Hello everyone,
I just got the contract from my builder, in one clause he has mentioned that if the private inspector comes for inspection during construction, the builder will charge $500 administration fee on every inspection. Is this a normal practice? Has anyone hired a private inspector and was charged $500 or less/more? I haven’t signed the contract yet so need suggestions.
Private inspector
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In what state is the contract?
There is no such clause in a standard HIA contract.
The sad reality is that most builders will do everything they can to dissuade their customer from using a private inspector.
In QLD, builders often claim that it is unnecessary because the different stages are already passed by a private certifier.
While it is true that builders need to obtain certifications, I personally find it very hard to give it much credit because the builder personally chooses and pays their certifier which, to me, sounds a lot like a conflict of interest.
Personally, I would see this special clause in your contract as a red flag.
I would also warn you from experience that even if you get a private inspector that identifies defects (breaching standards), you cannot be guaranteed that the builder will fix them. I am not suggesting that a private inspector is useless. On the contrary, I find them invaluable. Unfortunately, at least in QLD, they don’t have enough power.
There is no such clause in a standard HIA contract.
The sad reality is that most builders will do everything they can to dissuade their customer from using a private inspector.
In QLD, builders often claim that it is unnecessary because the different stages are already passed by a private certifier.
While it is true that builders need to obtain certifications, I personally find it very hard to give it much credit because the builder personally chooses and pays their certifier which, to me, sounds a lot like a conflict of interest.
Personally, I would see this special clause in your contract as a red flag.
I would also warn you from experience that even if you get a private inspector that identifies defects (breaching standards), you cannot be guaranteed that the builder will fix them. I am not suggesting that a private inspector is useless. On the contrary, I find them invaluable. Unfortunately, at least in QLD, they don’t have enough power.
In what state is the contract?
There is no such clause in a standard HIA contract.
The sad reality is that most builders will do everything they can to dissuade their customer from using a private inspector.
In QLD, builders often claim that it is unnecessary because the different stages are already passed by a private certifier.
While it is true that builders need to obtain certifications, I personally find it very hard to give it much credit because the builder personally chooses and pays their certifier which, to me, sounds a lot like a conflict of interest.
Personally, I would see this special clause in your contract as a red flag.
I would also warn you from experience that even if you get a private inspector that identifies defects (breaching standards), you cannot be guaranteed that the builder will fix them. I am not suggesting that a private inspector is useless. On the contrary, I find them invaluable. Unfortunately, at least in QLD, they don’t have enough power.
There is no such clause in a standard HIA contract.
The sad reality is that most builders will do everything they can to dissuade their customer from using a private inspector.
In QLD, builders often claim that it is unnecessary because the different stages are already passed by a private certifier.
While it is true that builders need to obtain certifications, I personally find it very hard to give it much credit because the builder personally chooses and pays their certifier which, to me, sounds a lot like a conflict of interest.
Personally, I would see this special clause in your contract as a red flag.
I would also warn you from experience that even if you get a private inspector that identifies defects (breaching standards), you cannot be guaranteed that the builder will fix them. I am not suggesting that a private inspector is useless. On the contrary, I find them invaluable. Unfortunately, at least in QLD, they don’t have enough power.
Thanks for the info. I am building in VIC.
Private inspectors are not part of the contract between the owner and the builder but are there to advise you. They have no power to direct the builder.
I have been doing private inspections for about 15 years and mostly the builders will co-operate seeing private inspector as another pair of eyes and as help in avoiding problems or dealing with issues before they escalate into serious problems.
On occasion builders will not co operate and then the inspector should know what to do and which buttons to push to get the result.
The clause you refer to is a special condition and you should negotiate to have it removed before you sign the contract.
I have been doing private inspections for about 15 years and mostly the builders will co-operate seeing private inspector as another pair of eyes and as help in avoiding problems or dealing with issues before they escalate into serious problems.
On occasion builders will not co operate and then the inspector should know what to do and which buttons to push to get the result.
The clause you refer to is a special condition and you should negotiate to have it removed before you sign the contract.
The clause constitutes an Unfair Contract Term, check the ACCC website for further information.
The clause also reflects the builder's lack of confidence in their QC system and their ability to deliver a good product.
The clause also reflects the builder's lack of respect for their client.
This lack of social conscience is why having a pre contract signing consultation with an industry expert is so important.Consider it like examining a map prior to making a trip to an unknown destination.
The clause also reflects the builder's lack of confidence in their QC system and their ability to deliver a good product.
The clause also reflects the builder's lack of respect for their client.
This lack of social conscience is why having a pre contract signing consultation with an industry expert is so important.Consider it like examining a map prior to making a trip to an unknown destination.
Try to get included in the contract that progress payments are only payable after the private inspector has inspected and confirmed the work done for that stage is per the contract and meets the applicable building standards. Otherwise an unscrupulous builder will simply ignore the inspection report, assure you it will be ok, they will fix it later etc...and just invoice you anyway. Pay attention to liquidated damages amounts because these can allow an unscrupulous builder to use time and financial pressure against you if they don’t want to rectify defects.
As far as I know, the private Building Inspector is your agent. They represent you, so there is no way they should be charging you extra.
Private inspectors add cost for the volume builders like Metricon and their comparatively low paid volume contractors. They don’t want you finding deviations from the plan and poor workmanship during the build and your requests to rectify it at their expense. They would prefer to keep going and cover these up or that you find the defects later at PCI or after handover when they have all your money and it’s just not practical to fix. Do not expect your builder, like Metricon in my experience, to have a quality checking process during the build. This requires expensive skilled labour and their high volume / low cost business model does not make such a process viable. The site supervisor may manage up to 20 builds at a time and will have minimal time to visit and check yours. It is up to you and your inspector to check their workmanship and conformity to the plans. However, every customer’s expectations and tolerance of defects with volume builders will be different.
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If you already have a contract, is the inspection cost stated in there? If not they would be forced to issue you a variation which you could of course object to.
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I would send it to the certifier who is technically your representative and working on your behalf not the builder's
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