code and pass the inspection. If they know there won’t be an inspection then they might be much more lax about the work they do.</p>
<p>Another point - if I was in the flipping business I’d be concerned about the possibility of getting a reputation for doing un-permitted (and thus possibly sub-par) work. It seems that it could be a problem if planning to do flipping as a business.</p>
<p>RacinReaver - I’ve looked at a lot of houses including in Southern Cal and it’s amazing what some people do for shoddy work - especially if there were multiple families living in a house built for one family. Many of the things they do are quite dangerous - amateur electrical work (fire/electrocution exposure), structural work done incorrectly (collapse), etc. </p>
<p>I also was in line getting a permit one day when the guy in front of me was facing some major fines for illegal grading that was done by the person who sold him the property. The guy thought he wasn’t responsible but the inspector explained that as the property owner, even if he didn’t do the grading, he was responsible for it and his only recourse would be to then go after whoever sold him the property. </p>
<p>I saw one guy down the street starting to build a cinder block wall and thought to myself “there’s no way that’s to code” due to its location and height. Sure enough, a bit later, the wall started coming down and they had to build it further away from the street and not as tall.</p>
<p>I have a few more similar inspection tales.</p>
<p>Buying a property with improperly done work not only exposes one to the issues caused by the shoddy work but also major costs in fixing it if caught by inspectors.</p>
<p>I definitely wouldn’t buy a house where it appeared that it wasn’t properly done. If I was a flipper I’d want to not only do it right but I’d want to leverage the expertise and power of the building department. I realize it has a cost for the permit and a bit of time for the inspections (but this hasn’t been bad when I’ve had it done) but it keeps the designers and contractors honest.</p>
<p>OP - Sorry about this tangent of permit/no permit on your thread. Please keep the thread going - I want to see how it goes on your flip.</p>
<p>Good morning everyone, my Kindle is not charging so I’m down to just my phone to post with while I am on vacation.</p>
<p>Permits: I am not perfect and I am dealing with extreme competition in my area. In general these are my guidelines when I am trying to estimate for a project, although I Never have final design figured out until we demo out a house.</p>
<p>If I am adding sq footage then we definitely get a permit because there is foundation and structure involved.</p>
<p>Most of the time we are tearing down the walls between old kitchen and living area for open concept. We really know what we are doing and always install proper headers and everything. Have never had a buyer or their home inspector ask anything about permits. It’s not common in our area.</p>
<p>Most of the time we are rewiring kitchens and baths with licensed electrician who does everything to code. No buyer has asked for permit.</p>
<p>Most of the time we replace old galvanized drain pipes with new ABS and never asked by buyers for permit.</p>
<p>If we replace the electric main panel we will call in Electric Company for inspection and new service. Our SDGE is a pain in the butt to deal with.</p>
<p>The main reason I make a decision between permit or no permit is because the time and cost of drawing full plans and submitting for review and approval is onerous and expensive when all we are doing is replacing existing. If it is just electric and plumbing work we don’t really need a plan but then I really don’t want them nosing around because we are always messing with replacing windows and doors.</p>
<p>Each project is a calculated call. Buyers don’t really ask for permits unless there is really shoddy additions or garage conversions in the house. We’ve got a lot of illegal garage conversions in older homes.</p>
<p>Sent from my Nexus S 4G using CC</p>
<p>So out of 14 projects I have pulled 4 permits. One for a new master suite addition and 3 for large remodel work, adding 2nd bath in existing sq ft.</p>
<p>Sent from my Nexus S 4G using CC</p>
<p>IME, it’s seems to me it would be OK to not get a permit, as long as the town doesn’t have any reason to come into your home. However, once the new buyer decides to do some work of his own and gets a permit, the eventual inspection could discover the prior work done and could cause the home owner some big problems.</p>
<p>In my case, we got into trouble because we got the permit but never had the inspection. I blame our contractor for that. The permit was pulled way back in 1999, and the “open permit” was discovered when we went to sell the house and the buyer’s lawyer checked at town hall for anything about the house. When we had the actual inspection in 2012, the inspector didn’t like the way the second-floor deck was attached to the house, and we had to spend around $2500 to fix it so it would pass inspection.</p>
<p>I know someone, whom over the last 50 years has dug a basement, expanded all sides and added two stories. Within city limits. Doubt there was ever a permit. Can’t imagine what will happen if they try to sell, the city will make them level it?</p>
<p>I would never consider buying ahouse that did not have inspections and permits and qualified contractors doing the work.
