Building permits, zoning issues and the design police

Although building permit requirements will vary from place to place, getting a building permits will involve a completed permit application and some form of plans documenting the work. Ultimately, all building departments are interested in two primary issues:

• Zoning issues
• Building issues

Zoning issues:
To give home owners certainty that they won’t wake up to find out they are living next to a 7-11, towns and cities have zoning codes. These codes originated in the early part of the 20th century. They were created in response to the booming cities of the era and were intended to segregate uses (residential, institutional, and industrial) from each other and mitigate the effects of the rampant industrialization of cities. They regulate uses on individual lots and establish the overall bulk of the house (lot coverage, height, set back, etc.).

Usually, zoning codes only have relevance if you are changing the “footprint” of the building. For the purposes of remodeling, the most common way you would do this is if you are adding a dormer to create living space in an attic or adding a new deck. Before doing either of these projects, you’d need to demonstrate that the dormer doesn’t increase the height past the height limit or that the deck is not in a setback.

You do this by demonstrating via a site plan and other relevant documents. BuildSmart is prepared to help you organize this type of presentation.


Building issues (The design police)
In some heavily regulated cities, notably in California, design review is required for any exterior change to a house, new decks, fences, etc. This truly is the worst case, kind of like being on The Apprentice, but rather than Trump, you have a career bureaucrat telling you that your design is fired.

In a cruelly ironic twist, cities and towns that require design review, also expect you to pay for this privilege. The fees associated with design review can quickly add up to thousands of dollars, since there is so much administrative time involved. So, not only do you have to throw yourself at the feet of the design police, you have to pay for the privilege.

Design review boards require plans and elevations of your proposed changes (BuildSmart is prepared to help here too!). They have very specific requirements about what needs to be shown on these plans, so the reality is that you’ll wind-up hiring an architect to produce these plans adding to the cost.

In spite of your best intentions of complying with these rules, improving the neighborhood, etc. design review usually turns into some kind of crazy, thru the looking glass process. This is especially true if there is any form of public comment allowed in the process. The bureaucrats who administer this process are desperately afraid of controversy or making a mistake, so when the crazy lady with 78 cats who lives next door to you chimes in on how the fence you are proposing to build will affect the tilt of the earth, the bureaucrat who is running the process is forced to take her comments into account.

Contact BuildSmart if your project involves zoning issues or a design review. We'll be sure the process goes as soon as humanly possible - even if we can't do anything about the 78 cats next door.

Do you need a permit?

Do you need a permit? This is a bit of a “chicken and egg” question. In a perfect world, you’d only take on a renovation project that didn’t require a permit. I think of these projects as a refreshing; interior paint, carpet and floor covering, cabinet re-facing, etc. These are all activities that don’t require a permit.

Since getting any permit entails time and money, avoiding a project where they are required means you save both. However, having to obtain a permit shouldn’t be the sole reason to disqualify a project.

There are some relatively simple projects that usually require a permit, these include:

• Building a deck

• Rebuilding a porch

• Moving or removing a non-structural wall

These are simple projects that add a lot of values, even though they require a permit, don’t disqualify them simply because a permit is required. 

What’s your home renovation program?

On large commercial or institutional projects, the client spends a lot of time creating what’s called a program or project scope (not to be confused with a government program, like the FHA 203k one we discuss here).

This document is given to the architect/design team and acts as kind of a project bible to define the goals of the project. Typically, a program/scope document addresses:

• The project budget

• The project schedule

• Square footages of all affected areas

• The project design goals

• The project's sustainability goals, etc.

By their nature, these “programs” are complex.  Now, I’m not suggesting that you need anything of this complexity for your home project, but there is tangible value in thinking through these questions. Also, before you can intelligently hire a design professional, you’ll need to know these answers anyway.

When planning your home project, consider these big-picture categories mentioned above. This will be helpful for you in understanding what you need and then to share with your designers. 

BuildSmart tip: being ready to engage with your professional team by understanding your project's scope will save significant money and headaches as you proceed.

