The Role of Section 137B Inspections in Melbourne
With the burgeoning construction industry in Melbourne, ensuring property compliance and transparency becomes imperative. This is where the Section 137B of the Victorian Building Act 1993 plays a pivotal role. Owner-builders, those who undertake the construction of their property, need a Section 137B Inspection Report before they can put their property on the market. This essential report ensures the newly constructed homes meet the appropriate building standards, ensuring safety for potential inhabitants and offering buyers a clear picture of what they’re investing in.
Understanding the Section 137B Inspection Report
The Section 137B Inspection Report is not just any document. Crafted meticulously by a licensed building practitioner, it provides a deep dive into how an owner-built property measures up to established building standards.
An “owner builder” is someone who, quite simply, builds or renovates a residential property on their own land. Unlike commercial builders, these individuals don’t construct as a business activity. The key distinction? Genuine owner builders neither aim to immediately sell nor lease their properties. Instead, they live in them or plan to shortly. Furthermore, they hold the property title.
If selling the house is on your radar within 6 years and 6 months of finishing the build or renovation, you’ll need this report. Sell after this period, and you’re exempt. However, the construction cost plays a pivotal role, especially concerning warranty insurance. If your spend exceeds $16,000 AUD, securing warranty insurance becomes compulsory.
Key Components of the Section 137B Inspection Report:
The key components of a Section 137B Inspection Report typically include:
- Images of Defects: The report should contain clear images illustrating the defects that require attention.
- Description of Defects: A detailed description of each defect, along with its probable impact, should be provided. This helps in understanding the severity and implications of the issues found during the inspection.
- Listing of Defective Building Elements: The report should list defects in various building elements, which may include site drainage, frame, floor, and more. This ensures a comprehensive assessment of the property’s condition.
- Identification of Minor and Major Structural Defects: It’s essential to identify and differentiate between minor and major structural defects in the property. This helps potential buyers or authorities assess the seriousness of issues.
- Obligation to Rectify Defects: The report may also clarify that the owner-builder has no obligation to rectify the defects identified in the report, especially if they plan to sell the property within a specified time frame.
- Compliance with Building Act: The Section 137B Inspection Report should meet the requirements set forth by Section 137B of the Building Act to ensure its validity and relevance.
Where is the section 137b report being used for?
- Owner Builder Transactions: Section 137B reports are essential in owner builder transactions. These reports provide critical information about the construction and building works completed by the owner-builder. It covers various aspects, including the construction of garages, decks, carports, houses, or buildings.
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Defect Inspection: These reports are crucial for defect inspection purposes. Registered engineers, architects, surveyors, and inspectors often carry out Section 137B reports. These reports identify defects in materials or workmanship in the construction process.
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Pre-Purchase Inspections: Section 137B reports can also be relevant in pre-purchase inspections. Buyers may refer to these reports to assess the quality and condition of a property before making a purchase decision. This is important to ensure transparency and avoid potential issues after the sale.
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Owner Builder Warranty Inspections: Section 137B legislation in Victoria applies to owner builders who have completed work with a building permit within the last six years and six months. Owner builders may require these reports to fulfill warranty inspection requirements.
How to Obtain Your Section 137B Inspection Report
To obtain your Section 137B Inspection Report, follow these steps:
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Determine Eligibility: Section 137B Inspection Reports are required if you sell your home within 6 years and 6 months of the completion of owner-built works.
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Engage a Building Inspector: Contact a qualified building inspector or inspection service to assess your property for defects and issues related to the owner-built construction.
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Inspection Process: The inspector will perform a comprehensive examination of your property, highlighting any faults, defects, or issues with materials or workmanship.
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Obtain the 137B Report: After the inspection, the building inspector will provide you with a 137B Inspection Report detailing the findings and any necessary recommendations.
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Keep Records: It’s essential to keep a copy of the Section 137B Inspection Report for your records, as it may be required during the property sale process.
Benefits of Investing in a Section 137B Inspection Report
The decision to obtain a Section 137B Inspection Report often boils down to the perceived return on investment. While there’s an upfront cost involved, the myriad advantages this report offers make it a worthy expenditure for owner-builders. Let’s delve deeper:
- Peace of Mind:
- Confidence: Knowing that a professional has given your property the green light can significantly reduce any selling anxieties.
- Transparent Disclosure: Potential buyers can be provided with clear, unbiased insights, making for smoother negotiations.
- Value Augmentation:
- Higher Market Price: With a clean bill of health from a licensed practitioner, your property’s market value can experience a boost.
- Attract More Buyers: A property backed by a Section 137B report may attract more serious buyers, leading to quicker sales.
- Proactive Defect Identification:
- Early Action: Addressing potential issues before they escalate can avert hefty repair bills down the road.
- Enhanced Property Lifespan: Tending to defects early can prolong the structural integrity and overall lifespan of your property.
- Unwavering Compliance:
- Adherence to Law: Stay in line with the Victorian Building Act 1993, ensuring all constructions and renovations on your property are up to code.
- Avoid Legal Repercussions: A compliant property means less risk of legal complications or disputes in the future.
Why Choose Owner Inspections for Your Melbourne Property Needs
Considering selling an owner-built property in Melbourne? Trust in Owner Inspections for your Section 137B Inspection Report needs. Not only does this report stand as a beacon of integrity and safety, but Owner Inspections ensures precision, top-notch customer service, and a smooth experience throughout.
With a certified team adept at providing clear guidance, they have cemented their reputation for excellence in Melbourne’s building inspection sector. For transparent, accurate reports and peace of mind, choose Owner Inspections.