Under the Strata building bond & inspections scheme (SBBIS), developers of new apartment buildings 4 storeys or higher must pay a building bond to NSW Fair Trading equal to 2% of the total price paid or payable of all contracts for the building.
This building bond may be used to fix defects identified during the SBBIS building inspections. If not needed, the bond is returned to the developer.
The whole process is managed across two online portals. The NSW Planning Portal is used for Stage 1 – Building bond lodgement. Once approved, your Strata bond case will then be moved to the SBBIS on the Strata Hub for Stages 2 to 8.
Learn more about the process, and how to progress an SBBIS building bond case from lodgement through to completion.
For more information on strata, visit the NSW Government website.
Information manuals
Stages 1-8 in the SBBIS
The SBBIS process map
We have created a process map to help you understand each stage in the scheme.
Stage 1: Building bond lodgement
Developer registers their project and lodges the building bond in the NSW Planning Portal.
Stage 2: Inspector appointment
Within 12 months of the building work being finished, the developer must appoint a building inspector.
Stage 3: Interim inspection and report
Between 15 to 18 months after the building work is finished, the building inspector will complete an interim inspection and report.
Stage 4: Rectifying defective building work
Between 18 to 21 months after the building work is finished, the builder needs to rectify any identified defects.
Stage 5: Final inspection and report
Between 21 to 24 months after the building work is finished, the building inspector will complete a final inspection and report.
Stage 6: Determining the cost to rectify defective building work
If the defective building works had not been rectified, the cost to rectify these must be determined.
Stage 7: Paying the building bond
The building bond is used to pay for the rectification work. The building bond payment process should be completed between 2 to 3 years after the building work was finished.
Stage 8: Completion
The owners corporation completes the rectification of the defective building work. If the rectification costs less than the building bond, the balance is returned to the developer.
More information
For copies of the SBBIS manual forms, information on applying for review of a decision, Tribunal orders, key terms, the Strata inspector panel's information manual, and more.
Notes for completing inspection reports
This technical note is for building inspectors conducting interim and final inspections under the Strata Building Bond and Inspections Scheme.