Discovering defects in your new home or renovation is stressful and expensive. Victorian law provides strong protections for home owners, but understanding the process — and acting within the time limits — is critical. As building and construction lawyers in Frankston, we act for home owners across Melbourne and the Mornington Peninsula in disputes with builders and developers.
Types of Building Defects
Building defects in Victoria fall into two broad categories:
- Structural defects — problems that affect the structural integrity of the building, such as cracking foundations, defective framing, non-compliant waterproofing, and subsidence. Structural defects are covered by a 10-year statutory warranty.
- Non-structural defects — issues such as poor paintwork, tiling defects, inadequate drainage, window leaks, and defective fixtures. Non-structural defects are covered by a 6-year statutory warranty.
These warranties are implied into every domestic building contract by the Domestic Building Contracts Act 1995 (Vic), regardless of what the written contract says.
Steps to Take When You Discover Defects
1. Document the defects. Take photographs and videos of every defect. Note when you first became aware of each issue and whether it is getting worse over time.
2. Notify your builder in writing. Send a written notice to the builder identifying the defects and requesting rectification within a reasonable timeframe (usually 14–28 days). Keep a copy of all correspondence.
3. Obtain an independent expert report. Engage a registered building practitioner or building consultant to inspect the property and prepare a report identifying the defects, their cause, and the estimated cost of rectification. This report is essential for any formal dispute.
4. Lodge a complaint with DBDRV. If the builder fails to rectify the defects, you can lodge a complaint with Domestic Building Dispute Resolution Victoria (DBDRV). DBDRV offers a free conciliation service and must be used before you can take the matter to VCAT for most domestic building disputes.
5. Apply to VCAT. If conciliation does not resolve the matter, you can apply to the Victorian Civil and Administrative Tribunal (VCAT) for an order that the builder rectify the defects or pay compensation. For claims exceeding VCAT’s jurisdiction, proceedings may be commenced in the County Court of Victoria.
Domestic Building Insurance
In Victoria, builders are required to take out domestic building insurance for any domestic building work valued at over $16,000. This insurance protects the home owner if the builder dies, disappears, or becomes insolvent before completing the work or rectifying defects. If your builder has gone out of business, you may be able to make a claim under the domestic building insurance policy.
Time Limits
Acting promptly is important. The statutory warranty periods (10 years for structural, 6 years for non-structural) run from the date of the occupancy permit or certificate of final inspection. In addition, general limitation periods under the Limitation of Actions Act 1958 (Vic) may apply. If you are aware of defects, seek legal advice as soon as possible.
Talk to a Building Dispute Lawyer
Professional Edge Lawyers acts for home owners in building defect claims across Frankston, the Mornington Peninsula, Melbourne’s south-east, and greater Victoria. We handle matters at DBDRV, VCAT, and in the courts. Contact us on 1800 776 529 to discuss your building dispute.
