Selling a Las Vegas Home with Outstanding Permits

by Ryan Rose

Permits were pulled for work on your home, but the work was never inspected and the permits were never closed. Now you want to sell, and those open permits create complications. Understanding how outstanding permits affect your sale and what to do about them helps you navigate this situation.

What Outstanding Permits Mean

When permits are pulled but not finaled (closed), it means the work was never inspected and approved by the city. This raises questions:

Was the work completed? Open permits might indicate unfinished projects.

Was it done correctly? Without inspection, there is no verification the work meets code.

Is it safe? Uninspected electrical, plumbing, or structural work raises safety concerns.

Permit Type	Concern Level
Electrical	High, safety implications
Plumbing	High, water damage risk
Structural/additions	High, safety and code compliance
HVAC	Medium, functionality concerns
Pool/spa	Medium, safety and liability
Cosmetic/minor	Lower, but still needs resolution

How Buyers and Lenders Discover Permits

Open permits typically surface through:

Title search. Title companies often check permit records and flag open permits.

Buyer research. Savvy buyers or their agents check permit history online.

Home inspection. Inspectors may note work that appears unpermitted or question permit status.

Lender requirements. Some lenders require permit verification for recent work.

Impact on Your Sale

Outstanding permits create several problems:

Title issues. Some title companies will not insure properties with open permits, or require resolution before closing.

Buyer concerns. Buyers worry about code compliance, safety, and potential costs to remedy.

Lender requirements. Financed buyers may need permits resolved to obtain loan approval.

Negotiation leverage. Buyers use open permits to request credits or price reductions.

Your Options

You have several paths to address outstanding permits:

Close the permits. Contact the building department, schedule inspections, and get the permits finaled. This may require some work if the original construction does not pass inspection.

Hire the original contractor. If the contractor who pulled the permit is still in business, they may be able to close it out.

Hire a new contractor. A licensed contractor can take over the permit, make any needed corrections, and get it inspected.

Apply for retroactive permits. If permits expired without work being inspected, you may need to apply for new permits and go through the inspection process.

Disclose and price accordingly. If resolution is impractical, disclose the open permits and price the home to account for buyer risk.

The Inspection Process

If you pursue closing permits, be prepared:

Work may not pass. If the original work does not meet code, you will need to make corrections.

Access may be required. Inspectors may need access to areas that have been covered (walls opened, etc.).

Multiple inspections. Complex permits may require several inspection stages.

Time required. The process can take weeks, affecting your selling timeline.

Cost Considerations

Resolving open permits has costs:

Permit fees. May include penalties for expired permits.

Contractor fees. If work needs correction or a contractor must take over the permit.

Inspection fees. Multiple inspections may have associated costs.

Correction costs. If work does not pass inspection, repairs are needed.

Weigh these costs against the impact of selling with open permits unresolved.

Checking Your Permit Status

Before listing, check for open permits. Clark County and local municipalities have online permit search tools. Search your address to see what permits exist and their status.

If you discover open permits you did not know about (from previous owners), you still need to address them or disclose them.

Disclosure Requirements

You should disclose known open permits to buyers. Attempting to hide them creates legal liability when they are discovered, and they usually are discovered.

Where to Start

If you are selling a Las Vegas home and suspect or know you have outstanding permits, addressing them early prevents closing delays. I can help you understand your options and navigate the process.

Ready to discuss your situation? Request a free home evaluation here or reach out directly to talk through your options.

Frequently Asked Questions About Selling Las Vegas Homes With Open Permits

Q1: Can I sell my Las Vegas home if I have open permits?

Yes, you can sell a home with outstanding permits, but it will likely create complications. Many title companies require permits to be closed before issuing title insurance, and lenders may require resolution before approving a buyer's loan. You'll need to either close the permits before selling or disclose them to buyers and adjust your price accordingly to account for the buyer's risk and potential costs.

Q2: How do I find out if my Las Vegas home has open permits?

You can check for open permits through Clark County's online permit search tool or your local municipality's building department website. Simply search your property address to see all permits that have been pulled and their current status. It's important to check this before listing your home, as open permits from previous owners are still your responsibility to address or disclose.

Q3: How much does it cost to close outstanding permits in Las Vegas?

Costs vary depending on the type and complexity of the permit. You may face permit fees (including potential penalties for expired permits), contractor fees if you need professional help, inspection fees for multiple visits, and correction costs if the work doesn't pass inspection. Simple permits might cost a few hundred dollars, while complex electrical, plumbing, or structural permits requiring corrections could cost several thousand dollars.

Q4: What happens if unpermitted work is discovered during a home inspection?

If a home inspector identifies work that appears unpermitted or questions permit status, buyers will typically request documentation proving the work was permitted and inspected. This gives buyers significant negotiation leverage to request price reductions, repair credits, or permit resolution as a condition of sale. In some cases, buyers may walk away from the deal entirely if major unpermitted work is discovered.

Q5: Can the original contractor close out permits they pulled?

If the contractor who originally pulled the permit is still licensed and in business, they may be able to close it out. However, if they're unavailable or unwilling, you can hire a new licensed contractor to take over the permit. The new contractor can make any necessary corrections and schedule the required inspections to get the permit finaled.

Q6: Will open permits prevent me from getting title insurance?

Many title companies will flag open permits during their search and may refuse to issue title insurance until they're resolved. Some title companies may issue insurance with exceptions excluding coverage for issues related to the unpermitted work. This varies by company and the severity of the permit issue, but it's a common obstacle that can delay or prevent closing.

Q7: What are retroactive permits and when do I need them?

Retroactive permits are needed when permits expired without inspection or when work was completed without ever pulling permits. You apply for new permits after the work is done, and inspectors will assess whether the completed work meets current building codes. This often requires opening walls or ceilings to allow inspection of electrical, plumbing, or structural work that's now hidden.

Q8: How long does it take to close outstanding permits?

The timeline varies based on permit complexity and whether corrections are needed. Simple permits with work that passes inspection might be closed in a few weeks. Complex permits requiring corrections, multiple inspections, or coordination with contractors can take several months. Plan for at least 4-8 weeks for most situations, and factor this into your selling timeline.

Q9: Should I disclose open permits to potential buyers?

Yes, you should absolutely disclose known open permits to buyers. Attempting to hide them creates significant legal liability when they're inevitably discovered during the title search, inspection, or buyer research. Full disclosure protects you legally and allows you to negotiate from an honest position rather than dealing with buyer distrust and potential legal action later.

Q10: Are some types of open permits worse than others?

Yes. Electrical, plumbing, and structural permits are the highest concern due to safety implications and potential code violations. HVAC and pool permits are medium concern, while cosmetic or minor permits create less worry. However, all open permits need resolution or disclosure, as even minor permits can cause title and lending issues during the sale process.

Q11: Can I sell my home "as-is" with open permits?

You can attempt to sell as-is with open permits disclosed, but you'll need to price the property significantly lower to compensate buyers for the risk and costs they'll assume. Even in as-is sales, you must disclose known permit issues. Additionally, many lenders won't finance properties with serious open permit issues, limiting your buyer pool primarily to cash buyers.

Q12: What if I didn't pull the permits—a previous owner did?

Unfortunately, open permits transfer with the property, not the owner. Even if previous owners pulled permits and never closed them, you're responsible for addressing them when selling. This is why it's important to check permit status when buying a home, but if you discover them later, you still need to resolve or disclose them to your buyers.