Unpermited Work

[Bluekiwi]

How does this work if you buy a house that has had kitchens and bathrooms put in without a permit.

Apart from the issue of when you have to sell, this affects the price you will get.

But what if it is a long term hold you are landbanking anyway and the cash flow is quite decent due to multiple income streams and this makes the property cash flow nuetral.

Where is the danger.

How does the council fit in with all of this.

Is the danger if they find out somehow.

If they do find out, what do they do ?

[Dean@Massiveaction]

You will discover the joys of abatement notices.
Mine cost me around 75K, great fun :-)

[Bluekiwi]

I think I have my answer, thank you Sir.

[Mojo]

You will discover the joys of abatement notices.
Mine cost me around 75K, great fun :-)

poomba, could you please elaborate!!

[glamourpuss]

There may also be issues if you ever had an insurance claim - esp if it was due to water damage related to unpermited plumbing.

[Aston]

There may also be issues if you ever had an insurance claim - esp if it was due to water damage related to unpermited plumbing.

Or a roof leak due to unpermitted roofing or a fire due to unpermitted wiring or water damage due to a leaking unpermitted window or door.... the list goes on and on.

It's not a question of "if they find out somehow"..

I suggest that you appraoch the Council now and instigate the process of getting it put right and becoming compliant.

[glamourpuss]

You may also have difficulty getting finance for such a property......the banks often make insurance a condition of the mortgage and getting an insurance company to cover the property in the first place may be difficult.
We have bought property at a discount because of a fireplace that wasn't permitted but this was very simple to bring up to code and get it compliant.

A full kitchen and bathroom without permit would seem a major - you would need good advice from reliable tradespeople on the work required to make it compliant and a large discount to allow for the left field events that always occur to make it worth your while.

[Bluekiwi]

It could be as much as 3 unpermited kitchens and bathrooms and walls moved, but at least one.

I have heard enough thanks guys to know I need to stay clear.

[Dean@Massiveaction]

If you have unpermitted work, especially involving additional stoves/sinks or loos and therefore increased tenants and anybody complains the council can issue an abatement notice giving you 14 days notice to remove the kitchens etc and tenants.

So as you can't evict tenants in 14 days on day 15 they fine you, in my case $750, and then they refine you every 14 days for non compliance until you remove the tenants and get the property 100% legal. And because you are now the enemy they go through the property with a fine tooth comb and make sure it costs you a total fortune to get it compliant.

[MarkS]

All the above warnings are correct. This can turn into a minefield. But it can depend upon what records the council have. If the council have detailed plans, etc for the house so the changes are easily detected then be cautious but if they haven't then you may have some room to move.
Like everything with PI'ing risks apply and you will have to make a judgement call.
I, personally, have as little council involvement as possible due to incompetency and a swamp of red tape but sometimes it pays to.

[drelly]

What about something like turning a garage into another bedroom? The wiring shouldn't be an issue as I think we're allowed to do wiring ourselves up to the mains box. When I've considered doing this is in the past, the sticking point has been that the foundations in older houses don't have the right waterproofing... ground course(?)

I doubt many of us own houses over 30 years old where everything had a consent. It was like that when I bought it Your Honour!

[Wayne]

What about something like turning a garage into another bedroom? The wiring shouldn't be an issue as I think we're allowed to do wiring ourselves up to the mains box. When I've considered doing this is in the past, the sticking point has been that the foundations in older houses don't have the right waterproofing... ground course(?)

I doubt many of us own houses over 30 years old where everything had a consent. It was like that when I bought it Your Honour!

allowed to do wiring yourself - I don't think so. You are allowed to wire your own house (one for you to live in not just one you own) but must still have it inspected by a registered electrical inspector (not your sparky mate). If your sparky mate wants to sign the work off as his own and issue a compliance then fine.

[drelly]

Ah yes, my mistake. I forgot it was on our own house.

[glamourpuss]

Is it ok to replace broken power points yourself or does this require an electrician to be compliant with council and insurance companies?
This would be in a rental property not our own home.

[Wayne]

Is it ok to replace broken power points yourself or does this require an electrician to be compliant with council and insurance companies?
This would be in a rental property not our own home.

no you can't - it is fixed wiring.