Triplex Oustanding Permits?

[Bryce Shortall]

Hello all!

Was hoping I could receive some info on the permitting process for a triplex. I’ll explain the surrounding circumstances, I’ve been an eyeing an attractive MFH property that has a nice cash flow potential for my area, but the realtor said it is having trouble selling due to the fact that the latest permits were never acquired before the construction/expansion of some of the units. They’re all built and to my understanding some of them have been occupied as of this year.

Now hearing this issue perked my ears up as a potential striking point for a bargain deal, especially if I could negotiate a lender to consider the permitting issue to be covered by a 203k (possible streamline even). Was wondering if anyone has experience with this, especially in the infamous permitting dungeon of central cost CA? Is this something that could even be considered for a 203k? Any and all help greatly appreciated!!!