What Is a Certificate of Occupancy When You Sell?

In New York, an accepted offer is usually followed by attorney review and a signed contract. During that review, the buyer's attorney may ask to see the certificate of occupancy for the house, and may ask for records on any additions or changes made since it was built.

The reason is simple. The buyer's side wants the paperwork on file with the town or village to line up with the building on the ground. If it does not, that is better to learn about early than at the closing table.

This is why we tell sellers to think about it before listing, not after the offer arrives. Our post on what happens after you accept an offer in New York walks through where attorney review fits in the timeline.

Before you list, walk the property and make a plain list of what has changed since the home was first built or since you bought it:

• Additions or bump-outs
• Finished basements or attics
• Decks, porches, and enclosed porches
• Garages that were converted or added
• Added bathrooms or a second kitchen
• Pools and similar structures

For each item, ask the building department whether a permit was pulled and whether the work was closed out with a certificate. If you did the work yourself, keep any permit papers, plans, and the survey together in one folder. If a previous owner did the work, the building department's file is the place to ask.

When we walk through the home with you, we can point out visible changes and note them for the list. Whether the paperwork is complete is a question for the building department.

Start with the building department for the exact address, and check whether the house sits in an incorporated village with its own office.

In Nassau County, do not start at the county clerk. The Nassau County Clerk says the survey, title report, and certificate of occupancy are not recorded documents, so the clerk does not maintain those records.

Then look at how the building department takes requests. Procedures and fees differ from one office to the next, so these are good questions to ask:

1. Is there a records or certificate of occupancy request form, and is there an online option?
2. Do you offer a certified copy and an uncertified copy, and what is the difference?
3. What do you need from me, such as the full address or a tax map number?
4. What is the fee, and how is it paid?

For a sense of how one town handles it, the Town of Babylon says the fee is $50 per request for a certified CO and $25 for an uncertified CO. Other offices set their own fees.

If you need to apply for something new, ask the office what to bring first. The Village of Old Westbury states that building department applications, detailed plans, surveys, and fees must be submitted together in person.

Do not guess, and do not wait for the buyer's attorney to raise it. Tell your attorney as soon as you know. Your attorney confirms what your sale requires and how to handle open permits or a missing certificate, because the answer depends on the work, the municipality, and the contract.

A licensed contractor or architect, or the building department itself, can explain what closing out older work would involve. Tax questions that come up are for your tax professional.

On our side, we keep the sale moving while those answers come in. We work with your attorney, the buyer's side, and the lender, and we tell you plainly where a paperwork question could affect the timeline.

If you are thinking about listing, see how a sale with us works, read our other selling guides, or reach us through our contact page. You can also call or text (631) 213-2005.