Permits: What You Need to Know Before You Build, Fix Up, or Sell
May 24, 2026
Permits: What You Need to Know Before You Build, Fix Up, or Sell
Skipping permits is one of the most common -- and costly -- mistakes in Cheverly home sales. Here's what you need to know.
Permits protect your home's value. Skipping them saves a little time now and can cost a lot more at resale -- in your appraised value, in buyer negotiations, and sometimes in expensive fixes under a closing deadline. Before any home project, check the DPIE guide or call them directly. If you already have unpermitted work, deal with it before you list -- not after you're under contract.
Licensed and insured contractors protect you when things go wrong. It's not about skill -- it's about who pays when there's a problem. Check the MHIC license, get the insurance certificate, and make sure the contractor pulls the permit -- not you. Those three steps cost nothing and can save you a lot.
A building permit means Prince George's County has verified that the work meets safety and building code standards. When a permit is pulled and inspections pass, there's a paper trail showing the work was reviewed. That record stays with the property -- and it protects you, the next buyer, and the lender.
Many Cheverly homeowners skip permits because they didn't know they needed one, a contractor said it was fine, or they wanted to save time and money. That decision almost never saves money in the long run -- especially at resale.
Unpermitted work doesn't go away when you sell. It shows up -- in the home inspection, the appraisal, or the buyer's loan review -- and when it does, the buyer has all the leverage.
Appraisal Impact
An appraiser can't give full credit to improvements without permits on record. A finished basement done without a permit might be listed as unfinished or left out of the square footage entirely -- costing you real money. Some lenders will require the work to be permitted before they'll fund the loan.
Home Inspection Impact
A good inspector will catch unpermitted additions, electrical work, or structural changes and put it in the report. The buyer gets that report and usually turns it into a price reduction, a repair demand, or sometimes a reason to walk away. The buyer's attorney may flag it too.
Disclosure Obligation
Maryland law requires sellers to disclose known problems. Unpermitted work you know about is a known problem. Not disclosing it creates legal risk. Telling buyers upfront and fixing it before you list is almost always the smarter move.
Retroactive Permit Cost
Buyers sometimes ask sellers to get retroactive permits before closing. Depending on what was done and when, that can mean opening walls for inspection, upgrading to current code, or tearing out and redoing the work. What was easy to ignore becomes very expensive to fix on a deadline.
A Cheverly seller finishes their basement -- adds a bedroom, bathroom, and recessed lights. No permits. The home goes under contract. The appraiser flags the basement as unpermitted and values the home $25,000 below asking price. The buyer's lender won't fund until the work is permitted. Now the seller is pulling permits under contract, opening drywall, and fixing work that wasn't up to code -- all on a tight deadline, all out of pocket.
And it's not always something you did. Cheverly homes change hands. Work done two or three owners ago -- a finished basement, an added bathroom, a new deck -- was done in a time when permits were less closely tracked. That unpermitted work has followed the property through every sale since. It's still unpermitted today. If you've never checked, you may not know what you have.
This is not a made-up story. It's one of the most common problems I see in Cheverly sales -- and it's almost always more expensive and stressful than the permit would have cost in the first place.
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Myth"My contractor said I don't need a permit."RealityContractors who skip permits are saving themselves work, not helping you. The permit responsibility belongs to the property owner. If the work gets flagged later, it's your problem -- not theirs.
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Myth"It's just cosmetic -- no permit needed."RealityPainting, new floors, and countertops don't need permits. But adding a wall, finishing a basement, adding electrical circuits, or replacing a deck all do -- no matter how minor it feels.
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Myth"It was done years ago. Nobody will find out."RealityAppraisers compare square footage to tax records. Inspectors look at panel capacity and circuit counts. Work done 20 years ago without permits is still unpermitted today -- and it still comes up at the sale.
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Myth"I'll just disclose it. The buyer can deal with it."RealityDisclosure protects you legally -- but it hands the buyer negotiating power. Fixing known unpermitted work before you list almost always gets you more money than discounting for it.
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Myth"I replaced my deck -- same size, same spot. No permit needed."RealityDeck replacement requires a permit in PG County no matter the size. This is one of the most commonly skipped permits in Cheverly -- and one appraisers and inspectors look for specifically.
Prince George's County DPIE maintains the official list of what requires a permit for residential work. It covers everything from sheds and decks to appliance installations and electrical work, organized by project type.
Before starting any home project, check this list first. When in doubt, call DPIE -- they'll tell you whether you need a permit. That two-minute call can save you real money and headaches later.
PG County DPIE: When Is a Permit Required?
The official residential permit reference for Prince George's County -- organized by project type with permit codes for building, electrical, mechanical, and plumbing work.
