FACTS:                    

In the BINSR, the buyer asked for certain plumbing and electrical repairs.  The seller intends to hire an unlicensed handyman to make the repairs.

ISSUE:                      

Must a licensed contractor be utilized to make all repairs if requested by the Buyer in the BINSR?

ANSWER:                

See discussion.

DISCUSSION:         

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.