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Old 05-08-2007, 06:57 PM   #16
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Tax benefits for basement remodel?


An obvious tax benefit is when you sell the house. You can add the cost of refinishing the basement, or the value of it, to the cost basis of the house.

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Old 05-08-2007, 10:43 PM   #17
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Tax benefits for basement remodel?


i guess i might want to possibly think about doing some research on what i need a permit for....
i know several ppl that have done basement remodels ranging from a couple of thousand to 40-50k and none of them got permits for anything.

other than insurance reasons, why would i want to report my renovations ( i am seriously asking this)?
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Old 05-09-2007, 07:41 AM   #18
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Tax benefits for basement remodel?


Quote:
Originally Posted by sleepy23 View Post
i guess i might want to possibly think about doing some research on what i need a permit for....
i know several ppl that have done basement remodels ranging from a couple of thousand to 40-50k and none of them got permits for anything.

other than insurance reasons, why would i want to report my renovations ( i am seriously asking this)?
1.) Because it is the law in just about every US area.

2.) By having an experienced and 'usually' qualified inspector examine all the work that is being done by the contractors you hire, you are getting someone who your tax dollars pay, to inspect and make sure that the work is being done properly, and that you, your home, and your family will be safe.
If you have a question about anything, all you have to do is call and ask the inspector.

3.) It is a system that protects others: When a house goes up for sale. How do you know if there was work done on it, and that it was done properly and done safely (i.e. - electrical, structural)?
With permits, you can check records to make sure that there was not work done that has actually damaged the house. Truthfully, we have worked in homes that were severaly damaged and comprimised by previous owners doing work on them (without permits). If you own a home, put it on the market, and list that the basement was 'remodeled', or a room 'added-on', and then the other party goes to the town hall to check on the permit and there is none.....Now, not only does this person know, the town now knows.

4.) Neighbors have eyes.....and those neighbors like to tell the town.
Years ago, we started off repairing a deck, and then ended up having to rebuild an area of it and add onto it. Right before we were able to apply for a permit (Because the job grew so quickly), a neighbor called inspectional services.
Why, because the couple who's house we were working on, had called to complain about their 'barking' dog the previous year. It was 'tit' for tat'. Ultimately we had no problem with the inspector, he knew us, and understood the situation completely.

(Also - Neighbors may even call simply out of Jealousy)

Always do things legitimately and by code requirements and you will save yourselves alot of headaches.

Last edited by AtlanticWBConst.; 05-09-2007 at 08:59 AM.
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Old 05-09-2007, 08:54 AM   #19
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Tax benefits for basement remodel?


One main reason is I can think of: if someone put an offer in a purchase of a home.... then want to back out after a month or so... one way may be they check any illegal stuff in the house... find one... may be they can use that as a reason to back out... so may be as a homeowner... when you want to have peace of mind when selling the house... this is a good reason to get permits on everything....

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