Perhaps you completed the DIY shed you spent months on or maybe you hired a builder to extend your small patio to a gigantic entertainment deck. No matter what project you’ve completed, if you plan to sell your home, you will need to get an Owner Builders defect report. The report, otherwise known as a 137b Report, is needed if the works have been completed within the last 6.5 years. We understand that you may have some questions if certain works require the report. We will try to answer some of these questions for you, below.
Am I an owner builder?
You are an owner builder if you:
- have used your own skills to build, extend or renovate your home
- have organised sub-contractors to complete the renovation work for you
- are a registered builder who builds, extends or renovates a home on your property
As an owner builder, you would be responsible for obtaining the necessary building permits and making sure the work is completed to the mandatory standard.
What is the report turnaround?
Our team will endeavour to meet your requirements in organising the inspection time when you require it. The Report will be emailed directly to you as soon as the Inspector has processed the inspection report through our ‘Inspector App’, so the turnaround time is fast and convenient. We can even it send it directly to your conveyancer, if required, to speed up the process.
Why do I need an Owner Builder Defects Report?
The purpose of the Report is to protect both the purchaser and the owner. It’s important to note that it is mandatory by law, forming part of the Section 32, Contract of Sale documentation. The Inspector will note the condition on the report by assessing the renovation work or complete build by the standard of which is needs to meet.
Important things to note:
- You will need to get Warranty Insurance if the value of the domestic work is over $16,000 and if the property is being sold within six years of completion. If the value of the work is less than $16,000, then only an Owner Builder Defects Report is required.
- Under the Victorian Building Act 1993, it is an offence to sell your property within six years without a Defects Report and Warranty Insurance (if required). There are severe penalties involved with this offence so it’s important obtain a report to cover yourself.
- Under Victoria’s Building Regulations 2006, there are a number of building practitioners who can prepare an Owner Builder Defects Report. At The Home Inspection Hub, we have a number of Inspectors who fulfil the requirements to complete this type of work.
- The Owner Builder Defects Report is valid for six months.