Leaky Homes Issues And "Stiched Up" Migrants

One of the most common problems that migrants from developed countries encounter in New Zealand is the relatively poor condition of its houses. Almost all construction in NZ is of the wooden framed design (even those with a brick exterior) and it ranges from quaint old Kauri villas to brand new million dollar mansions. There are often problems associated with dampness, poor weather tightness ('leaky building') lack of adequate heating and poor insulation. New Zealand has rapidly gained a worldwide bad rep for shonky houses some of which may cost an unwary householder hundreds of thousands of dollars in repairs, with little or no help either from the government or building companies and certifiers. See Telegraph UK article :  Owners of leaky homes in New Zealand struggle to pay for repairs-

"Owners of leaky houses in New Zealand are struggling to fund repairs to their rotting homes as controversy over the government's proposal to deal with the problem grows...

For those considering buying property in New Zealand, Glenn Slaughter, an estate agent in the country had some advice. "Any property that a purchaser is considering buying in New Zealand should be made subject to getting a building check from an approved building company," he said.
"They can also provide a moisture reading to make sure that the property is not above the acceptable level."He gave warning that many people had bought properties in haste, especially at auction, only to find out that they had purchased a leaky home.

"Some properties are able to be repaired but some have had to be pulled down. Unlike Britain, most New Zealand homes (even brick) are built over a timber framing. If moisture gets into this framing of the house it may be too late to repair and this is when the building itself becomes worthless," he said."Weather conditions and building practices are very different to the UK, and permanent material homes may be not be as permanent as English folk would expect."

If you are thinking about purchasing a property in New Zealand be sure to have a full and proper inspection carried out and make it a condition of the sale that the report be satisfactory. Do not, under any circumstances, take the selling agent's advice not to have one done and do NOT use someone that they recommend.

Unfortunately many migrants are unaware of the massive extent of the leaky building disaster in New Zealand, even though it has been very much in the news for the last few years. A recent estimate is that it would cost the country $11.5 billion dollars to repair all its leaky homes, that's approximately 10% of the country's GDP. Don't let a significant chunk of it come out of your pocket!

If you are emigrating to NZ and want to do some reading about this before you part with your cash take a look at reports here and look at devastating effects that it is having on the lives of so many people. This is the story of one British family who emigrated from Britain eight years ago and was recently published in the New Zealand Herald -by Anne Gibson:

"Wilna White and her family are migrants who became leaky-building victims.

After a nine-year struggle which is yet to end, she wants to warn other migrants of the dangers of buying a New Zealand house.

Paul and Wilna White lived in the English village of Barton-le-Clay outside Luton and worked in London, arriving here in December 2001.

The family loved Auckland's beaches and bought a house at Whangaparaoa. They dealt with a licensed real estate agent.

Soon after buying, they discovered severe weather-tightness issues and the rot was so bad that a child fell part-way through an exterior deck.

The couple have fought for eight years to get compensation, claiming $475,000 in a Weathertight Homes Tribunal case. But earlier this year, they got just $173,000 and have appealed the decision.The tribunal awarded the Whites $121,000 from Lorelle Kerkin as the sole trustee of an estate that sold them the house at 6 Castaway Place, and $52,000 from Rodney District Council, which signed it off.

Mrs White said the past eight years had been a nightmare. She has been robbed of annual holidays because dealing with the leaky-house issue has taken up all her spare time.

Mrs White warned that migrants were in danger of being tricked."

So has much changed for incoming migrants since the Whites arrived eight years ago? it would seem not, immigrants are still being seen as naive or easy targets and "stitched up" accordingly (also by Anne Gibson):

"Immigrants are being saddled with leaky homes, unwittingly buying into our national disaster, says a Remuera real estate agent.

Steve Koerber of Barfoot & Thompson has pointed the finger at vendors and other real estate agents, saying there is a lack of information about houses.

John Gray of the Homeowners and Buyers Association agreed that some agents were reluctant to let potential buyers know of weather-tightness issues, but an agency boss has rejected criticism.

