澳洲Australia property Victorian Building Warranty | Sydney
在澳大利亚 Hi all, I currently have a PPOR and 10K cash in the bank which I plan to use as a deposit for a IP early next year. Is it possible for me to place this into my PPOR loan and then redraw the 10K when Im ready for the IP and then claim the int Hi Guys, Ive found a property that has mentioned two payments coming up of $1400 to apparently top up the admin fund and 2 have just been paid. Im looking at a financial statement (basically a balance sheet) for the strata and its all a bit
I'm wondering how I go about claiming on the building warranty in Victoria.
Our situation is that we have just had a building inspection done on a place we are about to purchase. The inspector has found the following problems, which they say are minor.
i. No insulaiton in the roof
ii. no cross ventilation
iii. not enough insulation in the party wall
According to the building inspector i and ii maybe iii are claimable on the building warranty. The building is only 3 years old, so it has 4 years left under warranty.
I've looked at the following sites, done a google search and I'm still stumped.
Have any of you claimed on your warranties. If so what do I need to do to get the ball rolling.
Thanks in Advance
As you haven't bought the property yet, why are you thinking warranty claim, why not vendor to bring up to standard prior to sale, or make allowance in price when negotiating?
The building inspection is to verify the actual state of the property. If you buy it 'in full knowledge' and accept the defects, then there is no claim. The original builder (whether registered / contract builder or 'owner builder' is the first port of call. The original insurance assessment will tell you if anything was listed as a 'defect' at the first sale. Those 'defects' remain uninsured from that point onwards.
If, at the original sale, a monetary adjustment was made, then that's it. Subsequent purchasers can only deal with subsequent vendors.
It's a bit like eg getting compensation for losing a bit of your front garden due to road widening. The Roads Board gets a valuation figure by which the value of the property is diminished by the loss of the land and amenity AT THE TIME, and compensates the owner once. If the property isn't sold for twenty years, or is sold shortly after is of no consequence. The owner AT THE TIME got compensated. Thereafter, it's back to market value at the time of any further sale.
So, warranty insurance is only for defects not listed on the original condition report. If it was noted that ventilation was inadequate, or the insulation wasn't installed, insurance doesn't cover this as the subsequent purchaser bought the property knowing of these problems.
So check the Section 32 which should contain all relevant documents. If these are missing, ask the selling agent to get this information from the vendor / vendor's solicitor. If the property is outside the required time frame, then this information is redundant and it's back to caveat emptor.
However, if the property is still within original warranty period with original owners, then they should insist on completion of the building contract. Which raises another question - assuming the vendors are residing in the house, but is the building technically complete, and has the Certificate of Occupancy /Completion been issued? The period of warranty starts when after inspection / Certificate is issued. So you may get a bonus of extra time on the warranty if these 'finals' haven't yet been done.
Read the paperwork - every page - to clarify the situation.
PS 'According to the building inspector' implies that the building inspector is an expert on insurance. But the statements attributed to the inspector casts doubt on that assumption.
Under the previous system, the builder took out an insurance policy IN THE NAME OF the owner. Claims on the policy were subject to a handicap eg in the first year, the owner had to pay eg the first $500 of a claim, in the second year the first $750, in the third year the first $1000 etc This handicap was to discourage nuisance claims. the builder, as stated in the Building Contract, would have specified a maintenance period, which was usually three months from handover but some of the larger builders offered twelve months.
Equally, an owner/builder does not have to take out insurance until they sell the property, and then only for the balance of the six years since the Certificate of Occ/Completion was issued. (previously 6.5 years)
The new insurance system requires the owner to first contact the builder or owner/builder, and if they refuse/are insolvent/have ceased trading/are dead, then and only then, will the insurance consider the claim. Insurance is to be considered a last resort and is not for failing to complete a contract (which lack of insulation would be).
As you would be aware, documents must be signed in sequence
1. Section 32 must be presented and signed first
2. Insurance must be signed over to the purchaser
3. The contracts are signed.
If steps 1 or 2 are not done property, then even if the sale is unconditional and the purchaser has paid a deposit, theoretically, a purchaser can cancel the sale relying on the point of law only, at any time up to accepting title and taking possession of the property (settlement).
Avoiding the sale rests entirely with the purchaser. Vendors who don't have their paperwork in order and are perhaps urging agents to act quickly risk losing the sale entirely if everything is not in order - and this applies even at auction!