Philadelphia Code Violations — Sold Despite $32K in Open Citations

The situation

Marcus had inherited a North Philadelphia rowhome from his uncle. The property had accumulated $32,400 in open code violations over 7 years of vacancy: roofing, broken windows, structural concrete, electrical service. Philadelphia L&I was threatening accelerated enforcement and a possible city-ordered demolition. Listing traditional was impossible — no buyer could close with $32K in open violations on title.

The challenge

Code violations attach to title and must be resolved before any traditional sale can close. A buyer's title insurance would have rejected the deal. Marcus had no cash to address any of the citations. Demolition by the city would have left him with nothing AND an outstanding bill.

What we did

1. Walked the property with our PA contractor to estimate repair scope.
2. Pulled the L&I violation file and verified the exact open citation amount.
3. Made a written cash offer of $42,000 (ARV $135K, $60K repairs + $32K citations).
4. Title company negotiated a payoff with the city for the citations at closing.
5. Closed in 19 days; all open violations cleared from title.

The outcome

All $32,400 in citations paid at closing from the sale proceeds. Marcus walked away with $9,600 net cash. The city dropped the demolition order. The rowhome has since been rehabilitated and is back in productive use.