New Mexico lets owners build their own primary residence on a homeowner permit under 14.5.2.18 NMAC, with limits on sale, trade work and how many permits you can pull.
New Mexico does not let a homeowner skip the permit process, but it does let one pull his own permits and build his own home without a contractor license. The path is the homeowner permit in 14.5.2.18 NMAC, and it comes with firm limits: one residence you plan to live in, no listing it for sale mid build, and exams for the electrical and plumbing work you do yourself.
At a glance
- The homeowner permit covers building or altering your primary residence, plus private garages, carports and sheds that go with it (14.5.2.18 NMAC).
- It is issued only to the property owner, not for rentals, other property or commercial work.
- You may not market the project for sale while it is under construction.
- Electrical and plumbing homeowner work can require a written exam with a 75% passing score, and a failed exam cannot be retaken for 30 days.
- Only one homeowner permit per single family dwelling per owner in any 12 month period.
For the statewide rules, see our New Mexico contractor license guide. This page covers the homeowner permit only. The rule text below was read on Justia on November 2, 2026, and that copy says it is current through June 24, 2025, so confirm it with the Construction Industries Division before you apply.
What the homeowner permit allows
The permit exists so an owner can build or alter his own primary residence without hiring a licensed general contractor. It applies to a single family dwelling and appurtenant structures, meaning private garages, carports and sheds. The residence must be occupied, or intended to be occupied, by the homeowner.
Three limits shape everything else. The permit is for your primary residence only, so using it for a rental or any other building cancels the current permit and bars future requests. It goes only to the property owner. And the local authority having jurisdiction, usually your county or municipal building department, must approve the application.
Who does the work
The homeowner may do the work personally, use W-2 employees, or act as general contractor and subcontract parts of the job. The homeowner must perform the major portion of the work by dollar amount. Anything subcontracted has to go to licensed contractors who pull their own permits and pass their own inspections.
| Work arrangement | Allowed? | The limit |
|---|---|---|
| Owner does the work personally | Yes | Separate permits for building, mechanical and plumbing, and electrical |
| Owner uses W-2 employees | Yes | Owner remains responsible for the project |
| Owner subcontracts parts to licensed contractors | Yes | Owner must do the major portion by dollar amount |
| A single scope job such as roofing or windows, subcontracted out | No | Not eligible for the homeowner permit |
| A GB-2 or GB-98 contractor manages the project | No | The homeowner permit becomes invalid |
The last two rows catch owners who hire a contractor to run the job and still try to hold the homeowner permit. If a licensed general contractor is managing the work, the project belongs on a contractor permit.
What you submit
The application packet is more than a form. The rule calls for a completed application, a notarized homeowner responsibility sheet, a signed acknowledgment of the instructions, zoning approval, a flood plain determination, proof of identity and ownership, and the fees. Fees vary by jurisdiction and project, and the rule text does not set a single number.
Once the permit is issued, the homeowner requests the inspections and corrects violations. The exception is trade work done by subcontractors, where the subcontractor handles the inspection for that trade.
Electrical and plumbing homeowner work
Electrical and plumbing are where owners meet exams. Electrical work needs approved plans and a panel schedule, and the homeowner may have to pass the homeowner electrical exam at 75%. Plumbing requires demonstrated knowledge, and a written exam with a 75% passing score may be required. A failed exam cannot be retaken for 30 days, and the permittee must do the electrical or plumbing work personally.
No homeowner permit is issued for HVAC or natural gas work. LP gas work requires a licensed contractor and review by the LP gas bureau. Our New Mexico electrician license, New Mexico plumbing license and New Mexico HVAC license guides explain the licensed ladders for those trades.
The sale rule
The rule says a project may not be placed on the market for sale while under construction. Doing so voids the permit and can bring unlicensed contracting charges. That is the line between an owner building a home to live in and an owner building to sell, and it is the one New Mexico enforces most directly.
Combine that with the one permit per owner in any 12 month period and the intent is clear: the permit serves a homeowner who builds a house for himself now and then, not a person who builds houses as a business.
Three ways to build in New Mexico
Owners usually weigh three routes, and the homeowner permit is only one of them. The table shows how they differ on the points that matter most.
| Route | Who pulls the permits | Best fit |
|---|---|---|
| Homeowner permit | The owner, with licensed subs for trades | An owner building or altering his own primary residence |
| Licensed general contractor | The contractor | An owner who wants the job managed by a licensed firm |
| Owner builds to sell | A licensed contractor | Anyone building a home for the market, since the homeowner permit does not apply |
The middle route is the one many owners choose when the exams or the major portion test look like too much. Hiring a licensed contractor to manage the job is allowed, but it means the homeowner permit gives way to the contractor's permit, as the work arrangement table above shows.
Quick checks before you apply
- Confirm you own the property and will live in it as your primary residence.
- Check zoning and flood plain status with your local building department.
- Decide which scopes you will do yourself and which go to licensed contractors.
- Plan the electrical and plumbing exams early, since a failed attempt means a 30 day wait.
- Leave HVAC and natural gas work to licensed contractors.
When the homeowner permit stops fitting
If you build for buyers, manage projects for other owners or run a construction business, the homeowner permit is the wrong tool. Those jobs need a licensed contractor and a business that holds the right classification, and in New Mexico that business depends on a qualifying party who holds the license.
A full time W-2 qualifying agent is the structure the law contemplates for a company that needs one. Hire a qualifying agent or see the consultation options, and read what a qualifying agent is first if the term is new. Marshall Schofield and Jeremiah Jaskulski built The Licensing Company around that W-2 model.
Frequently asked questions
Can I build my own house in New Mexico without a contractor license?
Yes, through the homeowner permit in 14.5.2.18 NMAC, for your own primary residence and appurtenant structures. You must own the property, follow the permit steps and pass inspections.
Can I sell the house after I build it?
Not while it is under construction. The rule says the project may not be placed on the market for sale during construction, and doing so voids the permit. Check the rule and your local office on sale timing after completion.
Do I have to take an exam?
For homeowner electrical work, the rule requires approved plans and passing the homeowner electrical exam at 75%. Plumbing can require a written exam with a 75% passing score. A failed exam cannot be retaken for 30 days.
Can I use the homeowner permit for HVAC?
No. No homeowner permit is issued for HVAC or natural gas work.
How much does the permit cost?
Fees are set by the local authority and the state, and they can change. Fees are set by the board or testing vendor and can change. Verify the current amount with the provider before you pay.
Sources
- 14.5.2.18 NMAC, homeowner permits, read 2026-11-02
- New Mexico Construction Industries Division, including homeowner permit forms
- Regulation and Licensing Department for current rules and fees
Requirements and fees are set by New Mexico and can change. Verify current rules with the Construction Industries Division before you build. This article is general information, not legal advice.
Disclaimer: This article is provided for educational and informational purposes only. It does not constitute legal advice, licensing guidance, or an offer of services. Licensing requirements vary by jurisdiction. For specific compliance questions, contact The Licensing Company for a confidential consultation.