Eric Feichthaler

Dear Mr. Feichthaler:

I am under contract to purchase a home in Cape Coral, and a open permit is on the property for some minor electrical work. The closing is in a few days, should I ignore it and close, or request an extension so the seller can close it out?

— Paul H.

Dear Paul:

Your issue is a common one. Sometimes, the current owner is in the process of finishing work on the property to make it more saleable, while other times the permit could be from a long time ago. It should be noted that open permits are not considered a defect on title, and some title companies may not bring an open permit to a buyer’s attention. At our firm, we inform the sellers and buyers on any Cape Coral transaction regarding open permits, turtle nest and burrowing owls, as reflected on the city payoff report.

What to do will depend on the scope and timing of the work covered under the permit. You note the permit related to minor electrical work, so you will first want to ask the seller if he or she will close it out prior to closing, and specifics regarding what the permit was pulled for. Many times, the seller may have already scheduled final inspection, and the matter will be resolved by closing. However, if the permit covers more significant work, you may want to take additional actions to protect your interests. Open and expired permits run with the land, so you will be responsible to clear permits that exist at closing. A recent law adopted two years ago also provides local governments the ability to close out permits when there is no safety issue to the public. This can be particularly useful when no actual work was done under a permit.

There are a lot of factors to consider when dealing with an open or expired permit, so it is advisable to seek legal advice prior to closing on this purchase. However, if the seller resolves prior to closing, then legal advice may not be needed.

Congratulations in advance of your purchase.

Eric P. Feichthaler has lived in Cape Coral for over 33 years and graduated from Mariner High School in Cape Coral. After completing law school at Georgetown University in Washington, D.C., he returned to Southwest Florida to practice law and raise a family. He served as mayor of Cape Coral from 2005-2008, and continues his service to the community through the Cape Coral Caring Center, Cape Coral Historical Museum, and Cape Coral Kiwanis. He has been married to his wife, Mary, for over 20 years, and they have four children together. He earned his board certification in Real Estate Law from the Florida Bar. He is AV Preeminent rated by Martindale-Hubbell for professional ethics and legal ability, and is a Supreme Court Certified Circuit Civil Mediator.

This article is general in nature and not intended as legal advice to anyone. Individuals should seek legal counsel before acting on any matter of legal rights and obligations.