Answer · reviewed 2026-09-29

What are my rights in NSW if a tradesperson does bad work? (statutory warranties)

Short answer

Under the NSW Home Building Act 1989, every residential building work contract carries implied warranties that work is done with due care and skill, uses suitable new materials, complies with the law, and that a dwelling is reasonably fit for occupation. They apply even when the contract says nothing, and cannot be excluded. They last 2 years for most defects and 6 years for major defects, running from completion, plus a further 6 months if the breach is found near expiry.

They apply whether the contract mentions them or not

This is the single most misunderstood point. Section 18B of the Home Building Act 1989 implies the statutory warranties into every contract for residential building work. A contract that tries to strip them out or cut them below the minimum does not succeed: they cannot be excluded or contracted out. So a builder who hands over a short-term "12 month warranty" still owes you the statutory warranties underneath it, for as long as the Act allows.

What the six warranties say

The Act implies that the work will be done with due care and skill and in accordance with the contract plans and specifications; that materials supplied will be good and suitable for the purpose and new unless otherwise stated; that the work will comply with the Home Building Act and any other applicable law; that it will be done with due diligence within the contract time, or a reasonable time if none is set; that for a dwelling, the work will result (to the extent of the work) in a dwelling reasonably fit for occupation; and that the work and materials will be reasonably fit for a specified purpose or result if the owner made that purpose known while relying on the contractor’s skill and judgment.

The clock: 2 years, then 6 years

The warranty period starts on completion of the work to which it relates. "Completion" is not when the builder walks off; the Act defines it, and it can be the hand-over date, the date the contractor last carried out work other than defect rectification, the issue of an occupation certificate, or 18 months after an owner-builder permit was issued. For breaches that are major defects the limitation period is 6 years; for every other breach it is 2 years. If the breach becomes apparent in the last 6 months of the period, proceedings can still be commenced up to 6 months after the period ends.

What counts as a major defect

A major defect is a defect in a major element of the building that is caused by faulty design, workmanship, materials, or failure to meet the National Construction Code, and that causes or is likely to cause the inability to inhabit or use the building for its intended purpose, its destruction or a threat of collapse, or is prescribed as a major defect. A leaking bathroom or a cracked tile in a non-structural element is a different claim, on the shorter 2-year clock, than a structural or waterproofing failure that threatens the building.

Who can bring the claim

The benefit of the statutory warranties is not limited to the original contract party. Subsequent owners, including owners’ corporations, can enforce them even though they were not a party to the original building contract. That matters at resale: a building defect that emerges after you have bought the property can still be actionable within the 2 or 6 year period, provided the claim is commenced in time.

The order that protects your position

Notify the trader in writing and give them a reasonable chance to remedy. Then use Building Commission NSW free dispute resolution while the warranty is still live — the Commission can issue a Rectification Order, which the trader cannot appeal, and which terminates if you instead take a Tribunal claim before it expires. Lodging with NCAT before the warranty period lapses is what preserves your statutory-warranty rights, because Building Commission can still handle the complaint even as the period runs out, but the Tribunal may refuse to deal with it once the time has passed. If the work was over $20,000, the Home Building Compensation Scheme also has time limits, so the earlier you involve the Commission, the safer both routes stay open.

How to complain about a builder or tradesperson in NSW

Sources

Contracts for residential building work, NSW Government. Checked 2026-09-29.
Home Building Act 1989 (NSW) — Section 18B warranties, NSW Legislation (AustLII). Checked 2026-09-29.
Home Building Act 1989 (NSW) — Section 18E proceedings / warranty periods, NSW Legislation (AustLII). Checked 2026-09-29.
How Building Commission NSW deals with building defect complaints, Building Commission NSW. Checked 2026-09-29.

Government fees are quoted from the government source. Market prices are the observed spread across the guides listed, not our estimate. Prices change; the checked date is when a human last looked.

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