Short answer: Exchange lists 8 renovation and remodelling companies in Victoria. Domestic building work worth more than $10,000 has to be carried out by a builder registered with the Building and Plumbing Commission under a written major domestic building contract. Deposits are capped at 10 per cent below $20,000 and 5 per cent at $20,000 or more, and contracts over $20,000 signed from 1 July 2026 fall under the Home Warranty scheme, capped at $400,000 per home. The contract threshold is legislated to rise to $20,000 by 1 December 2026.
Regulator
The Building and Plumbing Commission, established on 1 July 2025, registers domestic builders and took over the roles of the Victorian Building Authority and Domestic Building Dispute Resolution Victoria.
Registration threshold
Domestic building work worth more than $10,000, counting labour, materials and GST, calls for a registered domestic builder in the unlimited class or a matching limited class.
Cooling-off deadline
An owner has five business days after receiving a signed copy of a major domestic building contract to withdraw in writing.
Deposit cap
A deposit cannot exceed 10 per cent of a contract price under $20,000, or 5 per cent where the price is $20,000 or more.
Permit regime
Building permits are issued by a private or municipal building surveyor under the Building Act 1993 and Building Regulations 2018, applying the National Construction Code 2022.
Home Warranty
Contracts over $20,000 signed on or after 1 July 2026 are covered by the Commission's Home Warranty scheme, with assistance capped at $400,000 per home.
Do renovation builders need to be registered in Victoria?
In Victoria a builder who carries out, manages or arranges domestic building work worth more than $10,000, counting labour, materials and GST, has to be registered with the Building and Plumbing Commission under the Building Act 1993.
The Commission, usually shortened to BPC, was established on 1 July 2025. It brought together the Victorian Building Authority, Domestic Building Dispute Resolution Victoria and the domestic building insurance function of the Victorian Managed Insurance Authority, so registration, complaints and warranty cover now sit with one body. Older contracts, certificates and websites still carry the VBA name, and many vba.vic.gov.au links now redirect to bpc.vic.gov.au.
Registration comes in classes. Domestic Builder (Unlimited) covers all domestic building work, sometimes with conditions limiting the building classes a practitioner can work on. Domestic Builder (Limited) is split into trade-specific classes, and the ones that matter most for renovation are bathroom, kitchen and laundry renovation, carpentry, waterproofing, floor and wall tiling, and re-stumping and re-blocking. A limited-class builder is registered only for the scope of that class, so a kitchen and bathroom specialist is not automatically registered to build a second-storey addition. Plumbing and electrical work sit outside builder registration and are done by separately licensed or registered practitioners. The BPC publishes a practitioner search and a compliance and enforcement register, and its own advice is not to rely on advertising, business cards or quotes when checking a builder.
What contract is required for a home renovation in Victoria?
In Victoria, renovation work costing more than $10,000 has to be done under a written major domestic building contract that meets the Domestic Building Contracts Act 1995, and the owner has a five business day cooling-off right.
The cooling-off period runs for five business days from the day the owner receives a signed copy of the contract. Withdrawal is by written notice, and the builder may keep $100 plus any out-of-pocket expenses the owner approved before withdrawing. Consumer Affairs Victoria notes that the right does not apply where the owner had a lawyer check the contract before signing, or had already signed a contract on the same terms for the same home. If the contract left out the required cooling-off notice, the owner has seven days from becoming aware of the omission. An approved consumer guide and checklist, republished in the Government Gazette on 1 July 2026, go with every major domestic building contract. Cost plus contracts are generally restricted to work above $1 million.
This area is mid-change. The Domestic Building Contracts Amendment Act 2025 passed Parliament on 11 September 2025 and is due to take effect by 1 December 2026. Among other things it lifts the major domestic building contract threshold from $10,000 to $20,000, extends basic contract requirements to all domestic building contracts, and moves deposit and progress payment limits into regulations. Draft regulations were out for public consultation from 18 August to 16 September 2026. Anyone signing a renovation contract late in 2026 should check with Consumer Affairs Victoria which version of the rules applies on the signing date.
Which licences, permits and registrations apply in Victoria?
Requirement
Who issues it
When it applies
What it involves
Domestic builder registration
Building and Plumbing Commission
Domestic building work worth more than $10,000 including labour, materials and GST
Registration in the unlimited class or a limited class that matches the work, searchable on the BPC practitioner register
Major domestic building contract
Prepared by the builder under the Domestic Building Contracts Act 1995
Work costing more than $10,000, with the threshold legislated to rise to $20,000 by 1 December 2026
Written contract with the approved consumer guide and checklist, deposit caps and a five business day cooling-off right
Home Warranty
Building and Plumbing Commission
Contracts over $20,000 signed on or after 1 July 2026, on homes up to three storeys
Assistance up to $400,000 per home, with up to six years for major defects and two years for other defects
Building permit
Private or municipal building surveyor
All building work not exempted by the Building Regulations 2018
Assessment against the National Construction Code 2022, mandatory inspections, then an occupancy permit or certificate of final inspection
Planning permit under a Heritage Overlay
Local council
Demolition, exterior alterations and new construction on a property in the overlay
Council assessment under clause 43.01 of the planning scheme before a building permit is sought
Asbestos removal licence
WorkSafe Victoria
Contractor removal beyond 10 square metres of non-friable material, or any friable asbestos
Class B licence for non-friable material, Class A for friable, with advance notification to WorkSafe
How much deposit can a builder take for a renovation in Victoria?
