Construction Permits: How They Work and Why You Need Them

If you love jumping right into a new project, construction permits may seem like a tedious first step. However, upholding safety and government standards is incredibly important which makes them a necessary step for completing a project.

What is a construction permit?

A construction permit is a government-issued document that gives you the right to start construction. Permits are issued by building offices or city halls under municipal jurisdiction.

Permits are required for most demolition and construction work since they set a standard for safe, stable construction and ensure compliance. Some projects require multiple permits, while some require none at all. It's important to always check with the local policies and government about what permits might be necessary.

Why do you need a permit?

In construction, general permits exist to ensure compliance with safety standards. Material usage, health, accessible design, the use of land, and zoning bylaws are all other considerations that a permit addresses. The construction permit system ensures that contractors are taking these factors into consideration when building.

Even though acquiring permits seems like it creates a lot of red tape, the standards they enforce are worth the logistic work. Usually, insurance companies won't issue any policies covering building construction unless the owners have a permit. If contractors try to work around permit legislation and fail to obtain one, they will not be covered for any damages in the event of an accident.

Permits also affect the resale value of the structure under construction. Work completed without a permit may not adhere to safety standards. This is often revealed during inspections, which in turn affects resale value. Overall, failing to obtain a building permit is a major liability.

When are permits required?

Permits for construction are generally required for projects that cause major changes to a building's current structure. Here are a few general cases where permits are necessary, but be sure to check your municipality's specific legislation:

• Building a structure with an area of 108 square feet or greater
• Building an additional structure on a piece of property
• Renovations and repairs
• When construction will change how the building is used
• Building foundations
• Plumbing, electrical, and sewage system work

So, what can you build without a permit? Generally, you don't need a permit when building structures with small areas or if the existing structure only requires minor alterations. This includes tiling, painting, fences under 5', and small porches. Regardless of project size, you should always research whether you need a permit for all projects.

The Application Process

Although the details may vary between municipalities, the process of applying for a construction permit is pretty universal.

Evaluate the project: Before you start an application, research the guidelines for construction permits that are applicable to your area. Smaller projects, such as fences under 5' tall, may not require a permit at all. You should also address all building code violations prior to submitting an application.

Create Plans and/or Drawings: Once you've established whether you require a permit, a licensed professional must create construction plans and drawings that will be submitted for evaluation. Required documents include architectural, site, sewage system, and HVAC plans. For most permits, plans are necessary submissions in your application package.

Apply: When you apply for a construction permit, you'll pay a submission and zoning fee.

Permit Review: Once a construction permit is reviewed, it will either be approved or rejected. If it's rejected, you must resolve the issues identified in the review and reapply before starting construction. Permit rejections can also be appealed, but addressing identified issues is the best place to start.

Post-Approval: After approval, you're permitted to start construction. Your permit must be posted in a visible place on-site and all plans must be easily accessible in the event of an inspector's visit. Most sites will require inspector's visits during construction.

Types of Permits

There are more types of construction permits than you can count. Every city has its own terms and additional legislation, which you should consult before applying for a permit. Here are a few general categories that construction permits fall into.

Foundations: Foundation-only permits are a great starting point for construction since they only approve site plans for the foundation. If you only build foundations or are waiting on approval for the rest of the structure, you'll use a foundation permit.

Demolitions: There are more factors involved in a demolition decision, so it has its own permit in most jurisdictions. It's possible that you'll require both a demolition permit and a building permit if the demolition site's square footage is of significant size.

Housing: Residential housing permits include single-family dwellings like homes and townhomes, along with multi-family dwellings like condominiums and apartments. Housing is a broad permit category that every municipality breaks down further into different classifications.

Non-housing: Any structure that isn't housing falls under non-housing. This includes commercial construction, non-residential additions, and parking infrastructure. This is another broad category that varies by jurisdiction.

Alterations: Alteration permits cover alterations made inside non-housing buildings, like mechanical work, partition walls, and fire systems.

Plumbing and Electric: Larger plumbing and electric jobs generally require construction permits.

Construction Permits Summarized

The ins and outs of construction permits boil down to doing your research, selecting the right permit, and going through the proper application process. They exist to meet safety and legal requirements that promote quality work. Once your permit is approved, you get the green light for building the best structure possible!

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FAQs about Construction Permits

How much does a construction permit cost?

The cost of a construction permit varies by city and permit type. Here are a few example prices:

Pasadena, CF: The City of Pasadena construction permits range from $21 to $1,312. Additional fees may apply.

Atlanta, GA: The City of Atlanta construction permits cost $7 per $1,000 of the cost of construction. Additional fees may apply.

Austin, TX: The City of Austin construction permits range from $847.60 to $1,695.20 for residential work and $1,112.00- $5,560.00 for commercial work. Additional fees may apply.

Dallas, TX: The City of Dallas construction permits range from $100 to $800. The cost of commercial permits is evaluated with the following formula: PERMIT FEE ($) = VALUATION x MULTIPLIER + ADD FACTOR. Additional fees may apply.

Toronto, ON: The City of Toronto construction permits use the following formula to estimate cost (as of 2023) but they have a minimum fee of $198.59 and an hourly fee of $85.79 for examination and inspection activities:

Fee Calculation Formula:

• Permit fee = SI x A
• SI = Service Index for classification of proposed work
• A = Floor area in m2 of work involved of work involved

Additional fees may apply.

Kitchener, ON: They City of Kitchener construction permits range from $0.14 to $3.04 per square foot. Some permit types have flat fees.

Who applies for a construction permit?

Contractors generally take out building permits because they are licensed and insured.

How long does it take to get a construction permit?

Typically, permit applications are reviewed between 5 and 30 business days. The time it takes to receive a permit is different for every application.