As a homeowner can I pull the permit for the water heater installation and hire a licensed contractor to do the work under my permit?
Yes. Purchasing your own permit makes you the responsible party for the installation of the unit. You, as the permit holder, are now required to know and understand all the provisions of the adopted plumbing – and possibly the electrical codes – for the installation, inspections, and final approvals on the completed installation. This requirement could include proper attachment of the water, gas, electric, venting of the appliance, and physical damage protection of the appliance.