5 Things to be aware of when building a new home in Australia
No one starts a home build expecting things to go wrong.
At the beginning of every project, everyone – the builder, the client, and the designer – shares the same goal: to see the project through to success.
But building a home is a complex process, and sometimes things can take unexpected turns. Delays in materials, budget variations, resource shortages, or last-minute design tweaks are just a few factors that can impact your build.
Here’s my top 5 hitlist of common issues that can come up during new home building projects
When challenges arise, you may find that priorities between you and your builder differ. As a client, you might be most focused on getting your home finished on time, while the builder might place more emphasis on ensuring everything is done to a high standard. I've seen it happen too often – what started as a dream home build turns into a drawn-out, exhausting and costly experience.
That’s why it’s so important to be proactive and prepared for the realities of new home building before it starts.
Here’s my top 5 list of common issues that can come up during new home building projects in Australia, and how you can prevent them before signing any building contract.
5 Common Issues in Residential Building Contracts
1. Unclear Contract Inclusions
Make sure you’re crystal clear on what is – and isn’t – included in your contract. Here's what to look out for:
Authority Costs: Who’s paying for things like building inspections, permits, and council fees? It should all be detailed in the contract.
Service Connection Costs: Check that the costs for connecting gas, water, and electricity are covered, or if other arrangements need to be made.
Landscaping & External Finishes: Not every contract includes outdoor areas or landscaping, so confirm what’s included in the scope.
Internal Finishes: Don’t assume that the beautiful finishes you see in renders are exactly what you’ll get. Double-check that the materials specified in the contract match what you’re expecting, especially in off-the-plan builds.
2. Project Delays
Your contract will outline agreed start and finish dates, but what happens if things run late? Ensure you understand the delay clause in your contract. Builders may be entitled to extensions due to weather, defects, or client changes, but you can also protect yourself with liquidated damages if your home isn’t finished on time. Know the process for managing delays before you sign.
3. Cost Blowouts
Once the contract is signed, the agreed price shouldn’t change due to rising costs. It’s up to the builder to budget properly for the project. Make sure your contract clearly defines the total cost and when changes can occur so that you’re not hit with unexpected extras.
4. Supply Chain Disruptions
The construction industry can sometimes face supply chain issues, which might impact your project’s timeline. Talk to your builder upfront about any materials that might take longer to source, like windows, steel, or custom joinery. Planning ahead for these can prevent delays down the track.
5. Payments for Unfinished Work
Never pay for work that hasn’t been completed! Even when your contract includes a payment schedule, ensure there’s a system in place to adjust payments if progress isn’t keeping up with expectations. Only pay for what’s been done – it’ll keep everyone on track.
I hope these tips help you on your new home-building journey. If you want peace of mind on your new home build, I’m here to help. Book a Building Contract Consultation and let’s chat about your build and ensure you’re on the right path.
Thanks for reading, and catch you in my next post 🙂
Annelyse
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Written by Annelyse, Building Contract Enthusiast, Project Manager, and founder of Build Together Project Management.
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