For a renovation in Victoria, the deposit under a domestic building contract is capped at 10 per cent of the contract price where that price is under $20,000, and 5 per cent where it is $20,000 or more.
After the deposit, the Act limits what can be claimed at each stage. For a contract to build all stages of a home, the limits are 10 per cent at base stage, 15 per cent at frame, 35 per cent at lock-up and 25 per cent at fixing, with separate tables for contracts that stop at lock-up or fixing. Those stage names were written for new houses and often do not map onto a bathroom refit or a rear extension, so a renovation contract usually sets out its own schedule tied to completed work. Consumer Affairs Victoria publishes the rules for when and how a different schedule can be agreed, and that is the page to check before signing.
Two practical points follow. First, a request for a large upfront payment to buy materials or to book a start date is inconsistent with the deposit cap on a contract of this kind. Second, the amending Act due by 1 December 2026 adds a proportionality requirement, so that payments reflect the value of work actually completed, and limits cost escalation clauses to contracts of $1 million or more with a cap of 5 per cent of the contract price. The exact deposit and stage figures under the new regime will be set by regulation, so the percentages above describe the law as it stood in October 2026.
Is a home renovation in Victoria covered by warranty insurance?
In Victoria, renovation contracts worth more than $20,000 signed on or after 1 July 2026 are covered by the Home Warranty scheme run by the Building and Plumbing Commission, capped at $400,000 per home.
Home Warranty replaced domestic building insurance and is a first resort scheme. The older insurance, which still applies to contracts signed before 1 July 2026, was required for work over $16,000, paid up to $300,000, and responded only if the builder died, disappeared or became insolvent. Home Warranty can respond while the builder is still trading, where eligible work is incomplete, defective or non-compliant and the builder is unable or unwilling to finish or fix it. The BPC describes cover of up to six years for major defects, meaning structural, waterproofing and weatherproofing defects, and up to two years for other defects. Incomplete work is capped at 30 per cent of the contract price, and accommodation, removal and storage costs at $12,000.
The limits matter for renovation. The scheme covers homes of up to three storeys, it does not cover work by an unregistered builder where registration was required, and it excludes minor cosmetic differences and fair wear and tear. An owner is expected to raise the problem with the builder first, usually by a complaint notice, before the BPC assesses a claim. Separately, the Domestic Building Contracts Act implies warranties into every domestic building contract, and the consumer guide describes these as enforceable for up to 10 years after the occupancy permit or certificate of final inspection.
Do I need a building permit to renovate a house in Victoria?
In Victoria all building work, renovation included, needs a building permit from a private or municipal building surveyor unless the Building Regulations 2018 exempt it, and structural alterations, extensions and most reconfiguration work are not exempt.
Victoria is unusual in letting the owner choose between a private building surveyor and the council's municipal building surveyor. The surveyor issues the permit, lists the mandatory inspections on it, and at the end issues an occupancy permit or a certificate of final inspection. The exemptions are narrow: the BPC gives examples such as repair work done for maintenance, some minor alterations, pergolas attached to houses and some garden sheds under 10 square metres. A like-for-like cosmetic update may fall outside the permit system, but removing a wall or adding a room does not. A building permit is separate from a planning permit, which is a council decision under the planning scheme.
The technical standard is the National Construction Code 2022, adopted on 1 May 2023, with its residential energy efficiency provisions, the basis of the 7 star standard for new homes, and livable housing provisions applying from 1 May 2024. Existing houses are handled by regulation 233 of the Building Regulations 2018. If the proposed alterations, together with any others completed or permitted in the previous 3 years, affect more than half the original volume of the building, the whole building is to be brought into conformity with the current regulations. The building surveyor can consent to partial compliance, and for an extension that discretion applies only where its floor area is no more than the lesser of 25 per cent of the existing floor area and 1,000 square metres. How the energy provisions apply to a particular alteration is a matter for the surveyor, guided by BPC practice note EE 04.
What local conditions affect renovation work in Victoria?
Renovations in Victoria are shaped by four local factors more than by weather: heritage overlays on older suburbs, asbestos in houses built before 1990, bushfire construction standards on the urban fringe and in the regions, and reactive clay soils.