View the DPIE Permit GuideDPIE has a process for getting retroactive permits on older work. It's not always simple -- some projects require inspecting the work as built, which can mean opening walls or proving code compliance -- but it can be done. Handling it before you list is almost always better than dealing with it under contract.
Not sure what was permitted in your home -- by you or a previous owner? Permit records are public. You can search by address and see every permit ever pulled on the property. It takes about two minutes.
Search Permit Records by AddressPulling a permit is only half the job. Many contractors complete the work and move on -- leaving the inspection request to you. If the inspection never happens, the permit stays open and the work is never formally approved. An open or uninspected permit on your record can be just as problematic at resale as no permit at all. When a contractor pulls a permit, ask specifically who is responsible for scheduling the final inspection -- and follow up to make sure it gets done before you pay the final invoice.
An unlicensed contractor can be a great worker. Skill and a license are two different things. That's not the point. The point is what happens when something goes wrong -- and in home improvement, things go wrong. It's not if. It's when.
A license and insurance create accountability. Without them, you have no real way to get help when work fails, causes damage, or has to be redone. With them, you're protected -- and so is the next buyer of your home.
State licensing comes first. Maryland requires contractors to be licensed through the Maryland Home Improvement Commission (MHIC) for most residential work. A licensed contractor has passed background checks, met experience requirements, and can be disciplined if they break the rules. That matters -- it means there's someone you can go to if things go wrong.
General liability insurance is next. If an uninsured contractor damages your home -- a burst pipe, a structural mistake, an electrical fire -- you're filing a claim against your own homeowner's insurance. A properly insured contractor has coverage that pays for damage they cause. Always ask for a certificate of insurance before work starts, and ask to be listed as an additional insured.
Workers' compensation is the one most homeowners forget about. If a worker gets hurt on your property and the contractor doesn't have workers' comp, you could be held responsible for those injuries. Workers' comp protects the worker and protects you. It's not optional -- it's a basic requirement when hiring anyone to work on your home.
A homeowner hires a crew through a neighbor -- good workers, fair price, cash job. No license check, no insurance. The crew installs a new electrical panel. Six months later, there's an electrical fire. The homeowner's insurance investigates, finds the work was done by an unlicensed contractor without a permit, and denies the claim. The contractor has no insurance and nothing to recover from.
A license and insurance aren't just paperwork. They're how you hold someone accountable when things go wrong.
This matters when you sell too. Work done by licensed, permitted contractors is easy to document. When a buyer asks who did the electrical upgrade or replaced the roof, "licensed contractor, permit on file" is a very different answer than "a guy my neighbor knew." One supports your home's value. The other raises red flags.
- Ask for the contractor's Maryland MHIC license number and look it up at the Maryland DLLR Home Improvement Contractor search . It takes about 60 seconds and tells you whether the license is current and in good standing.
- Ask for a certificate of general liability insurance and workers' compensation. Any legitimate contractor will hand it over without hesitation. If they push back, you have your answer.
- For work that needs a permit, make sure the contractor pulls it in their name -- not yours. If they ask you to pull it as the homeowner, they're shifting the risk onto you.
- Get the contract in writing with a clear scope of work, payment schedule, and timeline. Maryland law requires a written contract for home improvement work over $500.
Unpermitted work is one of the first things I look for in a pre-listing walkthrough. Most of it happened innocently -- a contractor who didn't mention permits, or a project that felt too small to bother. But knowing what you have before you list gives you choices. Fixing it, pricing for it, or disclosing it clearly -- all of those are better than having it come up in the buyer's inspection.
If you're thinking about selling in the next year or two, a walkthrough now is worth more than you might think.
Susan@SusanPruden.com · (301) 980-9409
A lifetime Maryland resident, Susan Pruden has the ideal foundation for selling and buying homes. After 8 years working in just about every facet of the mortgage industry, and several years with her own company specializing in marketing for real estate agents, Susan got her real estate license in 1994. Susan has earned several industry awards. The CENTURY 21 Quality Service Pinnacle Award is based on reviews from Susan's clients and is earned by a very small percentage of agents. She has earned that coveted recognition since 2012
Two others were awarded by the Prince George's Association of REALTORS®. The Distinguished Sales Associate of the Year Award is based on a mixture of community involvement, association involvement and real estate education and designations. The other, the Distinguished Service Award, is for "exceptional meritorious service."
Susan is involved in her local community. She was named Cheverly Volunteer of the Year in 2018, even having June 25th designated "Susan Pruden Day" in the Town of Cheverly. She is also a Commissioner on the Prince George's County Historic Preservation Commission and President of the Cheverly American Legion Auxiliary.
Susan Pruden has lived in Cheverly lived with her husband, Joseph, for almost 30 years.
