Victorian HIA New Homes Contract - 5 Things to check before signing (a checklist)
Before you put pen to paper to to sign your HIA Building Contract, it is so important you know the inner details of the contract.
Many first-time homeowners underestimate aware how much is spelled out in the home building contract. It outlines the entire roadmap for your home building journey, covering everything from managing variations and delays to compensation and design changes.
Here's a handy checklist to empower you with the knowledge needed before signing:
Specify a start date
Make sure it’s really clear what needs to be provided before works will start.
Liquidated Damages
Ensure there is daily rate for liquidated damages in the contract - this is a genuine pre-estimate of costs if completion of the build is late.
Understand the Special Conditions
Make sure you understand how any builder proposed special conditions impact the general conditions, and what is interpreted first if there is an overlap.
Specify any ambiguities
Check that your contract specifies the types of finishes, colour codes, models of appliances, and specific fittings and fixtures! Also make sure there isnt clauses that allow the builder to make alternative selections without getting your approval first.
Defects
Check there is a clear defect management procedure - check the definition of completion includes fixing known defects first.
Authority Approvals
Ensure the responsible party for obtaining Authority Approvals (e.g Building Permits, Planning Permits, utility connections) is clearly defined.
Know exactly what you’re signing — before you build.
Protect your dream build with a Building Contract Health Check:
Avoid budget blowouts before they happen
Lock in a quality control processes from the start
Save your future self a huge amount of stress
Thanks for reading and catch you on my next post :)
Annelyse
Construction Management | M. Construction Law
