Don’t get caught by the fine print. Understand and know what you are getting into before you sign. Here’s a checklist which includes some of the questions you should ask yourself before signing the contract:

• Is the work clearly described in the contract, including plans and specifications?
• Are the start and finish dates clearly stated?
• Is the procedure for delays and extensions of time clearly stated?
• Is the procedure for variations of plans or specifications clearly stated?

Cost Commitment

• Are the price and progress payments clearly stated in the contract and in accordance with the law?
• Do you understand how the price is calculated and how it may be varied?
• Have you read the contract thoroughly and had it checked by independent experts?
• Are penalty payments for exceeding the time for construction adequate and clearly stated?

Insurance and Warranty

• Does the contract include insurance and warranty details?
• Have you checked that the Warranty Insurance is current and applies to all the work on your property?

General

• Are there two copies of the contract – one for you and one for the builder?
• Are the circumstances in which the builder or owner can end the contract clearly stated?
• Has the builder explained the required cooling off period allowed after signing the contract?

Make sure your contract has all the necessary drawing and specifications attached and get the builder to sign and date each page when you are signing the contract.