Building your principal place of residence

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Builder

The Home Building Contracts Act 1991 (the Act) enables a registered building contractor to build their principal place of residence once every six years without having to obtain home indemnity insurance.

If you are a registered building contractor wanting to build your principal place of residence, you must lodge a Registered Building Contractor – Building a Principal Place of Residence statutory declaration with the Building Commissioner verifying that you have not in the past six years obtained a building licence/permit for residential building work for which home indemnity insurance was not required.

Selling your principal place of residence

It is an offence to sell your principal place of residence within three years of obtaining the building licence or permit unless you obtain written permission granting exemption from the Minister for Commerce.

If you intend to sell your principal of place of residence within seven years of the date of issue of the building licence you must:

  • obtain home indemnity insurance for the remainder of the seven year period; and
  • provide the purchaser with a valid insurance certificate.

If you are unable to obtain home indemnity insurance you cannot sell the property within the seven year period.

Constructing a second residence

It is an offence to obtain another building licence or permit to construct your principal place of residence within six years from a building licence or permit being issued for the purpose of constructing your own home and for which no home indemnity insurance was required.

To construct a second principal place of residence within the six year period you must first obtain written permission from the Minister for Commerce granting exemption.

Application to the Minister for Commerce for an exemption

For approval to obtain another building permit without the requirement for home indemnity insurance OR to sell your principal place of residence within three years, applicants must lodge a statutory declaration and satisfy the Minister that:

  • a change of circumstances has occurred; and
  • the applicant would suffer hardship if the application was refused.

Your written application should be sent to:

Building Commissioner

C/- Licensing and Applications
Building Commission
Locked Bag 14
Cloisters Square  WA  6850

Or

Level 1, Mason Bird Building
303 Sevenoaks Street
Cannington WA 6107

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