You really don't want to buy this liability if you aren't being paid for it.Either way, Seller will be stuck with disclosing the unpermitted work to future prospects which should be motivation to resolve the issue.

Main part as a licensee is disclosing license status and whatever state law requires with that specifically.

Is the seller or the seller's agent guilty of not disclosing these notices?

Do I even have to disclose that to them as long as I get the loan before I start school and continue to make payments on time?

As a Realtor you will need to be careful and disclose that you're a licensed real estate professional when negotiating with sellers in foreclosure.

Before you are allowed to see an offering structured as a 506(c), securities regulations require that an advisor determine your suitability for an investment, disclose investment risks and give you a chance to ask questions.  

If they don't and you don't disclose it, you are committing fraud.

I respected the fact it was one of the first things disclosed to me when we met, when most I believe would lie just to have a place to live.

Most people who have funds to lend also have considerably more than they will disclose when they do their first deal with you.

We base the straddle on the IRR and all other fees are disclosed up front so there is no way to manipulate the numbers.