The Construction Route for Your Home: Is Your Builder Legit?

The Construction Route for Your Home Is Your Builder Legit Intellichoice Finance

Building a home is not an easy feat, especially if you do not have the funds that you need and a reliable contractor to do the job. It would be ideal to opt for the construction route for your dream home is you have a legit builder to work with.

The work does not only begin when the construction starts. Every authentic and dependable builder should be available from the planning of the project up until you are already living in your dream home. A legit builder also ensures that you are indeed getting quality for the effort and resources that you are putting into the construction of your home.

Why Do You Need A Legit Contractor to Do Construction Work for You?

If you are planning to fund your home building with a construction loan, you need to have a registered and qualified contractor to do this. Most important of all, a genuine contractor can commit a safe and sound home for your family.

Unfortunately, there are a few bad apples in the construction business that makes it important for clients to know the difference between a genuine builder and a potential scammer.

Identifying a Licensed Builder for Your Home

1. Look for Business Registrations

All genuine businesses should have business permits registered to be able to operate legally in Australia. Checking for the authenticity of these permits is still one of your responsibilities. The Australia Securities and Investment Commission is a good place to start by identifying if the contractor’s business is indeed a registered one. Ask for the ABN of your contractor if they are not categorized as a company. You can look it up on the Department of Industry, Innovation and Science’s ABN lookup feature.

2. Able to Provide Necessities for Work

Genuine home builders can provide uniforms, working tools, personal protective equipment and machinery necessary for work. If they do no own the following or at least renting them from someone else, you might reconsider signing a contract between you and your contractor of choice.

3. Rushed Payments and Over the Top Deposits

A genuine contractor will never charge you more than $1000 as down payment for construction work. Most licensed contractors have revolving funds or suppliers where they have credit lines to be able to proceed with work without having to ask a client to shell out a huge amount of money.

If a home building project is funded by a construction loan, a genuine and licensed contractor will be able to shoulder expenses up until the next scheduled bank drawdown release.

4. Check for Insurance

A registered, licensed and a reliable home contractor would be wise enough to invest in insurance. Contractors are liable for any injury or damage they may afflict people and property during the duration and construction of any project they endeavor. General property insurance is also something wise and valid contractors would invest with especially if they already have equipment of their own.

A contractor that has a back-up plan or support is someone you could put your trust into when looking for someone to work on your dream homes.

5. Other Documents and Accreditations to Verify

A trustworthy and reliable home contractor will most likely be identified upon applying for a construction loan. But if you would want to ensure that you are indeed dealing with a legit builder, here are some other documents you can look for to identify their authenticity.

  • Public Liability Insurance
  • Domestic Building Insurance for Contractors in Victoria
  • Home Warranty Insurance
  • Registrations with the Housing Industry of Australia
  • Registrations with the Master Builders of Australia
  • Other State Related Builder Licence such as:
  • NSW Fair Trading
  • Consumer Building and Occupational Services in Tasmania
  • Victoria Building Authority
  • Queensland Building and Construction Commission
  • Fair Trading in South Australia
  • Department of Commerce in Western Australia
  • NT Consumer Affairs

Hiring an unlicenced contractor is also illegal in some states in Australia. The client can also be liable for any injuries or damages your “unlicenced contractor” may encounter on your property. Entrusting your dream home construction with a fraud also endangers the quality or even the completion of the home you aspire.

A work with quality and integrity is what you’ll get with a licenced contractor for your home. Make the most out of the money or construction loan that you invest in your new home. Deal with licenced and legit contractor for a favorable experience all throughout your home building journey.

 

Related Posts