How to evaluate whether an apartment’s existing permits, certificates of occupancy, and renovation approvals are complete and verifiable before closing.
Buying an apartment requires diligence beyond price and location. Confirm permits, occupancy certificates, and renovation approvals are legitimate, current, and consistent with the unit’s actual construction history, to prevent future disputes and costly surprises at closing.
When you are evaluating an apartment, your diligence should begin with a clear map of the permits and approvals that apply to the unit and building. Start by requesting the exact permit numbers, issuing authorities, and dates for all structural, electrical, plumbing, and renovation work that impacts the unit. Cross‑check these details with the building department’s online records or in-person filings. Look for consistency between the permits, the floor plans, and what you actually see inside the apartment. Discrepancies can signal unpermitted changes or work done without proper oversight, elevating risk at closing and potentially triggering future enforcement actions.
A current Certificate of Occupancy or its equivalent serves as a baseline assurance that the property complies with applicable building and safety codes. Obtain the certificate, or a verifiable copy, and confirm its scope—whether it covers only the unit or the entire structure. Verify the expiration if the document is a dated CO, and ask if any required inspections occurred since issuance. If renovations were performed, ensure the CO reflects those changes. If the CO is missing or inconsistent with the unit’s visible renovations, you should pursue correction before closing, or you may need the seller’s cooperation to obtain updated approvals and a clean certification trail.
Collecting official records and validating them against the unit is essential.
Begin by verifying the project’s timeline against the unit’s current layout and features. Review plans, elevations, and any addenda to confirm that the scope matches the work completed. If permits exist for cosmetic updates only, but you observe structural alterations, this is a red flag that must be rectified with the issuing authority. Request a formal correspondence from the seller listing all permits tied to the unit, including any amendments. Contact the building department to confirm active status and to obtain official copies. Do not rely on third party summaries; obtain official documents and compare them to what you physically see in the apartment.
Next, scrutinize the renovation approvals for completeness and compliance. Confirm that contractors were licensed and that their work aligns with the permits. Gather receipts or contracts that reflect the work performed, and compare them to the permits’ described scope. If permits were issued for a tenant improvement or a specific upgrade, ensure the property’s current configuration matches those records. Any deviation may require a new permit or an amendment, which could delay closing or require renegotiation. When renovation work was done by a previous owner, be especially careful to trace all documents back to the proper issuing authority and ensure there is a clear paper trail.
A thorough audit of the unit’s permit and occupancy history matters.
A critical step is to verify certificate of occupancy, or occupancy permits, correlate with building code requirements, and confirm that the unit remains compliant since issuance. Begin by examining the CO’s stated occupancy type and any restrictions, such as allowable uses or modifications. If the CO predates major renovations, insist on updated documentation or a letter of verification from the city or county confirming continued compliance. Check whether any active violations or notices exist against the unit or building that could affect habitation, safety, or insurance. If issues surface, you may need a formal corrective plan or a filed amendment before closing to prevent future enforcement risk.
In parallel, assess whether all renovations have been properly approved and recorded. Look for sign‑offs from inspectors, stamped as‑built drawings, and correspondence between the contractor and the city. For bathrooms, kitchens, or structural changes, ensure the final as‑built plan reflects the actual configuration. If approvals were issued only for partial work, determine whether the remainder has subsequently been completed with proper permits. Maintain a detailed ledger of dates, permit numbers, and inspector notes. This diligence helps protect you from discovering unpermitted modifications after you own the unit, which could complicate resale, financing, or insurance.
Inspections and a clean paper trail support a confident closing.
As you compile records, seek consistency among the unit’s physical features, the plans, and the permitted scope. Compare wall placements, electrical circuits, plumbing fixtures, and load-bearing elements against the approved drawings. Any mismatch can indicate that renovations were performed without proper oversight. If you encounter undocumented changes, request a path to rectify—such as retroactive permitting or an amendment—before proceeding. This is especially important for investors or first‑time buyers who rely on a clean title and bankable construction history. A robust document trail reduces the likelihood of later disputes with neighbors, lenders, or municipalities.
Another essential task is to confirm that all necessary inspections occurred and were properly documented. Inspections may include building‑code checks, fire safety reviews, and energy efficiency tests, among others. Retrieve inspection reports and compare them to the corresponding permits and plans. Confirm that inspection dates align with the stated work schedule and with occupancy milestones. If any inspection has a negative finding, evaluate the corrective measures taken and request evidence of compliance. Insurers and lenders often require clean inspection records; unaddressed issues can delay closing or affect financing terms, so address them proactively.
A disciplined approach protects your interests and investment value.
The final phase of due diligence is to engage professionals who can interpret complex records. Hire a qualified real estate attorney or a code consultant who specializes in permitting and occupancy issues. They can validate that the permits are properly issued, the CO is current, and that renovations received necessary approvals. A professional assessment should culminate in a written opinion or clearance letter stating that all documents are complete, consistent, and legally enforceable. This independent verification gives you leverage in negotiations and provides a clear path to resolve any gaps before you sign the closing documents.
In many markets, title insurers require disclosures about permits and occupancy to protect the buyer. Obtain from your title company a schedule of permits and any open violations, if applicable. A title search should reveal past amendments, correspondence, or revocations that could affect the unit’s status. If any items appear ambiguous or incomplete, insist on extending escrow until the records are clarified. This extra step can save you from discovering a hidden defect after possession, which could otherwise lead to costly post‑closing adjustments or litigation.
If you identify gaps or inconsistencies, act promptly with the seller or the building department to obtain missing documents. In some cases, the seller may need to coordinate with the condo association or cooperative board to release records. Be mindful of time constraints, particularly in competitive markets, but do not rush through to close with unresolved issues. Negotiation strategies include requesting a credit, a closing holdback, or a contingent closing date until all documents are verified. Your goal is a transparent, legally sound file that will support uninterrupted ownership and smoother future refinances or resale.
By following a structured due diligence process for permits, occupancy certificates, and renovation approvals, you create a solid foundation for a safe purchase. The payoff is a clear title, fewer surprises at closing, and the ability to plan your renovations with confidence. Use a checklist, maintain organized records, and enlist the right professionals to review every aspect. A disciplined approach protects your financial interests and helps ensure that the apartment you buy remains compliant, safe, and ready for you to call home without unresolved legal or bureaucratic obstacles.
