Owner-Builder

Definition

An owner-builder is an owner of property who undertakes to construct improvements on the property without employing a general contractor.

Purpose

Owner-builders take on the role of managing and supervising construction projects on their property, often to save money on labor costs and have greater control over the project. They handle the planning, coordination, and execution of the construction work.

Examples of Use

• Home Construction: A homeowner acting as the general contractor to build their own house.
• Renovations: Property owners managing major renovation projects without hiring a professional contractor.
• Additions: Building additions, such as extra rooms or garages, on their property.

Related Terms

• General Contractor: A professional responsible for overseeing construction projects and managing subcontractors.
• DIY (Do It Yourself): The practice of performing construction or renovation tasks without professional assistance.
• Building Permits: Official approvals required for construction or renovation projects to ensure compliance with building codes and regulations.

Notes

• Responsibilities: Owner-builders must obtain necessary permits, adhere to building codes, and manage subcontractors if needed.
• Risk Management: Taking on the role of an owner-builder involves significant responsibility and risk, requiring knowledge and skills in construction management.