Tried and true, or tired and true? Design matters

For most local home builders, who re-purpose home designs long past their “sell by date”, tried and true quickly becomes “tired and true”. These uninspired designs, only add to the weak demand for new homes.

When you go to sell a house you’ve renovated, your local builder’s somnolent embracing of design has importance to you.

As an owner/investor embracing design can give you an edge.

If you are building to resell, competing homes will undoubtedly be old, tired or suffer from “Homedepotism”. By being the hip, well designed house, you will instantly be miles ahead when it’s time to market your home.

BuildSmart tip: Embrace well considered design when you renovate if you want to see the maximum return upon resale.

About home design and designer homes

The housing industry has only slowly and inconsistency integrated design into their product mix. Given that design and architecture is an integral part of housing, it’s surprising the home building industry hasn’t embraced it more completely. I think the reason for this is as follows;

Home building is a traditional industry with a “if it isn’t broke, don’t fix it mentality”. Most builders stick with floor plans, house plans and community layouts that have worked in the past and that they know home buyer will like. 

As an industry, home building is a mix of large publicly traded companies and small independent builders. While large builders have in-house architecture and design staffs that are up-to-speed with current design trends, much of the home building industry is still small scale and local.

Most small builders look at re-using proven home designs as a way to minimize their risk, so they keep using tried and true designs.

At its best, these trends create communities of visual consistency. At its worst, tracts and tracts of cookie-cutter houses blight the built landscape. 

Not every house can be a custom one - and we're almost thankful for that when it comes to the opportunity for rehabilitation. If you're looking for a property to rehab and live in, a custom home, with custom solutions, finishes and fixtures can be a money pit. 

BuildSmart can help you understand and identify homes that are well designed and appropriate for rehabilitation. Contact us today to learn more. 

Home inspectors

Home inspectors occupy a strange role in the real estate transaction. Since virtually every lender requires a home inspection before making a loan, you obviously need them for a transaction. The costs of these inspections (typically $300-$400) is paid for by the home owner, so in theory at least, the home inspector is working for the buyer.

The reality though, is that again, since the agent is focused on getting the deal approved and closed, the allegiance of the home inspector is more closely aligned with the real estate agent.

Also, over the course of a year, the inspector is only going to do one inspection for you, but many more with the agent. So, when it comes time to disclose the hard fact/unpleasant facts regarding an inspection, inspectors have a tendency to sugar coat the facts in order to “keep the deal” together.


I’m not implying they are acting fraudulently, it’s more a matter of tone and presentation. Trying to sugar coat any findings that might “blow-up” a deal. The inspector only need to complete 120 hours in home inspection instruction, plus 40 hours of field training, so how much they can really tell you is impossible to say.

BuildSmart take away: don't assume a home inspector is working for you. Consider using one who isn't directly tied to your agent.

Lenders and mortgage brokers

Since the real estate shake out, the world of lending has changed tremendously.  Previously, everyone was a mortgage broker or “mortgage banker” if you were high-falutin.

Storefronts for independent mortgage brokers opened faster than Budweiser stand at a NASCAR race - appeared faster than ice cream trucks on a sunny day.

Since that time, there has been a contraction in the number of lenders (Countrywide being purchased by Bank Of America, for example), increased regulation of individual brokers and a drop in the number of mortgage applications. This has had the combined effect of forcing many people from this  industry.

As a group, lenders suffer from a lack of transparency; unlike real estate agents, they have a less of a public presence (no pictures on billboards) and tend to work behind the scenes.

Many lenders and mortgage brokers get referrals from real estate agents, rather than directly from potential clients. Working with a lender/mortgage broker recommended by your real estate agent is not necessarily a bad thing. Real estate agents have an obvious interest in seeing a transaction close and increase their odds by working with mortgage brokers who have a track record of getting deals funded.

Before, the economic reset, having transaction close successfully this was less of an issue, however, with tighter underwriting and appraisal standards, working with someone who can get a transaction financed is now more important than ever.