Information for Owner-Builders

information for owner-builder

Each licensed contractor (builder, tradesperson or project manager) who contracts directly with an owner-builder to undertake residential building work must provide insurance under the HBCF where the total contract sum exceeds $20,000 (including material supplied by the contractor).

The certificate of insurance should be provided to the owner-builder by the licensed contractor before taking any money under the contract and before starting any work. 

Owner-builders who sell properties built under an owner-builder permit are no longer required to provide insurance cover under the HBCF to a subsequent purchaser.
The HBCF ceased issuing cover  from 15 January 2015 to owner-builders who sell their properties. There is also no longer a requirement for owner-builders to attach certificate of insurance under the HBCF to a contract for sale of owner-builder work. 
The statutory warranty periods under the Home Building Act for owner-builder works continue to apply. Information in relation to an owner-builder's obligations under the statutory warranties can be obtained via NSW Fair Trading's website at together with further information on other amendments to the Home Building Act impacting on owner-builders.