Heritage first. Councils administer the Heritage Overlay through clause 43.01 of their planning schemes, and a property covered by it generally needs a planning permit for demolition, exterior alterations and new construction. This catches a large share of the period housing in inner Melbourne and the regional cities, and the planning permit comes before the building permit, which lengthens the programme. Places of state significance are on the Victorian Heritage Register, which is administered separately by Heritage Victoria under the Heritage Act 2017. Asbestos is the second factor. Victorian health guidance says houses built before the mid-1980s are highly likely to contain asbestos products, those built between the mid-1980s and 1990 may, and later houses are unlikely to. For a contractor, unlicensed removal of non-friable material is limited to 10 square metres in total and one hour of removal work in any seven days. Anything beyond that calls for a Class B licence, and friable asbestos a Class A licence. WorkSafe Victoria is to be notified at least 24 hours before small non-friable jobs and at least five days before most other removal work.
In a designated bushfire prone area, alterations and additions as well as new homes are built to AS 3959-2018 or the NASH steel framing standard, and new homes are built to at least BAL 12.5. Land under the Bushfire Management Overlay needs a planning permit as well. Ground conditions matter for extensions and re-stumping: BPC guidance classifies reactive clay sites from S (slightly reactive) through M, H1 and H2 to E (extremely reactive), treats wall cracks under 1 millimetre as normal movement and cracks over 5 millimetres as significant damage, and stresses drainage and tree management near footings.
How are renovation disputes with a builder resolved in Victoria?
In Victoria, domestic building disputes go first to the free dispute resolution service of the Building and Plumbing Commission, formerly Domestic Building Dispute Resolution Victoria, and reach the Victorian Civil and Administrative Tribunal only afterwards.
The service expects the owner and builder to have tried to settle the matter themselves before applying. A Dispute Resolution Officer then runs a conciliation, and any agreement is written into a record of agreement that sets out the actions, payments and dates. Where conciliation does not settle the matter, the BPC can issue a binding dispute resolution order against one or both parties, or issue a certificate that lets either side take the dispute to VCAT. Applications involving health, safety or financial hardship are prioritised. Existing DBDRV cases carried across to the BPC when it was created.
From 1 July 2026 the BPC also has the power to issue rectification orders directing a builder to fix defective work, alongside the Home Warranty scheme described above. For an owner, the sequence that follows from all of this is to raise defects with the builder in writing, keep the contract, permit, inspection records and warranty notice together, and apply to the BPC if the builder does not respond. For a contractor, the paper trail on variations and payment claims is what a conciliator or the tribunal will look at first. Time limits and eligibility rules apply, and the BPC is the source to confirm them for a particular job.
Where can I verify a licence and check the source in Victoria?
Every figure and rule on this page can be checked against the primary source. These are the offices that publish them. Confirm current requirements directly before you rely on any of them:
How do I check that a renovation builder is registered in Victoria?
The Building and Plumbing Commission runs a public practitioner search covering registered builders and licensed plumbers, along with a compliance and enforcement register showing disciplinary action. Search by name or registration number and check that the class of registration covers the work being quoted, not just that a registration exists.
What is the cooling-off period on a building contract in Victoria?
An owner has five business days after receiving a signed copy of a major domestic building contract to withdraw by written notice. The builder may keep $100 plus approved out-of-pocket expenses. The right does not apply if a lawyer checked the contract before it was signed.
What does Home Warranty cover on a Victorian renovation?
For eligible contracts over $20,000 signed from 1 July 2026, Home Warranty can assist where work is incomplete, defective or non-compliant and the builder cannot or will not fix it. Assistance is capped at $400,000 per home, with up to six years for major defects and two years for others.
Is domestic building insurance still required in Victoria?
Domestic building insurance applies to contracts signed before 1 July 2026, where it was required for work over $16,000 and paid up to $300,000 if the builder died, disappeared or became insolvent. Contracts signed from that date fall under the Building and Plumbing Commission's Home Warranty scheme instead.
Can I choose my own building surveyor in Victoria?
Yes. A building permit in Victoria can be issued by a private building surveyor appointed by the owner or by the council's municipal building surveyor. The appointed surveyor sets the mandatory inspections and issues the occupancy permit or certificate of final inspection when the work is finished.
Does a house in a Heritage Overlay need a planning permit for renovation?
Generally yes for external work. Councils administer the Heritage Overlay, and properties in it usually need a planning permit for demolition, exterior alterations and new construction. The planning scheme schedule for the property sets out the specific controls, so the council planning department is the place to confirm.
Is the major domestic building contract threshold changing in Victoria?
Yes. The Domestic Building Contracts Amendment Act 2025 raises the threshold from $10,000 to $20,000 and is due to take effect by 1 December 2026. Draft regulations on deposits and progress payments were released for consultation in August 2026, so the detail should be confirmed with Consumer Affairs Victoria.
