builders licence [Archive] - Renovate Forums

ScroozAdmin

26th Jan 2010, 02:22 PM

having waded through the mountain of info on licensing with QBSA am now fairly baffled, :? does anyone know the short version of what insurances/warranties you need (and the rough costs) involved to reno your own investment property if you have a QLD lo rise builders licence and the pitfalls of going this route (there's bound to be some).

ScroozAdmin

29th Jan 2010, 05:26 PM

OK, think I've got a handle on it :oo: just for info in case anyone else ever has this query.

Any work over $11,000 means you need council approval and a licence which can be either an owner builder permit or a builders licence.

If you use an OB you have to put a clause in the contract when you sell the property stating the work was done under an OB and therefore is not warranted, you have to get the buyer to sign this notice before the contract can complete, needless to say it could be a dealbreaker for the sale. You can leave out this clause but then you are deemed to have entered a warranty contract and now you are personally liable for any defects up to 6 years after the sale, however, the most ridiculous point is you can only have 1 licence every 6 years so if you like doing your own big reno's you better go slow.

If you use a builders licence you have to take out the BSA Home Warranty insurance which has a sliding scale cost based on the job value, this insures you against you going bust mid job :youcrazy:Using this licence with the warranty also means you are liable for any defects for 6 years after completion, and for not only your work but the work of any other trades :oo: that were on the project. So if a pipe bursts, that you never even clapped eyes on, 3 years after you've sold the house and floods the place, you could get a call. Oh and you may have to do a H&S course as main contractor.

No wonder so many people reno off the radar or virtually build a new house for $10,999.