Housing – Developer and Builder’s Warrantees

HOUSING – DEVELOPER AND BUILDER’S WARRANTEES

Over the recent years we have had the major parties agree to a reduction of the warrantee period for housing developments. The proliferation of new building materials that are not long term tested; and in the light of the Opal Tower fault issues that have come to light in late December 2018 demands a longer warrantee period for the assurances of the purchaser of the units. The developer, in the first instance, should be held responsible for any claimable faults.

Policy:

• Structural warrantees on all developments will be extended to a minimum of 10 years from the date of the original purchase of the completed building.

• Non-structural warrantees will be for a minimum of 5 years from the date of the original purchase of the completed building.

• Because of the nature of development companies compulsory insurances will have to be taken out to cover the potential losses of a structural or a non-structural fault occurring within the claimable period.

• Private certifiers of building projects will be required to have a greater inspection and responsibility regime.

• Private certifiers that fail to adequately inspect buildings will face strong penalties.