Owner Builder Defects Reports

Owner Builder Defects Reports

SERVICE OVERVIEW

Have you completed any renovation work on your property within the last 6.5 years?

Are you now ready to sell?

If you’re in this situation, you may have just found out that you need to get an Owner Builder Defects Report (otherwise known as 137b Report or Building Defects Report).  At The Home Inspection Hub, we understand that a Defects Report can be an unpleasant surprise.  So let us explain why you need it and how we can help through the process.

Under Section 137B of the Building Act 1993, any renovation work that has been completed needs to be inspected by a suitably qualified person.  The Owner Builder Defects Report forms part of your Section 32 documents.  The purpose of the report is to protect both the purchaser and the owner so they know the condition of the renovated property before a transaction takes place.

The report highlights any faults or defects in the building work, any incomplete work and will identify if second-hand materials have been used.  Some of the types of renovation work we check include:

Decks - Owner Builder Defects Reports
Decks
Carport - Owner Builder Defects Reports
Carports
Extensions - Owner Builder Defects Reports
Extensions
Kitchen - Owner Builder Defects Reports
Kitchen renovation
Full House renovation - Owner Builder Defects Reports
Full house renovation
Bathroom - Owner Builder Defects Reports
Bathroom renovation
Driveway - Owner Builder Defects Reports
Driveway
Tiling around a pool - Owner Builder Defects Reports
Tiling
Fences - Owner Builder Defects Reports
Fences
Garage - Owner Builder Defects Reports
Garage/ Shed
Retaining walls - Owner Builder Defects Reports
Retaining walls
Other small situations - Owner Builder Defects Reports
Other small situations

Why is an Owner Builder Defects Report with The Hub so important?

  • An Owner Builder Defects Report can only be provided by a prescribed practitioner. At The Hub, we have a number of suitably qualified Inspectors who can inspect your renovation work and prepare the 137B Report.
  • We can prepare the report on our custom-built iPad inspection app and then send the report straight to your conveyancer if need be.
  • The 137B Report will enable the owner of the property to obtain Builders Warranty Insurance which is required for any domestic work with trade value over $16,000.
  • Under the Building Act, it is an offence to sell your property within the 6 year timeframe without a Defects Report and Builders Warranty Insurance. It’s important to note that heavy penalties apply for non-compliance.
  • In addition, if you fail to provide an Owner Builder Defects Report, the purchaser has the right to pull out of the sale agreement without incurring penalties.

Give us a call on 1300 071 283 or submit a free online quote so we can help you finalise your sale. We will try to make the process as easy as possible.

Popular questions

An Owner-Builder is defined as someone who “constructs or renovates a domestic building on his or her own land, and who is not in the business of building”.

If the value of the domestic work is over $16,000 and the property is being sold within six years of completion, then you must obtain Warranty Insurance. If the value of the works is below $16,000, you only need to obtain an Owner Builder Defects Report.

It is useful for the Inspector to review any documentation relating to the renovation work. This may include house plans, soil reports, structural engineering reports, occupancy permit, electrical or plumbing certificates. If available, this documentation can be reviewed as part of the inspection.

The team at The Hub are here to help with your queries. For additional references and resources, you can check out these sites:
Victoria Building Authority (VBA): http://www.vba.vic.gov.au/consumers/owner-builders
Consumer Affairs Victoria: https://www.consumer.vic.gov.au/housing/building-and-renovating/owner-builders