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Owner Builder Warranty (NSW)

Do you want your client to get the best price when selling their owner built home?

Owner Builder Warranty Insurance is a must for purchasers as it gives them comfort when buying an owner built home that there are warranties in place to protect them in the event of an unforeseen circumstance.

Warranty means any of the following warranties: –

a) That the work performed is in a proper and workmanlike manner and is in accordance with the plans and specifications set out in the contract;

b) That all materials supplied will be good and suitable for the purpose for which they are used and that, unless otherwise stated in the contract, those materials will be new;

c) That the work done is in accordance with, and complies with your states building regulations;

d) That if the work consists of the construction of a dwelling, the making of alterations or additions to a dwelling or the repairing, renovation of a dwelling, the work will result to the extent of the work conducted, in a dwelling that is reasonably fit for occupation as a dwelling; and

e) That the work and any materials used in doing the work will be reasonably fit for the specified purpose or result.

What does owner builder warranty cover?

Owner Builder Warranty covers the purchaser, or any subsequent purchaser, of the property for the balance of the 6 year period after the final or occupancy certificate was issued if the owner builder dies, disappears or becomes insolvent, however defects, incomplete works or second hand materials noted in the Defects Inspection Report are exempt.

What is a defects report and who can do them?
The sale of your home is important! Our aim is to provide a fast, responsive and professional service that makes obtaining the insurance easy.

  • Owner builders require a defects inspection report prior to the sale of their home on which owner builder works have taken place.
  • The report must be from a qualified expert such as a building consultant/inspector, building surveyor, architect or engineer who must have a valid professional indemnity policy in place at the time of signing the report and who authorises the report being made available to third parties.
  • All defects, incomplete works, inaccessible areas and second hand materials should be described covering the dwelling/s as well as outbuilding, pergolas, landscaping, pool etc.

Which building works can be insured?
This includes any new home, renovation/ alteration/ extension, improvements and repairs to the home, garages, carports, sheds and pools.

When does the warranty period begin?
Practical completion is either the date of the Occupancy Permit or 18 months after the issue of the owner builder permit.

Step 1: Obtain a defects inspection report from an approved inspector.

Step 2: Fully complete: 

  • Application form
  • Development Approval or Building Permit
  • Certificate of Occupancy or Final Notice of Completion
  • Drivers Licence
  • Defect Inspection Report from an approved inspector with P.I insurance.

Step 3: Email your documents for approval.