You may find yourself in a situation where you own a property with an illegal unit, or perhaps you are buying or selling a property with an illegal unit. In either case, you are exposing yourself to liability and should be concerned.
Two real-life case studies
A homeowner with two accessory residential units as part of her single-family home reached out to me because one of her tenants was causing problems and she was looking for advice.
The tenant was taking advantage of her and not paying rent, and she was looking at her options. She started pressuring them to pay or vacate, and they retaliated by notifying the governmental authorities that they suspected the unit they were renting was illegal.
The second real-life case study I am directly involved with is a property I am selling for my client. The buyer discovered that the current residential units were offices when the property was built pre-1900s.
The buyer is looking for a paper trail that certifies the current use as residential units were created with building permits. Fortunately, we found a reference to a permit in the city’s building department’s database, but we are still looking for a certificate of occupancy or the actual finalized permit.Read More