How M/I Homes Uses This Clause
M/I Homes purchase agreements have been documented to include certificate of occupancy / change order escalation provisions. Changes to selections or design after contract execution may be subject to significant change order fees and markups. The purchase agreement may grant the builder sole discretion over whether to permit changes and at what cost. Buyers should confirm change order pricing before signing the purchase agreement.
This provision typically appears within the purchase agreement alongside other terms that may limit buyer remedies. Because M/I Homes operates across multiple states, the enforceability and practical impact of this clause varies depending on where the home is located.
M/I Homes's scale means contract templates are largely standardized across its operations. A clause identified in one market's contract is likely present in other markets' contracts, though local addenda may modify the terms.
Builder-Specific Details
Combined with Closing Penalty
Certificate of occupancy issues may interact with closing deadlines and associated penalties.
Regional Contract Patterns
M/I Homes operates in a more focused geographic footprint. Contract terms may vary somewhat between markets, but documented patterns tend to be consistent across the builder's operating states.
Standard Form Contract
This clause appears in M/I Homes's standard purchase agreement, which is generally presented on a take-it-or-leave-it basis. Buyers typically have limited ability to negotiate individual terms, though making the request in writing is still advisable.
State-by-State Enforceability
Enforceability of this clause varies by state. The following reflects M/I Homes's operating states.
| State | Status | Note |
|---|---|---|
| Ohio | Likely Unenforceable | Ohio has a statewide building code, the Ohio Building Code (OBC), administered by the Ohio Board of... |
| Indiana | Uncertain | Indiana has a statewide building code administered by the Indiana Fire Prevention and Building... |
| Michigan | Likely Unenforceable | Michigan has a mandatory statewide building code, the Michigan Building Code, established under the... |
| Illinois | Uncertain | Illinois does not have a mandatory statewide residential building code that applies to all... |
| North Carolina | Likely Unenforceable | North Carolina requires a certificate of occupancy before a building may be occupied under the North... |
| South Carolina | Uncertain | South Carolina requires compliance with the International Building Code and International... |
| Florida | Likely Unenforceable | Florida law requires a certificate of occupancy before a building may be occupied. The Florida... |
| Texas | Uncertain | Texas does not have a statewide statute requiring a certificate of occupancy before residential... |
| Tennessee | Uncertain | Tennessee does not mandate a single statewide building code for all jurisdictions. Tenn. Code Ann.... |
| Minnesota | Likely Unenforceable | Minnesota has a mandatory statewide building code, the Minnesota State Building Code, administered... |
| Virginia | Likely Unenforceable | Virginia has a mandatory statewide building code, the Virginia Uniform Statewide Building Code... |
| Pennsylvania | Likely Unenforceable | Pennsylvania has a mandatory statewide building code, the Pennsylvania Uniform Construction Code... |
| Maryland | Likely Unenforceable | Maryland requires a certificate of occupancy under the Maryland Building Performance Standards (Md.... |
| Georgia | Uncertain | Georgia requires compliance with state minimum building codes under O.C.G.A. Section 8-2-25, and... |
| Colorado | Uncertain | Colorado does not impose a single statewide CO requirement for residential construction.... |
Related Clauses in M/I Homes Contracts
This clause often works in combination with other provisions in M/I Homes's purchase agreements.
Certificate of occupancy issues may interact with closing deadlines and associated penalties.
Items that emerge between CO issuance and closing may fall outside punch list scope.
What Buyers Can Do
- Understand what the certificate of occupancy covers. A CO means the home meets minimum code requirements for occupancy. It does not mean the home is defect-free or that all contracted work is complete.
- Review change order terms. Understand how changes to the original specifications are handled, including pricing, approval, and timeline impacts.
- Have the full contract scanned before signing. This clause is often one of several interconnected provisions in M/I Homes contracts that collectively limit buyer remedies. A contract scan can identify all of them.