137B Owner Builder Reports
Ensure the sale of your property is completed without cancellation or complication of the contract of sale by getting a 137B Owner Builder Report
Why do I need a 137B Owner Builder Report?
When selling your home you must provide a 137B Owner Builder Report if you carried out any building construction, alterations or improvements to your home in the last 6.5 years as an owner builder.If you have completed any structural work or any work involving waterproofing or weatherproofing and the value of the work is more than $20,000, then separate Statutory Insurance must also be required. A 137b Owner Builder Report will be required in order to obtain the Statutory Insurance.The report must be included within the Section 32 prior to a buyer signing the Contract of Sale along with any required Warranty Insurance. It is an offence under the Building Act 1993 if it is not.If a Contract of Sale is signed without a 137B Owner Builder Report having been sighted, the purchaser can cancel an unconditional Contract of Sale without any penalty AND have the deposit returned in full. The Vendor then has to begin the process of selling their home all over again.A 137B Owner Builder Report can be referred to under a number of different names including Owner Builder Report, Section 137B Report, Warranty Report, Owner Builder Defect Report or Defect Report. Any combination of these names can be used in isolation or in combination to described these reports and they all refer to the same report type that is relevant if you are selling your property and you have completed works or renovations as an owner builder.
137B Owner Builder Report Facts
- Reports must be completed by a suitably qualified practitioner with Insurance cover. Only a registered Architect, a registered Building Surveyor, registered Building Inspector or endorsed registered Engineer (not Builders) can legally perform the inspections and write the 137B Owner Builder Reports.
- 137B Owner Builder Reports must be obtained when you put your property on the market. The Contract of Sale can be voided if the report is older than 6 months or not in place at the time the Contract of Sale is signed.
- Reports are valid for 6 months. After 6 months the works must be re-inspected and a new 137B Owner Builder Report issued.
- No significant work can be performed after the inspection.
Cosmetic works NOT included in a 137B Owner Builder Report are:
Looselay floors, carpets, curtains, electrical works, plumbing works, minor painting, polished floors, bookshelves, landscaping, flowerbeds
- An Owner Builder Report is required to obtain Statutory Insurance for work over the value of $20,000, where the work requires a building permit, is structural in nature and/or where the work involves waterproofing or weatherproofing.
- All works valued at less than $20,000 only require a 137b Owner Builder Report. Statutory Insurance is not required for works valued at less than $20,000.
Typical works that require a 137B Owner Builder Report include:
Carports
Garages
Extensions
Kitchens
Decks
Full House Renovations
Tiling
Bathroom Renovation
Laundry
Verandas & Pergolas
Secure the sale of you property with a 137B Owner Builder Report!
Book your 137B Owner Builder Report now to avoid complications and keep your sale on track.