What Happens if You Remodel a Home without a Permit?

In 2022, the home improvement expenditure in the U.S. made around 566 billion U.S. dollars. Homeowners remodel a house either as a way to boost comfort or to increase the property’s value. However, remodeling projects require permits. Despite this, some individuals don’t bother getting all the necessary paperwork.

What happens when you do home renovation without getting a license? Keep on reading to find out.

Reasons to Make Repairs Without Authorization

Some reasons why people carry out remodeling without a permit, even though they are aware of the need, are as follows:

Construction Permit Prices Are High

You can spend a few hundred dollars on a permit for projects that do not involve plumbing or electrical work, while in other cases, some permits cost over $1,000.

For instance, getting a permit for a residential garage may cost over $500, whereas a residential deck building permit costs $256. Having a furnace, water heater, stove, or dryer replaced may cost around $67, while getting a fireplace insert with new pipes installed will cost at least $91 for the permit. A temporary power pole installation permit also costs $158.60.

Besides the high costs, there’s also the risk of you getting into a lawsuit as contractors may not be honest about not getting permits, asking you for money for documents you’ll never see. To avoid this, you should contact the local building department and ask them if permits are necessary.

Despite the known risks, some people proceed without an authorization to avoid paying huge fees or to prevent delays in construction.

Permitting Was Skipped by the Previous Owner

Because many homeowners did remodeling without a permit in the past, some people may be tempted to do the same thing. In other cases, homeowners unintentionally do work without reporting it.

If the previous homeowner, who is seen as a figure of authority, did it without getting caught, new homeowners trust this information. Thus, they believe they can also get away with it and renovate without a permit.

There’s Constant Change in Permit Laws

For instance, laws regarding carbon emissions and energy use for buildings changed, requiring less carbon dioxide emissions. If your project got a permit for the old standards, you may not be able to proceed with the upgrade, especially if you’re not far in the process and the new laws will be in place before the work is done.

In Which Cases There Are Consequences

Remodeling a house without having a permit can lead to severe consequences, such as:

• Making your home insurance invalid

If your home insurance clearly states that you need permits for all alterations, demolitions, or constructions, and damage occurs due to improper building conditions, your claim may be rejected because you don’t meet the requirements.

• Having to do all the work again

The municipality may learn about the situation from someone else or see the work when they visit your property, in which case they’ll ask you to redo it after getting a permit. The costs of getting a license and doing the work from scratch again will be very high.

• Putting your safety or your tenants’ safety at risk when

Having no permits means the work may not adhere to the building standards, in which case it may be done improperly and fail after a while, endangering anyone who lives on the property.

If you do not get a permit to do remodeling work, buyers will see this as their opportunity to negotiate, while some will refuse to buy your house in the first place. You may have to lower the cost of the property.

As the seller, you must disclose all remodeling to your buyers. Not doing so will give your buyers grounds to sue you.

Furthermore, some inspectors will force you to get a permit even if a project was finished.

Conclusion

Remodeling a home without a permit could bring higher costs, legal issues, and even safety risks for those living on the property or selling the house. It’s always best to obtain the license before starting work to avoid lowering the cost of your house sale, getting into trouble with the municipality, or even endangering someone else’s life.