3 Tips to Manage New Home Building Delays
Received a building delay notification? Don’t worry—there are ways to stay on top of new home building delays.
Watching your new build to life as building works start is exciting. As your build progresses, you’ll start to love weeks with no rain… why? Because construction goes ahead! There is nothing worse than a disrupted project because of wet weather, so a sunny week is a good one. However, rain can’t be helped, and that goes for many other common delays on a new home build. So, what do you do when unexpected delays arise?
Here are some practical tips to manage delays and keep your home build progressing:
1. Understand the Reasons the Building Period Can Be Extended
As soon as you become aware of a delay on your build, the first thing to do is check if the delay is a valid reason to the Building Period in your contract. Common reasons in Australian building contracts include:
Variations to the original contract
Suspension of works
Inclement weather beyond what’s been accounted for in the contract
Disputes with neighbours not caused by the Builder
Industrial action affecting trades or suppliers
Delays caused by the Owner
Delays in permit approvals (provided it’s not the Builder’s fault, Clause 19)
Any other causes beyond the Builder’s control
The Owner’s refusal to pay for variations necessary to maintain all-weather access
If the delay is one of these reasons, jump to item 2 below.
If a delay isn’t one of these reasons, the delay may not warrant the Building Period being extended.
2. Request a Written Extension of Time (EOT) Notice
If the delay is a valid delay under your building contract, next you’ll need to ask your Builder for a written Extension of Time (EOT) request. This is a formal request under the Building Contract to extend the Building Period. This document should detail:
The specific cause of the delay
The extent of the delay in terms of additional time needed
Make sure you receive this request in writing to keep everything transparent and documented.
3. Respond Promptly and Confirm the New Completion Date
After you’ve received the written Extension of Time (EOT) request, as the Owner it’s your responsibility to respond to the Builder’s EOT request in writing. You have two options:
Accept the extension request, agreeing to the new terms.
Dispute the claim, providing your reasons for disagreement.
After agreeing on the extension, confirm the new build completion date with your Builder. This will help set clear expectations and allow you to adjust any plans accordingly.
I hope these tips help you on your new home-building journey.
Thanks for reading and catch you on my next post 🙂
Annelyse.
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