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. 

References on this website to builders and building work include and apply to work undertaken by trade contractors and other building contractors such as electricians, plumbers, carpenters, swimming pool builders etc.