Renovating a home can be one of the most rewarding experiences for a homeowner. Whether it’s refreshing an outdated bathroom, extending your home to accommodate a growing family, or adding a new level for increased functionality, renovations bring the opportunity to improve your quality of life and add value to your property.
However, major renovations are not DIY-friendly tasks. While painting walls or replacing light fittings may fall within your weekend capabilities, larger and structural home improvements should always be left to licensed professionals.
In this article, we explore why using licensed builders is essential when undertaking home renovations in Australia, particularly in cities like Sydney where strict building regulations apply. We’ll also cover common risks, when licences are required, insurance considerations, and how to choose the right builder for your project.
Licensed builders must meet strict education, experience, and competency requirements to gain their accreditation. This includes:
This rigorous training ensures licensed builders are up to date with legal and safety obligations, structural requirements, and emerging trends in building technologies.
Every renovation must comply with state and national Building Codes, local council planning rules, and other legal obligations. A licensed builder understands:
Working with a professional ensures your renovation is legally compliant, avoiding costly fines or rework if your home doesn’t meet the correct codes.
The structural integrity of your property is paramount. Renovations that affect load-bearing walls, foundations, plumbing, or roofing can compromise safety if not handled correctly.
Licensed builders understand:
They work closely with structural engineers, building designers, and inspectors to deliver safe and long-lasting results.
Renovation projects, especially on older homes, can pose significant health and safety hazards. Without appropriate knowledge and protective measures, homeowners and unqualified trades may be exposed to serious risks.
Homes built prior to 1990 are likely to contain hazardous materials, including:
Only licensed professionals have the proper PPE (personal protective equipment), disposal training, and containment methods to handle these materials safely.
Renovating around electrical wiring is inherently dangerous. Faulty electrical work can lead to:
Licensed builders work alongside certified electricians to isolate, redirect, and reconnect electrical systems safely.
The risk of falls from ladders, scaffolding, and roofs is one of the leading causes of injury on renovation sites. Licensed builders:
These practices drastically reduce the risk of on-site injuries.
Professional builders have access to industrial-grade tools and know how to use them safely. These include:
Attempting DIY with such tools without training can result in serious harm or permanent injury.
In New South Wales (NSW), licensing is governed by NSW Fair Trading, and understanding when a licence is required is vital to staying compliant.
However, even for smaller jobs, using a qualified tradesperson is still recommended for the best results.
In NSW, licensed carpenters can undertake carpentry projects up to $20,000 without providing Home Building Compensation (HBC) insurance, provided no structural works are involved.
Your builder can help determine if your project needs Council Development Approval (DA) or a Complying Development Certificate (CDC). These may apply depending on:
Never start work without proper permits, or you risk being forced to undo the renovations.
One of the greatest risks of using unlicensed trades is lack of insurance cover. Licensed builders are legally required to hold multiple forms of insurance to protect themselves, their workers, and your property.
Previously known as Home Warranty Insurance, this protects homeowners if:
It is mandatory for residential projects over $20,000, and it covers work for six years after completion.
Covers injury to third parties or property damage caused by the builder’s work. For example, if a scaffold falls and damages your neighbour’s car, you’re protected.
Protects you from legal claims resulting from professional errors or negligence.
Example: If you’re a building designer and a design flaw in your plans leads to structural issues in a client’s building, they could sue you for the cost of repairs. Professional Indemnity Insurance would help cover your legal fees and any compensation awarded.
Required by law to cover the builder’s employees in case of injury or illness sustained while working on your property.
Choosing the cheapest quote or trusting an unlicensed “mate” to do the work can backfire dramatically. The hidden dangers include:
You may even be forced to demolish illegal structures at your own cost if they breach council codes.
Pro tip: Always verify a builder’s licence through the NSW Fair Trading Licence Check.
Here’s what to look for when hiring a professional builder for your home renovation:
Ask for their builder’s licence number and cross-reference it with Fair Trading’s public register. Make sure it covers the type of work you’re hiring for.
Request copies of:
Reputable builders will proudly show you:
Always have a written building contract that outlines:
For work over $20,000, it is compulsory to use a written contract under NSW law.
At Extend a Home, we understand that your home is your sanctuary. With over 80 years of combined experience, our team of fully licensed and insured builders delivers:
We work closely with building designers, certifiers, and council officers to ensure your renovation is compliant, safe, and exceeds your expectations.
We help bring your vision to life with expert advice, premium craftsmanship, and safe building practices.
1. What is the difference between a builder and a handyman?
A handyman handles minor repair jobs under $5,000 that are not structural. A licensed builder manages larger, structural renovation projects and must meet legal and insurance requirements.
2. Can I get insurance if I use an unlicensed builder?
No. Insurance providers typically will not offer coverage for work done by unlicensed trades. You also won’t be protected under HBC insurance.
3. What happens if I build without council approval?
Unauthorised building work may result in fines, forced demolition, or loss of property resale value. Always consult with your builder to determine approval requirements.
4. Why do licensed builders cost more than unlicensed trades?
Licensed builders include insurance, compliance, quality materials, and warranties in their costs. It’s a long-term investment in safety, durability, and peace of mind.
Your home is likely the biggest investment you’ll ever make. Don’t cut corners when it comes to renovations. Whether you’re adding a new room, revamping your kitchen, or expanding upwards, only a licensed builder has the qualifications, legal protection, and expertise to get the job done right.
Using a licensed builder isn’t just a smart choice, it’s often a legal requirement in New South Wales. Avoid costly mistakes, safety risks, and legal troubles by partnering with a team you can trust.
Contact Extend a Home today for a no-obligation consultation and discover how we can bring your renovation dreams to life, safely and professionally.
Don’t risk your family’s safety or your investment by choosing unlicensed builders.
Let the experts at Extend a Home handle your next renovation project with professionalism and peace of mind. Call us on 02 9736 3344 or contact us online for a free consultation and detailed quote.
Project: When the house was renovated by Extend a Home, I felt as if we’d doubled our house size.I just felt this was realy the home the would set us up for the next 10 years. The way they designed and built into it, it felt a lot larger, like we got a lot more bang for the buck than we expected we would
Project: I feel like I’ve died and gone to heaven in this house.I walk in, and it’s a sense of peace ’cause the openness and the light. It’s like people rent a place like this for their summer holidays and I feel like I’m here.
Project:
I felt like my dream had come true. This is a house that we can leave our sons with confidence so it was an investment as much as it was a lifestyle change. With renovating and extending,we’ve got more storage, especially the study and the library. As a handyman myself, I was looking for attention to detail.in the work they did, the quality of the work, so nothing is too hard and it sort of just ran smoothly
Project:
When the house was fully renovated, I felt like it was somewhere that I wanted to stay for the rest of my life it really is a friendly home to be proud of, My experience working with Extend a Home was far more pleasant than I ever thought it could be
Project: When the house was newly renovated by Extend a Home, we fet so happy, we finally got the property that we’d actually envisaged in our minds and that we always wanted. Its delivered everything that we expected and more
Project: When Extend A Home extended our home I felt that everything was under control while they are managing the project they know what they are doing and I feel that I’m safe in their hands.We needed the space for our relatives that come over and would like to live in this place a bit longer
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