Doesnt your insurance agent do an inspection?</p>
<p>[Permits-</a> What happens if the seller didn’t get … - Zillow Real Estate Advice](<a href="http://www.zillow.com/advice-thread/Permits-What-happens-if-the-seller-didn’t-get-them/394416/]Permits-">http://www.zillow.com/advice-thread/Permits-What-happens-if-the-seller-didn’t-get-them/394416/)</p>
<p>[Construction</a> Permit Tips For Homeowners | Development Services](<a href=“http://www.sandiego.gov/development-services/homeownr/hometips.shtml]Construction”>Permits, Approvals & Inspections | Development Services | City of San Diego Official Website)</p>
<p>[House</a> Flip without Permits? - Redfin Real Estate Forums](<a href=“http://forums.redfin.com/t5/Bay-Area/House-Flip-without-Permits/td-p/158278]House”>http://forums.redfin.com/t5/Bay-Area/House-Flip-without-Permits/td-p/158278)</p>
<p>When we sell/buy a house (ones we have lived in as well as for investing), there is an inspection for the insurance/mortgage company. His job is to ensure that the building will stay up and is safe for habitation. We have never asked for or been asked for any permitting information for any of the work that has been done on a house. We have bought old houses that do not meet code in terms of bathroom clearances, stairway steepness etc that passes inspection with flying colors.</p>
<p>We did flip one house recently and basically redid 75% of the house including electrical, plumbing as well as replace the roof. No questions on the permits at the inspection. We did have them BTW.</p>
<p>It is customary in our area for buyers to hire detailed inspections with private inspectors who are usually retired contractors. The buyers depend on these inspections for info on whether work is to code, safe, etc. The inspectors don’t ask for evidence of permit final, even when we have them.</p>
<p>Sent from my Nexus S 4G using CC</p>
<p>We have done work on several houses. I’m not sure if it’s just Washington state, but the Form 17 disclosure statement (required for an MLS listing) explicitly asked if any work was done without permits. </p>
<p>As an aside, we did some work on one house without a permit, but when it came time to do the waterline work, I did pull the $29 permit, even though it ate up half the day. Good thing, because the day after we replaced our side of the meter, the other side blew, sending $1200 worth of water down our hill. Without the permit, we’d have been on the hook for the damage.</p>
<p>
</p>
<p>I believe we have something similar in CA, although there are ways to get around it. We bought our house from a trust where the previous owner had passed away, so they were able to write “Unknown” or whatever for every single category of disclosures. This is even though the granddaughter had been inhabiting the house for almost a year and the trust had gone to the daughters of the woman who passed away (and those daughters even grew up in the house!).</p>
<p>In my area it’s customary (and perhaps legally required) to disclose whether remodeling and additions have been done with permits when the house goes on the market. Unpermitted additions or garage conversions can’t be included in the home’s advertised square footage. It’s very common to see wording such as “unpermitted family room addition” or “studio in garage, buyer to verify permits” on open house flyers.</p>
<p>dmd, Wow! And we thought we had an expensive leak!</p>
<p>I’m loving this thread.</p>
<p>You can do cosmetic work on the house without a permit, change the kitchen cabinets, put on a new coat of paint or new carpets. But when you try to change a 7’ 3" ceiling to a vaulted ceiling, whole house rewiring, galvanized pipe to copper, adding new gas pipes permit is required in our area. And PG&E must receive city inspector’s instructions to connect a new service entry panel. In my just finished renovation of a two family house, the construction was halted because PG&E inspectors came and they did not like our temporary electrical connect and the new service panels at the site, so they cut our service and they will reconnect only if they received the city inspectors approval. Well, the PG&E instructions on how to fix the problem was not clear and the town inspector did not like what we did according to PG&E, so they go back and forth on the service panel installation for almost three weeks before every thing was approved.</p>
<p>^^^^^Painful. Sometimes the best solution is to get both parties in the room at the same time and have them talk to each other.</p>
<p>Some spirited discussion here about permits, inspections, whatever. And it’s all interesting!
But I hope we don’t get in the way of coralbrook continuing our education about the project at hand and what happens next!</p>