Application process for Spec Builds and Multi Unit Applications

FROM NZCB — Gabby Surtees Administration & Customer Liaison Halo Guarantees Limited

Whatever building projects you have lined up for 2022 and beyond, it’s important to understand the benefits and application process of the Halo Guarantee 10-Year Residential Guarantee.

Spec Builds

The Halo Guarantee 10-Year Residential Guarantee provides cover for any Spec or Builder-Owned Homes. However, the cover only commences once the property has been sold or the ownership of the property has been transferred to the new purchaser. Despite this, the Halo Guarantee Application must be submitted prior to the works commencing, which is standard for all Halo Guarantee Applications.

Halo Guarantees Limited deems a Spec Build as any Residential Dwelling(s) that are owned or part-owned by the Builder or anyone who effectively controls the Builder (such as a majority shareholder or Director of a building company). This includes Residential Dwellings that are intended to serve as their home or built for the purpose of resale (Spec-homes).

Even if the property is not sold straight away, when the new owners take possession, they will still benefit from what is remaining of the 10-Year Guarantee from the Completion Date of the build. Therefore, it’s a good idea to always apply for the Halo Guarantee even if you think this will be your own home for a time. It gives you options down the track and could well enhance the sale of the Spec-home.

To apply for a Spec Build: H For a streamlined online application, select the

New Zealand Certified Builders (NZCB) Online Building

Contract through the NZCB members’ only Toolshed website. Under the intended use section of the contract, select the Spec Build button. Then under the Public

Liability section, select the Halo Guarantee button and this automatically sends us your application. Job done. H Alternatively, you can download and complete the Halo

Application form* and submit it with your Signed Building

Contract (if you have one). In the absence of a Building

Contract, submit the application form and we’ll respond with a few additional questions, which would normally be answered within the Building Contract. Multi-Unit Builds, Townhouses, and Duplexes

You’ll be pleased to know the Halo Guarantee provides cover for your Multi-Unit Builds, however the most common misconception is that only one Halo Guarantee Application is required. We actually require a Halo Guarantee Application for each individual dwelling. Even if there is only one Owner at the time of applying, these could potentially be sold down the line to separate owners. Not only this, in the event of a claim, each Unit will have a designated pool of money to draw on. In effect, the Halo Guarantee sits with the house and can be passed on from one owner to the next.

Typically, a Multi-Unit Build has one Building Contract between a Builder and a Developer that addresses the construction of all the Units. If this is the case, you will need to download and complete one of our Halo Guarantee Application forms* for each Unit, even if you’ve submitted an automatic Halo Guarantee Application via the NZCB members’ only Toolshed.

To apply for a Multi-Unit Build, please ensure you submit the following: H Halo Guarantee Application form* for each unit H Copy of the Signed Building Contract (The Original Contract Price on the application form should reflect the cost for that specific Unit only, not the overall build price if there is only one Building Contract.) H Copy of the plans.

*The Halo Guarantee Application form can be downloaded from the Halo section of the NZCB members’ only Toolshed website: www.nzcb.nz/members/halo/

If you need any further information or have questions, please contact the Halo Guarantees Limited team on 0800 141 490 or applications@halo.nz

Your Halo 10-Year Residential Guarantee is administered by Halo Guarantees Limited, a company owned 100% by New Zealand Certified Builders Association. All Halo Guarantee documentation can be found on the NZCB members’ only Toolshed www.nzcb.nz/members/halo/.