A Model house is pictured next to someone holding a fountain pen. They are positioned to sign a contract.

The South Australian government is running a campaign to help consumers protect themselves while building or renovating a home.

We’ve put together a series of actionable steps to help you stay protected while on your building journey.

Know your rights

Before you consider building or renovating, make sure you’re aware of your rights.

There are clear rules around home construction and renovation, which include:

Review the Building, renovating & extending a home brochure to make sure you’re best protected.

Check the builder’s reputation

Before employing a builder, ask your friends and family about any builders they have used.

You should also ask to see the builder’s recent work and a list of referees.

This will help you to confirm their:

  • reliability
  • standard of work
  • business ethics.

Search the register to check the builder’s licence or phone Consumer and Business Services (CBS) on 131 882.

Pay close attention to your contract

Make sure you carefully review your contract when signing with any builder.

  • do not rely on any verbal agreements
  • make sure you are happy with all details, specifications and timeframes
  • if you are unsure about anything, ask your builder to explain or seek advice.

Be mindful of potential for price increases during the pre-construction phase, especially if you are signing  with your builder around the same time as signing with a developer for land purchase.

A number of factors can lead to delay for the land release to be finalised, and in that time, depending on the terms of your contract with the builder, it may permit the builder to increase the contract price.

More information is available in this guide to price increases for home building work contracts.

The importance of building indemnity insurance

If building work on your property costs $12,000 or more and requires local council approval, the builder must take out building indemnity insurance.

This insurance covers you in the event your engaged builder:

  • becomes bankrupt
  • disappears or dies
  • And cannot complete your work or fix any defects under your five-year statutory warranties.

Before work on your property begins, your builder must provide you and the local council or private certifier with a copy of the insurance.

It’s worth taking an extra step to verify the insurance yourself, because we’ve recently detected forged certificates and uninsured building projects.

You can easily check your building insurance at https://www.qbe.com/au/builders-warranty/certificate-register

Do not make any extra or staged payments, as they aren’t covered by insurance.

Monitor your build’s progress

During your build, it is important you closely monitor the work taking place.

Is the build or renovation running as scheduled? If not, why?

Remember to communicate freely and openly with your builder to prevent any misunderstandings from taking place.

Follow up on any communication in writing.

For more information

For advice about building or renovating projects see the guide Building, extending & renovating a home.

You can also contact CBS for advice about your rights or if you have a dispute with your builder.