Closings glossary

Certificate of Occupancy (C of O)

The Department of Buildings document that fixes a building's legal use and occupancy. Lenders and title companies read it to confirm the property can lawfully be used the way it is sold.

What is a Certificate of Occupancy?

Quick Answer

A Certificate of Occupancy is the Department of Buildings document stating a building's legal use and occupancy: how many dwelling units it may contain and what each floor may be used for. When actual use does not match the C of O, the mismatch is a defect in the building itself.

The full definition

The Department of Buildings document that fixes a building's legal use and occupancy. Lenders and title companies read it to confirm the property can lawfully be used the way it is sold.

Also called: C of O, CO.

Where does certificate of occupancy (c of o) come up in a New York City closing?

A Queens house is marketed as four units while the C of O says three, so the lender declines until the use is corrected or the C of O is amended.

What else should you read before closing?

In the glossary

Have a closing coming up?

Tell us about the transaction. An attorney reads every intake form and responds the same business day.

Legal Disclaimer: This page is general information about New York practice. It is not legal advice, it does not account for the terms of any particular contract, building or transaction, and reading it does not create an attorney-client relationship. This is attorney advertising. Prior results do not guarantee similar outcomes.