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How to choose a builder in NZ

Check the licence, get it in writing and know where to go if it goes wrong.

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Updated 11 November 2026. Rules checked against official NZ sources, each one linked.

Choosing a builder comes down to four checks: are they licensed for the work, is the price in writing, does the contract cover the basics, and do you know who to go to if it fails. Each takes minutes and none costs anything.

This is general information, not legal advice. Rules change, so confirm anything big with the official pages listed at the end.

The short version

Check the licence

The LBP website says to ask to see the practitioner’s current licence ID, which can be digital or a printout. It carries a QR code that shows their credentials. You can also search the public register by name or practitioner number.

The licensing classes page lists seven classes: Design, Site, Carpentry, Roofing, External Plastering, Brick and Blocklaying, and Foundations. Roofing also has areas of practice such as profiled metal roof, concrete or clay tile roof and membrane roof. Check the class matches what you are paying for.

An LBP is needed for restricted building work. The LBP website says this is work essential to a home’s structure and weathertightness, and it is not limited to work that needs a building consent. If you are unsure whether your job counts, ask a licensed designer or your council.

Our guide to checking a builder’s LBP licence walks through the register step by step.

Get it in writing

Consumer Protection says a quote is generally a confirmed maximum price, while an estimate is not a fixed price and should generally land within 10 to 15 percent. Once you accept a quote, the business cannot charge more unless you agree to extra work or the scope changes. Its page also suggests getting quotes or estimates from at least three businesses if you can, and not paying more than 10 percent as a deposit.

MBIE’s prescribed checklist tells you to get detailed quotes (not estimates), compare like with like, and note that the lowest price is not always the best. It also says to think carefully before paying more than the value of work completed plus materials supplied.

For bigger jobs the law adds paperwork. MBIE’s Do your homework guide (November 2025) says a contractor dealing directly with you must provide:

The contract must include items such as the site, start and completion dates, the price or how it is calculated, a description of the work, who is doing or supervising it, who gets consents, the payment process, how variations are agreed, how defects are fixed and the dispute process. The guide says splitting work into separate contracts under $30,000 to avoid this does not help the contractor.

Templates for the checklist and disclosure statement are on the Building Performance site. If a contractor says they do not need to give you them on a job of this size, ask why.

Questions to ask before you say yes

The checklist also suggests asking around, getting references, and looking up a company on the Companies Office site if the builder trades as one.

Red flags

These are reasons to stop and ask questions. None proves a problem on its own.

Your rights if it goes wrong

Building Act protections. MBIE says implied warranties in the Building Act 2004 apply to residential building work for up to 10 years, whatever the contract says. They cover things like Building Code compliance, good workmanship and timely completion. There is also a 12 month defect repair period: tell the contractor about defects in writing and they must fix them within a reasonable time.

Consumer Guarantees Act. Consumer Protection lists four service guarantees: reasonable care and skill, fit for purpose, completed within a reasonable time if no time was agreed, and a reasonable price if none was agreed. If a problem can be fixed and the business will not, you can have it fixed elsewhere and claim the cost, or cancel. For serious failures you can cancel and refuse to pay for the work.

Complaints. The Building Practitioners Board hears complaints about LBP conduct, including negligent work and breaches of the code of ethics. It cannot hear payment or contract disputes. Complaints must use the approved form, name the LBP and include evidence.

Disputes Tribunal. The Disputes Tribunal handles small claims up to $60,000, including poor tradework and disputed charges. Fees depend on the claim amount. Claims from $60,001 to $350,000 usually go to the District Court.

How GoodTradie helps

GoodTradie is a free service for homeowners. We do not list builders yet, so we cannot find or book one for a new build or renovation. The checks above apply to any builder you find yourself. For roofing jobs we find one tradie, check their register licence, and compare their quote against published NZ figures. That is a guide, not a guarantee.

Sources

Questions

Do I need a written contract with my builder?

For residential building work costing $30,000 or more including GST, yes. MBIE's Do your homework guide (November 2025) says a building contractor who contracts directly with you must provide a written contract. MBIE recommends a contract even for smaller jobs. A contractor can be fined $2,000 for not providing a required contract.

What is a disclosure statement?

It is a document your contractor must give you before you sign if the work is likely to cost $30,000 or more including GST, or if you ask for it. MBIE says it covers the contractor's legal name, the key contact person's qualifications and LBP number, insurance and any guarantees. The contractor must also give you the consumer protection standard checklist.

How long do I have to raise problems with building work?

MBIE says there is a 12 month defect repair period from completion, where the contractor must fix defects you tell them about in writing. Implied warranties under the Building Act 2004 apply for up to 10 years, whatever the contract says.

Does my builder have to be a Licensed Building Practitioner?

Only for restricted building work, which MBIE describes as work on the primary structure, weathertightness or, in multi-unit buildings, fire safety design. That work must be done or supervised by an LBP in the right class. Check the licence class matches the job.

Where do I go if I cannot agree with my builder?

Talk to the builder first and follow the dispute process in your contract. The Building Practitioners Board hears complaints about LBP conduct but not payment or contract disputes. The Disputes Tribunal hears claims up to $60,000, including poor tradework and disputed charges.

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