North Carolina Flipping Question

3 Replies

Hi Y'all,

I've found a house that I plan to flip in Chatham County, NC (Chapel Hill). I've done various repair work in other states/counties, but this is my first in Chatham and my first ever I plan to do the majority of the work. I'm trying to read up on pulling permits and recently came across this line:

"Individuals acting as their own contractor must be the landowner, permit applicant and the person signing the application. The landowner also must complete the work and reside in the home for at least one year upon completion....Building permits shall not be required for non-structural work under $5000..."

When applying for the permit, there's an affidavit you must sign and notarize attesting to the 12mo personal occupancy, or else you received the permit fraudulently.

So if you must reside in the home for one year, how does anyone flip a house or do reno yourself in Chatham County? If you have to pull permits for anything over 5K, and your looking to flip or rent a house post-reno, is there no way to do that legally? It looks like you must hire a GC and can't just sub out the work - am I reading that right? Does anyone have any experience with this or with permitting in Chapel Hill nc or Chatham County, NC? If I have to hire a GC, I will - just trying to figure out how anyone does anything themselves (i.e hanging drywall, tiling, kitchen cabinets, fencing a yard, framing closets, etc) if the cost goes over 5K.

You're reading it right. Get your GC license, or pay a GC to pull the permit and "oversee" the project. 

This law helps prevents uneducated investors from taking on big projects and potentially leaving landmines for future homeowners. 

Originally posted by @Steven Griffith :

Hi Y'all,

I've found a house that I plan to flip in Chatham County, NC (Chapel Hill). I've done various repair work in other states/counties, but this is my first in Chatham and my first ever I plan to do the majority of the work. I'm trying to read up on pulling permits and recently came across this line:

"Individuals acting as their own contractor must be the landowner, permit applicant and the person signing the application. The landowner also must complete the work and reside in the home for at least one year upon completion....Building permits shall not be required for non-structural work under $5000..."

When applying for the permit, there's an affidavit you must sign and notarize attesting to the 12mo personal occupancy, or else you received the permit fraudulently.

So if you must reside in the home for one year, how does anyone flip a house or do reno yourself in Chatham County? If you have to pull permits for anything over 5K, and your looking to flip or rent a house post-reno, is there no way to do that legally? It looks like you must hire a GC and can't just sub out the work - am I reading that right? Does anyone have any experience with this or with permitting in Chapel Hill nc or Chatham County, NC? If I have to hire a GC, I will - just trying to figure out how anyone does anything themselves (i.e hanging drywall, tiling, kitchen cabinets, fencing a yard, framing closets, etc) if the cost goes over 5K.

 There is no getting around this. You would be acting as a non-licensed contractor. People that are flipping or renting hire GC's in NC. As you read it is against the law to do otherwise. What you listed is General Statute (Law) and NC is very serious about enforcement when it comes to unlicensed contractors. One thing you could do is hire a GC to pull permits and oversee the project and you can do the work yourself that does not require a license.