How long is a builder responsible for defects?

Three separate protections can apply to the same defect, and people often argue the weakest one. Knowing which is which is most of the battle.

The three

• Statutory warranties, implied into residential building contracts by state legislation. These are the strongest and they cannot be contracted out of.
• Consumer guarantees under Australian Consumer Law, which apply to services generally, including a guarantee of due care and skill with no fixed expiry.
• Any express warranty in the contract or from a manufacturer, which sits on top and never replaces the other two.

The periods

Most states distinguish structural or major defects, with a longer period commonly around six years, from other defects with a shorter one, often two years. The exact periods, and the definition of what counts as major, are set by each state's legislation. The clock generally runs from completion of the work rather than from when you noticed.

Worth knowing: statutory warranties usually pass to a subsequent owner, so buying a recently built or renovated home does not necessarily leave you without recourse. Ask for the completion date and the builder's details during the purchase.