Though the discovery of a code violation while buying or selling a home may seem dire, it’s actually not something unsurmountable. Depending on the home owner’s appetite for dealing with unexpected details, you can choose take take one of two paths to successfully get the home in Los Angeles sold.
Can I Sell My House With A Code Violation?
With some level of effort, you can successfully sell your house in Los Angeles with a code violation even in a city like Los Angeles. If you have the cash and the time to spare, we recommend you, the seller, fix the the code violation upfront. By completing the work upfront and saving the paperwork to prove it’s complete, you have simplified the process of selling your house and will get your best price.
What is a code violation in Los Angeles?
Code Enforcement departments in generally exist to enhance the safety, appearance, and economic stability of a community through the diligent enforcement of applicable ordinances and land use regulations. To ensure that homes, buildings, and generally property are not unsightly nor dangerous to its community, code enforcement is directed at private property and code violations (also known as code enforcement violations) are dealt with through administrative action and if unresolved, can continue through both criminal or civil prosecution.
If you are a home owner in Los Angeles with a property in need of expensive exterior repairs, you may have received a letter of code violation. If you do not abate the issue by the deadline, you can get slapped with penalties and even a lien on your property.
Examples of Minor Code Enforcement Violations in Los Angeles
- Missing smoke detectors
- Missing CO2 detectors
- Exposed fascia board
- Peeling paint on a house
- Sofas, TVs, and junk on the curb for extended period
Examples of Major Code Enforcement Violations in Los Angeles
- Exposed electrical wiring
- Fire damage that is unsightly or creating hazard
- Nuisance from a vacant house, ie. from squatters
- Unpermitted room additions (including unpermitted garage conversions)
- Pack rat conditions (aka hoarder house)
- Overgrown lawns, shrubs, or vegetations in a region at high risk for fire
Downside of Selling A House With Code Violation
Though a house with a code violation in Los Angeles can successfully be sold, there are realities that the owner/seller should accept.
- Pool of interested buyers and realtors/agents will be smaller, due to more convenient home options. Average buyers want convenience and there are many home buying options.
- Buyers qualifying for a loan may encounter challenges funding their purchase. Lenders of conventional loans appraise a property and lend based on a percentage of that value. Due to the risk of some code enforcement violations (e.g. fire damaged roof, electrical not up to code, or foundation issues), the lender may not quality the buyer for a loan
- Lower offer prices from buyers because the buyer is taking on the financial responsibility of abating the violation, and ultimately, taking on the risk to avoid fines and legal action (lien) against the property
Options To Sell Your House With a Code Violation
Resolve the Code Violation Upfront
If you have time and patience and can bare the upfront responsibility of the repairs, we suggest abating the list of issues and getting signoff from the city inspector that the violations have been resolved. Keep any paperwork confirming that completion in case you need to show it as proof to your buyer.
Discount the Purchase Price
If you are already in the process of selling or under contract (in escrow) and the buyer is serious about still buying the house, they may ask you for a discount for both the time and money they will spend to resolve the issue and avoid the legal risk and further financial penalty associated with the code enforcement violation.
Sell to an All Cash Buyer Like Fair Sale Homes
Professional home buyers like Fair Sale Homes make the home selling process easy and stress free. Because Fair Sale Homes partners with investors, rehabbers, and developers, we are not concerned with the home or property to be in picture perfect condition. Once you sell us the house, we will invest the time and money into making the repairs and dealing with the city to resolve the code violation.
- Save you time in dealing with the resolution of the code violation
- Save you stress in dealing with the contractors and the city
- Save you money that comes out of your pocket
Steps to Resolving a Code Violation Before Selling
We are summarizing the steps to resolving a code violation for the City of Los Angeles and Los Angeles County. The general steps here would be similar to any other city, so you can use the below as guidance.
Step 1: Identify the Code Violation
The first step in selling a house with a code violation is to identify the violation. If you received a letter from your city or county’s building and safety division, it should contain a list of the violations and provide contact information for the inspector who observed the code violations. If you did not receive a letter, simply call your city or county’s building and safety division to get a full report.
Step 2: Make the Necessary Repairs
Once you have identified the code violation, you will need to make the necessary repairs. This can be done by hiring a contractor or doing the repairs yourself if you have the necessary skills. It is important to keep in mind that some repairs may require permits from the local building and safety department, so be sure to check with them before starting any work.
Step 3: Obtain a Certificate of Compliance
After making the necessary repairs, you will need to obtain a certificate of compliance from the local building and safety department. This certificate verifies that the property is now up to code and can be sold. Please keep a copy of the certificate, in case you need to show it during the processing of selling your house.
Liens from Code Violations in Los Angeles
In Los Angeles, a property owner will usually receive multiple Notices to Abate the code enforcement violation. If there’s no response from the property owner, Building and Safety will send out a Notice to Comply. In extreme cases where the code violation poses a major nuisance and threat to the local community, the local city leaders may grant Building and Safety the right to abate the situation and invoice the property owner for the full costs. Then, Building and Safety will put a lien on the property in order to get reimbursed.
If you have received letters from the Department of Building and Safety (LADBS if in Los Angeles) or the Code Enforcement division, and you don’t have the time or money to fix it, you can still opt to sell your house as is and cashout.
Sell Your House To Fair Sale Homes
If the required repairs are too expensive for you to make the necessary repairs or you have a lien against the property from Building and Safety or your city, you can still sell your house in Los Angeles successfully without making those repairs. Professional real estate buyers from Fair Sale Homes can assess your situation and take on the repairs, so that you can sell your house and walk away with your profit. Whether you are buying or selling real estate in Los Angeles, Fair Sale Homes would love to help you achieve the best outcome possible.
Are you thinking about buying or selling a home in Los Angeles? Fair Sale Homes is actively helping buyers and sellers in Los Angeles. Reach out to Fair Sale Homes to learn more about the various options available to you. There is never any cost, hassle, or obligation to work together. We are happy to answer any questions you have about buying or selling real estate in Los Angeles whether or not you choose to work with our team! (626) 863-7006
WE BUY HOMES across cities Southern California. A sample of cities where we buy homes for cash: East Los Angeles, Lincoln Heights, Silver Lake, Atwater Village, Van Nuys, Northridge, Pacoima, Panorama City, Harbor City, and Wilmington. Also, we buy apartments in Los Angeles, CA. Whether you are experiencing home foreclosure, code violation, failed property sale, or simply have an unwanted property, we will work with you to find a solution.