Buy and hold SFR with illegal additions

[Asim G.]

Hi,

I am new to the Phoenix market and am exploring the purchase of buy and hold SFR. I keep coming across properties that have a higher sqft in the listing than what shows up on the county site and I can only assume these are not up to code.

A lot of these properties are being sold by folks who picked them up from foreclosure court during 2009-2010 and they do not know about any history of modification.

What are the disadvantages of buying such a property. Does it qualify for loan and insurance. Is there any way the county records can be updated to reflect the modifications.

Thanks.