Thinking about buying a house with a recent garage conversion or sunroom addition? Make sure it’s not hiding something that could cost you later. Unpermitted work is more common than many buyers realize. That doesn’t mean you should run, but it does mean you should slow down and ask the right questions. In today’s market, it’s common for buyers to come across homes with upgrades like patio covers, bonus rooms, or new bathrooms that were added without approval from the city. It’s easy to miss, but skipping permits can create expensive problems down the line.
Why Permits Matter
Skipping permits isn’t just about paperwork. It means the work was never inspected. That opens the door to safety issues, future repairs, or trouble with the city.
City permits are more than a formality—they make sure the work done on a property meets current building codes and safety standards. When a contractor or homeowner skips this step, it can lead to:
- Safety issues from uninspected wiring, plumbing, or load-bearing changes
- Insurance problems if a claim involves work that was never approved
- Fines or stop-work orders from the city
- Trouble when you go to sell or refinance the home
Even if it looks good on the surface, it’s what’s behind the walls that matters most.
Real Examples From Local Inspections
These aren’t worst-case scenarios from far away. These are real cases from right here in Texas.
Covered Patio Without Permit – Frisco, TX
During a recent home inspection we conducted in Frisco, Texas, we discovered an issue that’s becoming increasingly common in residential real estate: unpermitted additions. The buyer had booked the inspection for a property that featured a recently constructed patio. On the surface, everything looked solid—the concrete foundation was level, the structure was visually appealing, and it even had lighting installed. We confirmed that a permit had indeed been pulled for the patio itself. However, things took a turn when we looked up—literally.
The roof that had been added over the patio did not have a corresponding permit on file with the city.
When we pointed this out, the buyer’s real estate agent quickly downplayed the issue. “This kind of thing happens all the time,” they said, implying it wasn’t worth worrying about. While it’s true that unpermitted work isn’t exactly rare in fast-growing areas like Frisco, that doesn’t make it risk-free. We advised the buyer to call the City of Frisco’s Building Inspections Department for clarification.
Why? Because if the city becomes aware of unpermitted construction—even years after the fact—they have the legal authority to order the structure to be brought into compliance. That could mean applying for an after-the-fact permit (which often includes additional fees and inspections), making modifications to meet code, or in the worst-case scenario, tearing the entire structure down.
It’s especially risky for buyers who don’t know this in advance. What seems like a small oversight could end up costing thousands of dollars down the line.
We always recommend verifying permits for any major additions or structural changes. It’s not about nitpicking—it’s about protecting your investment.
Garage Conversion – Plano, TX
A home buyer in Plano closed on what seemed like the perfect house. One of the big selling points? A finished garage that had been turned into a spare room. It had all the signs of a professional conversion—painted walls, new flooring, HVAC vents, and lighting. Everything looked move-in ready.
But no one checked to see if the work had been permitted.
After the buyer moved in, things started to unravel. The room never stayed comfortable. It was hot in the summer, cold in the winter, and something just felt off. A closer look by a licensed contractor revealed the truth: the HVAC work didn’t meet building code. The ductwork was poorly installed, airflow was inadequate, and the space didn’t meet the standards required for a habitable room.
Since no permits were pulled and the issue wasn’t caught before closing, the entire burden of fixing it fell on the new homeowner. The final bill? More than $7,000—paid entirely out of pocket.
It’s a tough lesson in why permit checks matter. Renovations can look polished on the surface, but without city approval, there’s no guarantee the work was done safely—or legally.
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Water Heater Relocation – Dallas, TX
In Dallas, a homeowner ran into a costly problem after hiring a handyman to relocate their water heater. The goal was to free up space in the utility room by moving the unit into the attic—a decision that seemed practical at the time. But what happened next turned into an expensive mistake.
The handyman moved the water heater into the attic without pulling a permit, and more importantly, without installing the basic safety components required by code. There was no drainage pan beneath the unit. No overflow pipe. No safe discharge line. Just a water heater sitting above a finished ceiling with nothing to prevent water from leaking directly into the home below.
It didn’t take long for problems to surface. A minor leak developed, but without a pan or overflow pipe to contain or redirect the water, it went straight into the ceiling. Drywall was damaged, insulation was soaked, and staining appeared on the living room ceiling before the issue was even noticed.
When the homeowner filed a claim with their insurance company, they were hit with another surprise: the claim was denied. The insurer pointed to the fact that the work had been done without a permit and didn’t meet local building code requirements. Because the installation was unpermitted and lacked mandatory safeguards, it was deemed an uninsurable risk.
The homeowner was left to cover all repair costs out of pocket—not just the ceiling damage, but also the expense of properly reinstalling the water heater to meet code.
It’s a clear reminder that cutting corners to save time or money upfront can end up costing far more in the long run. Any time a major appliance is moved or installed—especially in places like attics—it’s essential to use licensed professionals and make sure all work is permitted and inspected. Otherwise, you’re not just risking damage—you’re risking the loss of coverage when you need it most.
Smart Steps for Home Buyers
You don’t need to be an expert in building codes. You just need to ask the right questions.
- Check the city’s permit site: Look up the address and see if recent work was approved
- Ask for receipts and contractor names: If the seller can’t provide them, be cautious
- Use your inspector: A good inspector will point out anything that doesn’t look original
- Retroactive permits: In some places, you can get the work inspected after the fact—but it might mean opening walls or tearing things out
- Talk to your agent and attorney: Don’t take “this is common” as a final answer. Ask what options you have for price reductions, repair credits, or even walking away
Before You Sign Anything
Unpermitted work doesn’t mean you should bail on the deal. But it does mean you should slow down, dig a little deeper, and be ready for surprises. The goal is to avoid expensive fixes, insurance problems, and headaches down the road.
If you’re buying a home in the Dallas–Fort Worth area, we’re here to help. At Stonebriar Property Inspections, we’ve seen it all—permitted or not—and we know what to look for before it becomes your problem.
