An unverified unit is not automatically proven illegal, but a listing, rental history, or incomplete record does not prove that its current use is authorized either. Keep the status question specific: what does the relevant authority’s current record say about this address, this unit, this work, and this use? Then check any separate notice, occupancy, tenancy, transaction, or financing issue with the body that governs it.

Read any notice on its own terms

If an authority has issued a violation, enforcement notice, order, or failed-inspection report, identify the issuing body, affected work or use, required action, deadline, appeal route, and any continuing conditions. Do not assume that filing a permit application suspends a deadline. In England, planning enforcement guidance describes several possible responses, including a retrospective application when the local authority considers it appropriate; an invitation to apply is not a promise of permission. Building-regulations approval and other permissions remain separate.

Separate the right to occupy from evidence of approval

Occupancy rules depend on the location, building type, and applicable approval. In New York City, the Department of Buildings says buildings that require a Certificate of Occupancy may not legally be occupied until a Certificate of Occupancy or Temporary Certificate of Occupancy has been issued. A separate Local Law 126 pilot may allow an eligible existing basement or cellar unit to remain occupied temporarily under an Authorization for Temporary Residence before a final Certificate of Occupancy. As of September 27, 2026, DOB says it is not accepting those applications pending its rules, so the pilot is not a currently available basis to occupy a unit. Check DOB’s current ADU program page for current status and limits. These NYC-specific routes do not determine another authority’s occupancy rules.

An unresolved permit question also does not by itself answer every landlord-tenant question. British Columbia’s Residential Tenancy Branch says that, where a tenancy can be proven, the Residential Tenancy Act may apply even if the suite is unauthorized under local bylaws. This is a B.C. tenancy-law boundary; it does not establish municipal permission, building safety, or lawful occupancy, and it should not be generalized to another province or country.

Treat sale, lending, and insurance as separate checks

Municipal records can be requested during a sale or refinance, but the report may not decide permitted use or private transaction terms. A Toronto Property Information Report, for example, describes permits on file, inspection status, and certain outstanding orders, and the City says it does not outline permitted use. Read the issued report and request the appropriate zoning or suite-specific confirmation separately.

Mortgage and appraisal programs may define which properties or rental income they will consider. Those underwriting rules do not make a unit legal under local zoning, authorize occupancy, or replace a building inspection. Insurance coverage and sale consequences depend on the actual policy, disclosure duties, contract, and jurisdiction; confirm them directly rather than inferring them from permit status alone.

Use a precise status label

  • Recorded legal: a relevant authority record or certificate identifies the approved work or use; confirm its date and scope still match the unit.
  • Unverified: available records have not established the current status. This is not itself a finding that the unit is illegal.
  • Regularization available: a local retrospective route appears to apply; eligibility and approval remain for the authority to decide.
  • Enforcement or correction required: an authority has identified a response, correction, inspection, or deadline. Follow the actual notice.
  • Confirmation needed: records conflict, omit material facts, or require a property-specific authority decision.

For the records process, see how to check an existing unit. For a certificate’s scope, see completion and legal-status records. For a New York City illegal-conversion notice, the NYC correction guide describes DOB’s published correction steps. None of these general labels is a legal opinion about an individual property or tenancy.