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Owner Builder Permit Scams

Are you familiar with the owner builder permit scam?  This is where a full service builder signs a contract to build or remodel your home and then asks you to pull the permit as an owner builder.  This is bad for you and good for them.  Why? 

If you intend to build your project as an owner builder, you understand that all of the responsibility for the quality, budget and schedule is on your shoulders.  In this case, you know the risks that come along with the big savings you'll realize as a result of your hard work.  When you hire a full service general contractor, you pay them to take full control over the project...and in doing so, expect them to take on the risks.  Unfortunately, when you sign for an owner builder permit, you are accepting the risk for the project.  We call this the owner builder permit scam.

But why would a contractor ask you to pull an owner builder permit when they have full intention of managing the entire project?  It could be that they lost or never received a general contractor license.  Or maybe they don't carry the proper insurance or bonding to work in your community.  Whatever the reason, the owner builder permit scam is in the contractor's best interest, not yours.

Check out this video as we give details of why you should force any full service general contractor you work with to pull their own permit.  Avoid the owner builder permit scam unless of course you really do plan to take on the owner builder role and save some money.

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If you want to learn more about how the typical new home schedule works, check out our newest Armchair Builder Digital Resource.  We walk you through the building of a new home from excavation to closing.  There really is a right way to schedule a new home build.  Find out more at our ESTORE.

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