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Who Needs a Contract?

Most building work needs a contract.

Any home building work including house construction, renovations, swimming pool construction, landscaping construction and repairs such as electrical, plumbing and tiling must be covered by a written contract where the value of the work or the cost of materials and labour exceeds $1000.

Contracts describe such matters as price, the nature of the work, time for completion and penalties. Standard contracts are available from various industry bodies including the Office of Fair Trading, The Housing Industry Association and the Master Builders Association.

A written contract covering all aspects of the work to be undertaken will help in the resolution of any disputes which may arise.

Type of contract Requirements Recommendations/check
Home Building Contract For home building work in excess of $25,000 in value
  • The contract date (the start date is when work commences on site) 

  • The name and licence number of the licensed contractor doing the work and name of client (home owner) and signatures of both parties 

  • A description of the work to be undertaken
  • Date for completion of work
  • 
The contract price or if the contract price is not known or may be varied under the contract, a warning to that effect 

  • Any variations in the price (eg. provisional allowances for unknown factors or incomplete information) to be allowed must appear next to the contract price.
  • 
Date for completion of work Any statutory warranties applying to the work
  • Defect liability period and exclusions such as manufacturer's warranties on appliances

  • Any plans or specifications relating to the work and Home Warranty Insurance certificate for work over $12,000 in value 

  • Any changes to the standard contract must be written in and signed by both parties as must variations in the price of the work before work commences. 

  • Site clean up specification
Renovation Contract For work from $12,000 - $25,000
Minor works Contract For work from $1000 - $12,000
Swimming Pool Contract
For any swimming pool installation

Residential & Commercial Property Inspections Sydney, Newcastle, Wollongong, Central Coast, Blue Mountains

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