A Licensed Contractor is Required to Make BINSR Repairs Where a Permit is Required or the Repair is in Excess of $1000
In the BINSR, the buyer asked for certain plumbing and electrical repairs. The seller intends to hire an unlicensed handyman to make the repairs.
Must a licensed contractor be utilized to make all repairs if requested by the Buyer in the BINSR?
Generally, a contractor’s license is required by statute for work which the aggregate contract price, including labor and materials, exceeds $1,000 in value or requires a permit. Thus, to the extent that the repairs exceed $1,000, the seller is required to hire a licensed contractor to make those repairs. See A.R.S. §32-1121(A)(14) for details on the statutory exemptions from contractor licensure for work that does not exceed $1,000.