Saturday 13 September 2014

Know These 13 Things Before You Commit To Build Anything

check your contract before you build a home in Sydney  image


When building a new home or undertaking a home renovation it is important to get a reliable builder for the project, and to undertake some due care and diligence at the start, to ensure things go as smoothly as possible during the build. 

Building is a fantastic way to get the home that you want but there are many elements to getting that dream home that are not just about choosing paint colours and tiles for the house.  The legal side is just as important to get right in what can be the most expensive purchase we ever make. Your job is to ensure that you choose the builder who can deliver what is promised, and is on your side. Having a checklist to identify these tricky areas will help you to make a good choice. 

Here are some items that you can verify at the start of your project to help you achieve a good result for your home building works. 


  1. Has the Building Professional/Building Company or Licensed Contractor shown me their current NSW Fair Trading License for NSW?
  2. Has this License shown to me on arrival the actual license for the Building Professional/Building Company or Licensed contractor?
  3. Have I taken a note of this name and number & expiration date of the license?
  4. Do I know how long the Licensed Building Professional, Licensed Contractor or Building Company has been in business?
  5. Has this License a number on it, which I have checked with Fair Trading, either on line (www.fairtrading.nsw.gov.au) or by phone (133220), to see if any actions are or have been taken by Fair Trading of this Licensed Building Professional, Licensed contractor of Building Company?
  6. Does the License have restrictions on it?
  7. Does my Domestic project exceed $20K? (as of 1.2.12) If so, remember, a Licensed Building Professional, Licensed Contractor or Building Company must have Home Warranty Insurance. Some Licensed contractors only hold a license from $200 up to $5K.  All contractors must be licensed and Insured.
  8. If I engage a Licensed Building Professional, Licensed Contractor or Building Company, then that License, to be eligible for Home Warranty Insurance, should have no restrictions on it.
  9. If the Licensed Building Professional, Building Company or Licensed Contractor is not eligible for Home Warranty Insurance, the License should state, “Not Eligible for works requiring Home Warranty Insurance”.
  10. The law states that any domestic building works over $20k (as of 1.2.12) must have Home Warranty Insurance.
  11. Have I received professional service, such as a typed quotation followed by a lawful contract, outlining conditions and Guarantee/Warranty?
  12. Does the Licensed Building Professional, Building Company or Licensed Contractor have their current O.H&S Card (Workplace Health and Safety)?  This is binding by law from 1 September 2003. They have shown me a current O H & S card for proof? Have I seen their current Insurance Certificates?
  13. When comparing quotation/s for my building project/s, have I taken each quotation/s into consideration and that each quotation/s issued has exactly the same requirements stated and asked for by me.  Allowances for PC’s must also be taken into consideration with regards to the final price.  

Some clients are reluctant to ask to see proper and current documentation from the builder. This is your right and your responsibility to know that you are dealing with a reputable company. Good paperwork is a good indication of the building company and their attention to detail. 

Building or renovating a home is exciting! Good planning will make it a more satisfactory and pleasant time too. 

If you would like more information or get a quotation on your building project please call us on 1300 36 38 36 to arrange an 
in-home consultation. 



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