When do I need a written building contract in NZ?
Short answer
In NZ, residential building work costing $30,000 or more (including GST) must have a written contract by law. The builder must also give you a disclosure statement and a checklist before you sign. Below $30,000 a written contract isn't compulsory but is still strongly recommended.
Source: MBIE / Building Performance — residential building contracts. Updated May 2026.
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Check a builderKey facts
- $30,000+ (incl GST) residential work: written contract is mandatory
- Builder must provide a disclosure statement and checklist before signing
- The contract should cover scope, price, payment schedule, variations and timeline
- Even under $30,000, get it in writing
The $30,000 rule
For residential building work of $30,000 or more including GST, a written contract is required under NZ law. The builder must also give you a disclosure statement (about their business, skills and insurances) and a checklist before you sign.
What the contract should cover
A good building contract clearly sets out:
- The scope of work and what's excluded
- The price and whether it's fixed or charge-up
- A payment schedule tied to stages
- How variations (changes) are priced and approved
- The expected timeline and what happens if it slips
Why it matters
A written contract is your main protection if something goes wrong. If a builder won't put the job in writing for work of this size, treat that as a warning sign in itself.
Knowing the rules is half the job. The other half is knowing who you're hiring. Check any NZ builder against the public record: company status, licensing and insolvency notices, from the official NZ sources.
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Related questions
Sources: MBIE / Building Performance — residential building contracts; Building Act 2004. 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.