Controversial truth: Most homeowners in Sydney spend more money fighting their builder over pride and hurt feelings than they do over actual, physical defects. It sounds harsh. It’s the reality of the industry. Most people enter a building contract thinking it’s a friendly promise. It’s actually a strategic map of how the builder might try to avoid paying for their mistakes. I’ve spent twenty years in the Sydney market seeing people lose their shirts because they didn’t understand the Home Building Act. Me and my junior lawyer at Construction Lawyers Sydney see these same patterns every single week. Absolute, total disaster.
(Sydney property prices are just insane these days, aren’t they? It makes every mistake feel ten times more expensive).
When the delays start and…
Total, complete silence. The builder hasn’t shown up for three weeks and the site is looking like a ghost town. You might feel like calling the police, but this is a civil matter that requires a very specific legal letter to trigger the default clauses. Do not wait.
I—well, I shouldn’t say that on the record—but many people wait far too long. They hope things will just “get better” because they like the builder personally. Ugh! Business is business.
Standard contracts in New South Wales usually have a “Liquidated Damages” clause. This is supposed to pay you back for the time you spent out of your house. It’s often set at a ridiculously low rate like $1 per day. Check your contract.
Variation claims that seem to…
Ridiculous extra costs. You thought the kitchen was included in the price, but now there’s an “unforeseen site condition” charge for the plumbing. This is the oldest trick in the book. It happens daily.
Under the law, a builder can’t just charge you for whatever they feel like. They have to follow a very specific process for variations. This includes giving you a written notice and getting your signed approval before the work even starts. If they don’t, they might not be entitled to a “fair shake of the sauce bottle” when it comes time to get paid.
Statutory warranties aren’t just…
Legal fluff. The Home Building Act gives you a safety net that lasts for years after the work is done. You have six years for major structural defects. You have two years for everything else. These are your rights.
Many builders will try to tell you that the “maintenance period” is only three months. This is a complete and total lie designed to make you go away. Don’t listen to them.
Me and my team always tell clients to document everything. Take photos of the timber, bricks and mortar. Keep a diary of every phone call. Evidence is key.
If the builder goes bust or…
The ultimate fear. You arrive at the site to find a “Liquidation Notice” taped to the temporary fencing. This is where your Home Building Compensation (HBCF) insurance is supposed to save you. It’s vital.
You cannot get a building permit in NSW for work over $20,000 without this insurance. If your builder didn’t give you a certificate, you are in serious trouble. Consulting a building construction lawyer sydney can save you from a catastrophic financial loss at this point. It’s a necessary and essential step to take.
The NCAT process if…
A specialised tribunal. The NSW Civil and Administrative Tribunal is where most building disputes end up if mediation fails. It is designed to be faster than the courts. It isn’t.
~~The law is simple.~~
Actually, NCAT can be a bit of a shark tank if you aren’t prepared. You’ll need an independent building expert to write a report on the defects, delays, and costs. This is the only way the Member will take your side.
Be prepared for a long haul. It takes months to get a hearing. You need to stay calm and focused. Just keep pushing.
Handwritten Note: Note: Check the HBCF certificate number on the NSW Fair Trading public register before you pay the deposit!
Me and my colleagues often find that builders who “forget” the insurance are the ones who disappear. It’s a classic sign of trouble. Stay vigilant.