What is a leaky home in NZ and is my house one?
Short answer
'Leaky home' is the term for residential buildings (mostly 1994-2005) built with monolithic plaster cladding direct-fixed to untreated kiln-dried framing — a combination that lets water in and lets the framing rot. Symptoms include musty smells, dark stains around windows, soft framing under cladding, mould. If you own one, the claims process via the Weathertight Homes Resolution Service closed in 2016 — current remedies are through the original builder/council under the 10-year Building Act long-stop or civil claims.
Key facts
- Most leaky homes built 1994-2005
- Common causes: monolithic plaster direct-fixed to untreated framing, no eaves, complex junctions
- Weathertight Homes Resolution Service closed for new claims 31 Dec 2021
- Building Act 10-year long-stop bars most claims now (Section 393)
- Supreme Court 2024 created a 2-year contribution carve-out — narrow but real
Spotting a leaky home
Era: 1994-2005, especially townhouses in Auckland and Wellington. Cladding: monolithic plaster (textured smooth plaster look), direct-fixed (no cavity). Profile: little or no eaves, multi-storey, complex flashings.
Symptoms inside: musty smell in cupboards, dark stains around windows or under windowsills, paint bubbling, mouldy bedrooms, soft skirting boards. Sometimes no obvious symptoms — moisture is hidden in the wall.
Diagnostic: a moisture-meter survey by an accredited surveyor. Cost ~$500-1,500. If readings are elevated, an invasive inspection by a builder removes a small section of cladding to confirm.
If you own one
Talk to a specialist construction lawyer first — the Supreme Court 2024 BNZ v Wellington City Council case created a narrow path back into time-barred claims via contribution. Most cases still fail the 10-year long-stop but it's worth checking yours.
Insurance: most leaky-home damage isn't covered (defective workmanship exclusion). Some policies have limited cover for sudden damage from a leak.
Repair: full re-clad costs $1,500-3,500 per m² of external wall. A standard 200 m² house typically lands $250-500k. Half-jobs (patch repairs) rarely hold long-term.
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Related questions
Sources: MBIE — leaky homes; Weathertight Homes Resolution Services Act 2006; Supreme Court BNZ v Wellington City Council 2024. General information for NZ homeowners, not legal advice — building rules change and vary by council, so confirm critical details on the official source before acting. Last updated 2026-05.