Understand who’s who on your build
Phase 1: Plan
Bank or lender
Bank or other lenders provide loans to borrowers. You may want to apply for a construction loan, which gives you access to money progressively as you complete each stage of construction. Make sure you consider all the key building costs, including rent if you need to live somewhere else during the build. It’s a good idea to get your loan pre-approved several months in advance so you have time to choose a reputable, licensed builder. You can’t start construction until your bank or lender gives you the authority to go ahead.
Builder
Selecting your builder is a critical step. Builders oversee the entire construction process – from interpreting plans, managing delivery of materials and coordinating all subcontractors to demolishing any existing structures, excavating the land and building your new home. The NSW Office of Fair Trading’s step-by-step process for selecting a tradesperson or builder can help you save money and avoid problems down the track.
Tip: Once you have a shortlist of builders you should always check if they have a valid contractor licence.
Financial adviser
A financial adviser can help you work out what sort of property suits your current plans, understand your borrowing capacity, and organise the right loans for you. It’s important to find an independent financial adviser who is not tied to selling you certain services or products and does not receive a commission from selling them.
Before using a financial adviser, you should always check their credentials on the ASIC financial advisers register.
Tip: Before using a financial adviser, you should always check their credentials on the ASIC financial advisers register.
Homeowner
The homeowner is the person who owns the house that they will live in. There may be more than one homeowner. As the homeowner, it’s your job to ask questions, review progress, and discuss any issues with the builder.
NSW Planning Portal
The NSW Planning Portal is where you’ll check planning requirements, lodge a development application; get a BASIX certificate, section 10.7 certificate or complying development certificate; track applications, and more. It hosts a range of digital planning services, mapping tools and reporting tools to help everyone involved in a proposed development.
Project home company
Project home companies build large numbers of houses using a limited range of standard designs and plans. Because they can negotiate bulk discounts, they’re able to build houses at a much lower cost than a customised project.
Phase 2: Approve
Arborist
Your building site may have laws in place to protect trees. If you apply to the council to remove a tree, you may need a qualified arborist to assess the location and health of any trees on the site.
Council
Your local council reviews your building plans and assesses the project against local planning controls. Every council has a Duty Planner who can help you understand specific rules and restrictions and explain any technical language.
Geotechnical engineer
A geotechnical engineer has specialised knowledge of earth materials and their interaction with structures. They will assess the rock and soil conditions at the site, identify any potential hazards (such as landslides) and recommend designs for safe foundations.
Lawyer
Seek advice from a lawyer if there is anything you do not understand in your building contract. You can also ask your builder or call NSW Fair Trading for assistance.
Planning consultant
A planning consultant provides independent planning advice and feasibility reports. They can also make sure your build meets any regulations and help you prepare and lodge development applications.
Principal certifier
The principal certifier's role is to check the building is suitable for occupation. You must appoint a principal certifier if your development needs approval, such as a development application or complying development certificate.
A principal certifier can be from:
- your local council
- a registered building surveyor, or
- a registered body corporate (certification company).
After the final inspection, the certifier will issue an occupation certificate if your new home meets all the requirements.
Surveyor
A land surveyor will prepare a detailed survey that sets out the features of your land and adjacent blocks, including boundary measurements.
Phase 3: Build
Certifier
A building certifier is an accredited specialist who inspects and approves construction work at critical stages to ensure it meets safety, health, design and sustainability standards. A certifier is responsible for issuing certain construction certificates and does not work for the builder. Certifiers are regulated by NSW Fair Trading.
Owner builder
An owner-builder is someone who can do ‘owner-builder work’ on a property, including supervising and coordinating the home’s construction and any alterations, repairs or additions. In NSW, you need an owner-builder permit to supervise or complete work valued at more than $10,000. The NSW Department of Fair Trading has more information on becoming an owner-builder.
Structural engineer
A structural engineer can inspect your new home’s walls, roof, frame, concrete and retaining walls to identify any building defects or other issues, if needed. They can also make any suggestions on how to fix any problems.
Subcontractors
A subcontractor does not have a contract with the homeowner but is hired by the builder or project home company. Typically, subcontractors specialise in certain areas – such as assembling windows, installing electrical wiring or plumbing, and laying floors and roofing.
SafeWork NSW
SafeWork NSW is the state’s workplace health and safety regulator. Their ‘safe work method statement’ templates help keep workers safe on building sites. If you're intending to carry out asbestos removal, you or the subcontractor must notify SafeWork NSW 5 business days before starting the work.
Phase 4: Post-build
Utility providers
Your builder will have connected your utilities such as electricity, water and gas during the build phase. Once your home is connected to the existing infrastructure, you can choose your utility providers and arrange connection of these services.
NSW Fair Trading
The NSW Department of Fair Trading can help you resolve any disputes with your builder or subcontractors. Their building inspectors can issue a Rectification Order if there are matters that the contractor needs to rectify. They can also decide the builder is not responsible for the alleged defects.
State Insurance Regulatory Authority
The State Insurance Regulatory Authority looks after the home building compensation scheme in NSW. The scheme protects homeowners as a last resort if their builder cannot complete building work or fix defects because they have become insolvent, died, disappeared or had their licence suspended for failing to comply with a court or tribunal order to compensate a homeowner.