Whether you're in the market to buy a lot to build a house upon; or, perhaps considering a brand new, soon to be built subdivision; or, just an addition to your own home; there are a few things you may need to know regarding the 'trials and tribulations' of new home construction before you begin. Having a good builder and an experienced contractor is the key to minimizing your problems and risks; regarding escalating cost overrides, non-negotiated add-ons to the job as it progresses, including too many time delays; especially, when it is beyond your reasonable expectations of completion. Know what you are getting, and also getting into, say the experts. Put everything down it in writing!
Keep in mind that you will want to get insurance as this property is under construction; mainly to protect yourself against any unexpected events; and even perhaps, insufficient insurance on the builders or contractors part; with regard to a fire, a theft, or other damages to your home as it is being built. A reputable insurance broker specializing in insuring 'homeowner builders', is said to be your best bet and risk protection. You can consider revising your policies, once construction is complete.
According to, Canadian Home Builders' Association, "As the homeowner, you are legally responsible for obtaining any building permits required. However, your renovator can look after this on your behalf. Your contract should specify which permits are required and who will get them. You will need to provide a letter of authorization before your renovator can apply for a permit for your renovation".
As per the Canadian Home Builders Association (CHBA) website, "Generally, a building permit is required for renovations that involve changes to the structure or systems of your home. This includes new additions, reconfiguration of space by moving or removing walls, new window and door openings and installation of fireplaces. Electrical and plumbing permits may also have to be obtained separately".
They conclude, "If you carry out a renovation project that requires a building permit without having one, your municipality can issue a "stop work" order, which remains in effect until you obtain a permit. If the work doesn't meet the requirements of building codes in your area, you may well have to redo it at your own cost. In worst case scenarios, you could be forced to "un-renovate" your home, such as removing an addition. This could happen if you violate setback regulations for instance".