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Updated about 2 years ago,
Is a General contracting license needed to flip/rehab in AZ
Hello,
First time flipper here. I am interested in buying property and rehabbing it/changing it drastically from what it is now. In Scottsdale most houses can't really be flipped profitably say by just adding some lipstick now. Basically this project will require permits being pulled and an extensive rehab. My question is how do most flippers/rehabbers in AZ operate. I'M guessing many people, especially first time flippers do not have general contracting licenses but according to AZ law it states that if a house is built to be sold within 1 year of it being completed the owner/builder needs to be a registered contractor or hire one otherwise it's a class 1 misdemeanor. It seems like there is a lot more liability than most people see when dealing with construction and flipping places. Especially if say one of subs who may not be licensed or have insurances gets hurt on your flip. I guess I'm just confused because on here because many people say to not hire general contractors as you can figure out the process your self. Without a general contractor license and not holding the insurances needed you run a lot of liability risks that nobody tries to sue you and your business. It seems for any extensive renovation that needs permits pulled you need to either be a general contractor or hire one and the sub contractors that are used in building the project need to be reported to the city. Anyone on here have experience in AZ doing extensive rehabs and how the law works for remodels?