92 – that is the number of reviews currently on the web site Product Reviews for Perth Builders today. And I have to say about 75% of them paint a rather doomy picture of lengthy delays, poor workmanship and sheer frustration about warranty issues. This is not a good outcome for an owner wanting to move in or tenant out the house nor is it good for the Building Industry. Sadly, I have seen many a relationship break up due the financial stress of building. Why is this so? It goes likes this “caveat emptor” buyer beware. The Housing Industry bodies, the Housing Industry Association and the Master Builders Association look after the interests of their Builders. Of course they do! Builders are in the business to make profit and that is the fact! That building contract is a pretty powerful legal document and requires a lot of respect. You need to understand all the terms and conditions of your building contract before signing. No hidden surprises to the terms of progress payments and the amount a builder can charge for variations. That variation fee can be very expensive in the final wash up. I will cover how all that works in a later article. One of the concerns I come across with owners is the tricky one of progress payments. As I said before, Builders are in business to make profits so they can set the payments to maximise their cash flows. It is so important you understand these schedules set out in the contract. The builder can only submit a claim when the work has genuinely been carried out. i.e. you pay for what has been done. It is tough times out there in the building world and builders will forward a progress claim sometimes before all the work has been done in respect to that claim. And yes this leads to conflict as the claim comes with a legal requirement for payment in 10 days. You know there is a Home Building Contracts Act that allows you or an authorised person acting on your behalf to inspect works to ensure that all works have been genuinely carried out for that claim. Building a house is a huge investment so that is why I advocate you seek out advice before and through the construction. It is a wise investment and it will avoid a lot of heartache, financial costs and stress. Sometimes I feel people put my energy into buying a car than investing in the protection of their build. You can also follow and share the link on Facebook:
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