using cedar for structural parts of a house UNLESS your submission for permits clearly show that you will be using cedar and your code enforcement people are aware and approve. The problem is not the wood itself, it's that most codes require grade stamped wood for structural parts and sometimes with some "wiggle-room" in the fine print. On some lumber boards on the web, there are plenty of tales of problems with local inspectors when a person built his house out of clear oak or something. There was not much question that the oak was better, but the inspectors still balked on the grade stamp issue. Hardwood graders generally are looking for different criteria than softwood graders and the softwood graders generally work for mills that don't allow them to do outside work since the mills insurance covers the inspector.
It is possible and has been done, though. And I am certainly not saying not to do it. I do suggest that you have the approval of YOUR inspector before you begin construction using cedar for structural members.