Owner Builder Warranty – Non Structural Works

Owner Builder Warranty – Non Structural Works

Are Owner Builders required to obtain it for purchasers? 

Yes, Owner Builders need to supply a purchaser Owner Builder Warranty when they have done work prior to a sale (2 years) that did not require a building permit.

It could have been the new kitchen, bathroom, tiling, painting, etc, if it was over $16,000 (builders prices) then your Owner Builder selling their home is required to supply the purchaser Owner Builder Warranty.

The Ministerial Order S98 
23 (1) The policy must provide the indemnities referred to in clauses 20 and 21 in relation to non-structural defects in respect of loss or damage occurring during the period commencing on the date of the contract of sale and ending not earlier than 2 years after the completion date for the domestic building work.

Under 137B (2) it requires an Owner Builder to not only obtain a Defects Report, but it must be within 6 months of the contract to sell and given to the Purchaser.

It is imperative that the purchaser is supplied the report and the insurance or 137B (3) becomes operational.

137B (3) 
 A contract entered into in contravention of subsection (2) is not void by reason only of the contravention but is voidable at the option of the purchaser at any time before completion of the contract.

Be Aware.

   2 Year – Non-Structural

  • Completed Application Form 
  • 137B Defects Report 
  • Identification eg: Drivers Licence 
  • Statutory Declaration 

6 Year – Structural 

  • Completed Application 
  •  137B Defects Report 
  • Building Permit
  • Certificate of Occupancy or Final Inspection 
  • Identification eg: Drivers Licence 

For further information and assistance see www.buildsafe.com.au

Pool and Spa Registrations

On 1 December 2019, new laws to improve swimming pool and spa safety came into effect in Victoria. It is now mandatory for owners of the land where a swimming pool or spa is located to register their pool or spa with the relevant council. The new laws apply to swimming pools and spas that are capable of holding more than 300mm (30cm) of water. This includes permanent pools, above-ground pools, indoor pools, hot tubs, bathing or wading pools, and some relocatable pools. Relocatable pools that do not consist of multiple components and do not require any assembly are not subject to the barrier requirements. An example of such a product is a small inflatable pool that requires no assembly other than inflation. Pool and spa owners are now also required to obtain and lodge compliance certificates for their safety barriers.

See Safety barrier regulations (https://www.vba.vic.gov.au/consumers/swimming-pools/pool-safety-barriers) for more information.