Defect report? Need advice

Hi all,

Not sure if this is the right section but I was after some advice to do with built defect reports or engineering reports (if there is a difference).

Very brief run down on the situation.

Our unit block of around 50 units is nearly 1 year old, builders left it in a mess when they finished basically just poor workmanship in areas and a lot of defects.

We are very very slowly getting things fixed with them it has been a painful process and they have been less than helpful ..

Their attitude is that we have all made good money on our units after a dragged out construction period, we all bought pre boom you see and when finished we all ended up atleast 100-200k ontop, I think their dirty about that.

Our executive committee is becoming very impatient with things not being fixed or finished and the overall condition the builders left this place so they want to go in for blood and get an engineers report or defect report done on the building.

What does this mean for my unit value and when I want to sell?

Should I jump ship with my money now prior to the report being finalised?

How do they work ? What costs are involved and is it smart to pursue the builder this way?

The defect report is permanently marked on the unit right ?

Who should I talk to for advice ?

From my understanding the defect report for the building will be on file for the life of my unit and effect me when it comes to be sold ? Once the defects are shown in the report then what happens ? I have been told by strata that to get them fixed we have to take the builder to court costing an extreme amount and being a drawn out process ?

Any help would be much appreciated as I'm getting worried about what I should do.

Btw we live in the unit now and in 12 months time want to turn it into an investment property as we are buying a house but now I'm swayed because of this and also because of the influx of units in Sydney too ..

We are in Sydney.

Thanks in advance

 

Get the engineer's/consultant's report. Lodge a claim with the builder to make good. If not made good, raise a special levy to all unit holders to fund the court case. If the builder folds, sue their insurer. All this is recorded in the BC minutes available to anyone doing DD on buying any unit in the complex. Yes it will affect value negatively in the short - medium term.

 

I don't know how it works in NSW but in WA we lodge a complaint with the Building Commissioner. Builders here take any formal complaint very seriously. Don't know if it works like that but in NSW, you would lodge a complaint with NSW Fair Trading.

Building_complaints

 

Well there are defects and defects!

If it's just things like minor plaster or paint defects (according to the standards and tolerances guide) then I don't think it's going to affect your value.

If the building is structurally unsound, or really out of plumb etc then that's other matter.

On the Homeone forums site, defects are often discussed so maybe visit that site too.

Sometimes you have to get a report if there is a dispute with the builder and you want to take it further.

 

2 issues

1. Usually builder would furnish BC with all relevant certificates around practical completion stage I would chase up which ones are finalised and which ones are not
2. More importantly I'd liaise with BC to pursue builder through the regulatory body ie buildings have a statutory warranty and take out mandatory insurance to cover defective builds/ builders going under etc. Put together all evidence including certificates missing in point 1- they'd be first point of call for me rather than putting my hand in my pocket (or BC pocket). They should arrange any inspections required- just ensure due to size of your block that all relevant inspections occur based on defects found ie structural/ electrical etc

Good luck,
Wal

 

Whatever has been going on or problems that are known will be there already for all to see if part of the BC meetings.