There are many times when a home has a substantial amount of square footage that is not reflected on title information.
It could or could not be permitted, but the main issue is how to deal with it when appraisal time comes around.
I spoke to a few appraisers regarding this issue and the consensus is that if the extra square footage is not permitted, then they really cannot give it any value.
So in essence, the value has to come from the prospective buyer. If they love the home enough, they are more than likely going to have to come up with the extra cash deficit that the bank will not lend on that was agreed to on the purchase contract.
Either that or both parties will have to re-nogetiate price, if that's even possible.
As a listing agent, it's probably best to see if it's possible that the extra square footage is possibly permitted from county records.
Another approach is to disclose that the buyer will have to verify permits on their own.
But the best thing to do is discover as much as possible and put it all out on the table.
Non-disclosure is a recipe for disaster.......................