Bryan Thomson, Harcourts chief executive, said agents were upfront if they were made aware of leaks. But not all vendors told agents about leak issues, he said.

Mr Koerber said migrants were particularly at risk because so many were unaware of the dangers of buying a New Zealand house. "I have a big problem with the fact that hundreds of new immigrants and some locals are literally stitched up into potentially leaky or actually leaky homes. Their eyes are wide shut and some owners and agents are genuinely relieved to find them," Mr Koerber said."

For more information on weather tightness including what to look for when purchasing a property

see 'Information for homeowners' on the Department of Building and Housing's web site.

See other posts on this issue here: Leaky homes

Leaky Building Syndrome Goes Sky High

The Nautilus Building, some call it a blot on the Orewa landscape, others are less kind.

You can't miss it - it's the tallest and most out of character construction for miles around, rising from the low lying urban sprawl of the little seaside town like a carbuncle that would have a Prince of the House of Windsor reaching for a well oiled lance. Many of the residents would too.

In common with many homes of its era the Nautilus is said to be suffering from the bete noir of the NZ building industry - Leaky Building Syndrome and its going to cost millions to put it right, that is once the combatants have worked out who to pin the blame on. Mr Martin, of the Cornerstone Group who developed the building is blaming in on Brookfield Multiplex who built it and on maintenance that hadn't been done properly.

Many would ask if its worth spending another cent on, perhaps it's better to draw a veil over the whole sorry saga, demolish it build something decent in its place. Something worthy of the 21 Century but more in keeping with its surroundings.

A report in the Herald said that "Mr Martin said three years ago that out of more than 1000 units he had built, only about 100 leaked."

But three years ago the Herald reported Mr Martin also saying that three Cornerstone Group apartment projects on the North Shore had leak problems

"The 41-unit Oyster Cove at Gulf Harbour on the Whangaparaoa peninsula, the 40-unit complex at 282 Main Beach at Orewa, and an Albany apartment project all leaked to varying degrees, he says.

Claddings were a major contributor to problem, and he has banned the use of all fibre-cement plaster-coated monolithic sheet cladding products from all projects.

"I wouldn't put another sheet of that stuff up. There will never be a sheet of monolithic cladding put on anything we do. We're paranoid about it."

This is how the OREWA RATEPAYERS & RESIDENTS ASSOCIATION Committee saw the Nautilus in 2006.

"We know that some of the developers are going to miss out on their million dollars profit, but “you speculate in the hope to accumulate, but sometimes you lose” This is what has to happen in Orewa if we are to survive the onslaught of vulgar, ill-built high-rise buildings like the Nautilus – which has been an eyesore since it was built and virtually empty ever since with only about 40% occupancy – this must tell the developers that people do not want high-rise. "

I have a feeling this one will run and run.

Demolition For House That Leaks Like a Sieve

Source: NZ Herald, Thurs 4 Sept 2008

A migrant family are so disillusioned with their big house in the Auckland suburb of Lynfield that they are demolishing it. The large 1980s seaside place had many defects and faults, including leaks. The family came here from Taiwan last decade but are so disheartened after years of enduring the house that they have decided to start again........

The 255sq m house was badly designed, wet and cold, they said. Problems were so widespread that it was not even worth removing the house from the site for resale.......

They said none of their windows had flashings to keep out rain. Nor were the walls insulated, which meant the place was freezing. The house was oriented towards the seaward side and the prevailing weather so water came into the lounge and the largest bedroom through windows. But because the house was built in the 1980s, the family had no legal redress via the state-funded system which helps leaky-home owners. The house was not eligible for a weathertightness assessment or claim. The Government bans owners of houses built more than a decade ago from using its leaky building service, which offers free house inspections, written reports on defects and dispute negotiation, mediation or adjudication to resolve problems. "It was not built very nicely," said one of the house's residents yesterday, adding that her family did not initially know enough about the system to commission a building inspector's report before they bought it in the 1990s. "We ... just thought it was a nice area," she said. It was only when a family member met a builder that they discovered the extent of the problem. QV has the house listed as being worth $600,000: $310,000 for the house and $290,000 for the large site.