Contractor vs. owner-builder permits

Most US jurisdictions allow homeowners to pull permits for work on their own primary residence under what is commonly called an owner-builder exemption. The rules vary, and the limits matter, but the basic framework is consistent across the country. Who qualifies as an owner-builder. The exemption typically applies to the legal owner of an owner-occupied single-family home. It does not apply to investors who own rental properties, to LLC-held properties (in many jurisdictions), or to homes the owner does not personally occupy. Some jurisdictions limit owner-builder permits to once every two or three years, to discourage homeowners from repeatedly building and selling. What owner-builders are agreeing to. Pulling an owner-builder permit makes you the contractor of record. You are responsible for ensuring that all work is performed in accordance with the approved plans and the adopted code, for hiring and supervising any sub-contractors, for verifying their licenses and workers compensation coverage, and for the safety of anyone on the job site. You are also stepping into a role that licensed contractors carry liability insurance and surety bonds to cover; as an owner-builder, you generally do not have that coverage. What work can be self-performed. The exemption usually allows the owner to perform any work on the project that does not require a separate trade license. Some jurisdictions further restrict electrical and gas work to licensed trades regardless of who pulled the permit. Confirm the rules before you assume you can wire your own panel. When to hire a licensed contractor instead. Hire a contractor when the work involves systems you are not comfortable with (gas, structural framing, complex electrical), when the project is on a tight schedule that you cannot personally manage, when you will be financing the work and the lender requires a licensed contractor, or when you simply do not want to take on the supervisory responsibility. The contractor's overhead is the price you pay to transfer that risk and management burden to a professional.