You Need to Get Real Estate Permits

  • 10:00 am

Safety is the primary purpose for obtaining a real estate permit. The local government approved the key to allow you to proceed with your project.  

Glenn and Amber Schworm, founders of the Home Flipping Workshop, know all about real estate permits. 

In their new video titled, You Need to Get Real Estate Permits, they will teach you the importance of having those real estate permits and help you take your business to the next level. 

Learn everything you need to know about permits from these successful real estate investors:

  • Who needs permits?
  • What are they for in this industry?
  • When do you need them?
  • Where to get them?
  • Why are they essential?

    • There are pros and cons to getting real estate permits. Ask yourself if it will be worth it or not under certain circumstances.

    WHAT HAPPENS IF I DON’T GET PERMITS

    Without a permit, there is no guarantee that construction work will be up to code once completed. It’s important to also mention, if the homeowner’s insurance will cover any unforeseen issues. 

    Here are three most significant reason why you should secure a permit:

  • Any improvements done to the property run the risk of not being added toward the value of the property.
  • Unpermitted property could result in lawsuits against the owner of the property. You could have a problem obtaining funding or insurance.
  • Your city or your county can issue a stop work order. One out of five real estate lawsuits rises from unpermitted property—outright negligence.

    • AVOID NEGLIGENCE

    Getting those permits is critical to avoid problems down the line. Being aware of regulations before doing anything significant to any property is vital. 

    Initially, avoiding real estate permits may be pleasing to your finances, but is it financially sound in the long run? 

    Short-term thinking could have long-term consequences—better known as repercussions. 

    There could be financial and civil penalties if you opt out of obtaining the necessary permits.

    By law, you must disclose any known unpermitted construction to the property if you decide to sell it. It is fraudulent when sellers fail to disclose permits, which helps avoid liability. 

    DON’T GET CAUGHT

    Who wants government, city, or state entities telling them what they can and can not do with their property? Nobody.

    Remember, it is against the law to build or construct without a permit. “If you don’t get caught on the first job, you’ll get caught on the second job,” said Glenn Schworm.

    Many projects require permission so that they meet the code. People are confused and misinformed about what types of projects need a permit. The list below is some of the projects that will require a permit:

  • Building
  • Expanding
  • Modifying
  • Occupying
  • Demolishing
  • Altering the structure
  • Outdoor areas (extension of the building)
  • Erecting the building
  • Installing
  • Enlarging
  • Repairing (depends)

    • If unsure, you should contact your state or county permit office. Glenn and Amber strongly encourage real estate investors not take the risk of working without the proper permits.

    PERMITS AND INSPECTORS

    The permits you obtain are not complete until the inspection has been done and approved. Permits can expire within six months of issuance. 

    The real estate inspector will enforce state and local laws, ordinances, and regulations. They have several responsibilities and duties:

  • Issuing and denying permit applications.
  • Issuing and denying certificates of compliance.
  • Issuing certificate of occupancy
  • Issuing orders to correct violations.
  • Taking legal action against violations.
  • Enforcing the laws, ordinances, and regulations.

    • You can fail an inspection, but delays are not denials, and you can redo the work and get another evaluation. You will have the opportunity to make all necessary corrections required by the inspector.

    Knowing that the inspections are mandatory and integral to the permit process, you cannot ignore them as a professional real estate investor. 

    CERTIFICATE OF OCCUPANCY

    Everyone wants to know that their property is safe. The certificate of occupancy is a permit that says your property is suitable and meets all codes and requirements.

    From a zoning perspective, specific permits allow the use of commercial, industrial, residential, retail, or mixed-use purposes.

    Join Glenn and Amber Schworm at their upcoming Home Flipping Workshop. Let them explain even more details you need to know about permits and so much more.

    You will learn what happens when you complete a significant project or if you change a project type. During this 3-day course, Glenn and Amber Schworm explain when permits are required and non-negotiable.  

    We look forward to hosting you at our upcoming virtual Home Flipping Workshop.