Contract Conditions
Your New House Contract
The most important document you sign is the ‘New Home Contract’. This document describes the house to be constructed and provides remedies to deal with any defaults by the builder or the house owner. The more you understand the contents…
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Contracts – Site Possession
Under the terms of a “Standard’ Building Contract you will be required to grant the builder ‘Exclusive Possession’ of the site once the builder is ready to start. This means that the builder is responsible for, and is able to…
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Understanding Contracts – Liquidated Damages
There is the opportunity in the standard new house building contracts to be compensated if the building takes longer than the agreed ‘Contract Period‘. This is called ‘Liquidated Damages’. The basis of the ‘Damages’ that the builder is likely to…
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How Much Should Stage (Progress) Payments Be
When you contract someone to build a new house you are required to make regular payment as each STAGE is completed. . . . But how much? Well builders want to get paid as soon as possible so they will…
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Contract Documents – Order Of Importance
Of course the contract documents are the most important thing when organising the building of a new house. However not many people realise that some parts of the contract document are more ‘important’ than others. All three of these parts…
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Contract Security Clauses
Did you realise that there are clauses about a ‘Security Account’ in a Standard Building Contract? No mortgage? If you aren’t planning on a mortgage because You are downsizing, or Got a house loss insurance payout, or Getting a bank loan….
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Do You Need A Lawyer?
I hear a lot of people suggesting they get a lawyer to review their house building contract. I”m not that sure that is a great idea, and its going to cost a fair bit of money. Issues using a lawyer…
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Why You Might Not Find A Builder Rating
Can’t find a quality rating for your builder? Perhaps you should check your contract before you sign it. Apparently some builders require customers to sign a contract that: ‘Prohibits them from publishing anything about the builder without the builders express…
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Unfair Contracts
Did you know that there is legislation in Australia that protects you from unfair contracts? Fair Contracts The two most common house building contracts are: The HIA Standard Contract. The Master Builders Association Standard Contract. Both these contracts are considered…
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When Did Your Construction Contract Start?
If there has been delays in a house building contract the question of compensation comes up (see this link: Liquidated Damages ) A key factor in assessing damages is knowing when the construction contract started; as it isn’t written in the signed contract. In order to avoid…
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