The Defect Liability Period (DLP) is a crucial aspect of property ownership in Malaysia, offering a “warranty” period after the handover of a new property. During this period, the developer is responsible for rectifying any defects in the property without additional costs to the homeowner. Let’s delve into what the DLP entails, how to effectively manage it, and the responsibilities of property owners during this period.

What is the Defect Liability Period?

The DLP is a specified timeframe, typically 12 to 24 months, starting from the date of vacant possession when the property owner receives the keys. During this period, the developer is obligated to fix any defects in the property that arise due to construction or workmanship issues. It is essential to note that not all properties come with a DLP. Under Malaysia’s Housing Development Act (HDA), only properties under a residential title are guaranteed this period.

Key Features of DLP:

  • Duration: Standard DLP is 24 months in Malaysia, but some contracts may specify different durations.
  • Coverage: The DLP covers defects related to construction, materials, and workmanship.
  • Responsibility: The developer is responsible for rectifying defects reported by the property owner within this period.

How to Prepare for the Defect Inspection

To make the most of the DLP, property owners need to perform a thorough inspection of their new property. This inspection ensures that any defects are identified and reported to the developer within the DLP timeframe. Here’s how to prepare:

Essential Tools for Inspection:

  • Measuring Tape: To verify room dimensions against the Sale and Purchase Agreement (SPA).
  • Marker Pen and Masking Tape: For marking defects and labeling areas that need attention.
  • Notebook and Camera: To document defects and take photographic evidence for the report.
  • SPA Documents: Contain the original floor plan and specifications promised by the developer.

Key Evaluation Points for a Comprehensive Inspection

Evaluation Point 1: Does the Property Meet the Developer’s Specifications?

The first step in your inspection is to verify that the property meets the specifications stated in the SPA:

  • Room Dimensions: Measure each room to ensure the built-up area matches the floor plan provided in the SPA.
  • Fixtures and Appliances: Check if the brand and model of appliances (air conditioners, kitchen fittings) match what was promised.
  • Electrical Points and Lighting: Count the number of electrical sockets, lighting points, and ceiling hooks to ensure they align with the SPA.

Evaluation Point 2: Functionality of Fixtures and Appliances

Next, test all installed fixtures and appliances to ensure they function correctly:

  • Water Systems: Turn on taps, showers, and flush toilets to test water pressure and drainage. Ensure no leaks or blockages are present.
  • Appliances: Test all electrical appliances, such as air conditioners and kitchen equipment. Run them for a while to verify their proper functioning.
  • Drainage Systems: Inspect all water outlets in bathrooms and kitchens to ensure there is no blockage or seepage. This may involve stress-testing the system by leaving water in sinks or bathtubs for an extended period.

Evaluation Point 3: Quality of Workmanship

Inspect the overall workmanship of the property to identify any construction flaws:

  • Walls and Ceilings: Look for cracks, water stains, or poor paintwork on walls and ceilings.
  • Floor Tiles: Check for tile alignment and soundness by tapping on them. Hollow sounds may indicate improperly laid tiles.
  • Doors and Windows: Ensure all doors and windows open, close, and lock correctly. Check for scratches, dents, and misalignment.
  • Balcony and Railings: Shake the balcony railing to ensure it is securely installed.

Evaluation Point 4: Safety and Compliance

The final evaluation point focuses on safety and compliance aspects of the property:

  • Fire Safety: Check if the property has functioning smoke detectors, fire extinguishers, and emergency exits in place as required.
  • Structural Integrity: Assess the stability of balconies, staircases, and other structural elements to ensure they comply with safety standards.
  • Ventilation and Natural Light: Verify if the property has adequate ventilation and natural light as promised by the developer, ensuring a healthy living environment.

What to Do If You Find a Defect

If you discover defects during your inspection, follow these steps:

  1. Mark the Defect: Use masking tape or labels to mark each defect, writing a brief description of the issue on the label.
  2. Document the Defects: Number each defect and record the details in your notebook. Take clear photographs of each defect for your records.
  3. Submit the Report: Fill out the defect report form provided by the developer, and include a copy of your documented list. Submit this report to the developer or the property management office.

What Happens After You Submit the Defect Report?

Once the defect report is submitted, the developer typically has 30 days to address and rectify the defects:

  • Developer’s Action: The developer will arrange for contractors to fix the reported defects within the stipulated period.
  • Re-Inspection: After repairs, the developer will contact you to schedule a re-inspection to confirm that the issues have been resolved.
  • Unresponsive Developer: If the developer fails to rectify the defects, you may hire a contractor to make the necessary repairs and seek reimbursement from the developer.
Defect Liability Period (DLP)

Common Issues During the Defect Liability Period

Property owners may encounter challenges during the DLP, such as unresponsive developers or disputes over the nature of defects. Here’s how to handle some common issues:

  1. Unresponsive Developers: If the developer does not respond to the defect report, the House Buyer’s Association (HBA) advises property owners to take collective action with other residents facing similar issues. This collective approach can exert pressure on the developer to take action.
  2. Quality of Repairs: Sometimes, repairs may not meet your expectations. In such cases, communicate with the developer and provide detailed feedback on the repairs’ shortcomings.
  3. Persistent Defects: If a defect recurs after repair, report it to the developer again. Some construction contracts may start a new DLP for the specific item that was repaired.

Understanding your legal rights during the DLP is essential. Here are some key legal aspects to consider:

1. Right to Common Law Damages

Defects represent a breach of contract, giving property owners the right to common law damages. If the developer fails to rectify the defects, you may claim damages for the cost of repairs. However, some contracts include clauses that limit this right, so it is crucial to review the terms of your SPA carefully.

2. Statutory Limitation Period

In addition to the DLP, there is a statutory limitation period for bringing claims related to defects. This period varies but is typically 10 years in Malaysia for building actions. It starts from the date the breach of contract occurred, usually the date of practical completion.

Best Practices for Property Owners During DLP

  1. Act Promptly: Start the inspection process as soon as you receive the keys. Report defects within the DLP to ensure the developer is obligated to fix them.
  2. Thorough Inspection: Dedicate sufficient time for a detailed inspection. Consider hiring a professional building inspector if you are unsure about identifying defects.
  3. Document Everything: Keep thorough records of all defects, correspondence with the developer, and repair work conducted.
  4. Collective Action: Collaborate with other property owners if facing similar defects. Collective action can expedite resolution and ensure the developer takes the matter seriously.
  5. Legal Advice: If disputes arise, seek legal advice to understand your rights and options for recourse.

Hiring a House Defect Inspection Specialist

While performing an inspection yourself can be thorough, hiring a professional house defect inspection specialist can provide a more in-depth assessment. These specialists are trained to spot hidden defects and have the expertise to evaluate complex issues that may not be apparent to the untrained eye. They use specialized tools to detect moisture, structural weaknesses, and electrical or plumbing faults that could pose safety risks.

Benefits of Hiring a Specialist:

  • Expertise: They have a keen eye for detail and are familiar with building standards, ensuring a comprehensive inspection.
  • Advanced Tools: Specialists use advanced tools such as moisture meters, thermal imaging cameras, and other diagnostic equipment to detect hidden defects.
  • Comprehensive Reporting: They provide a detailed report outlining all defects, including those that may not be visible to the naked eye, helping you communicate more effectively with the developer.
  • Peace of Mind: Hiring an expert ensures that nothing is overlooked, giving you confidence that your property meets quality standards.

When to Consider Hiring a Specialist:

  • If you are unfamiliar with construction and building standards.
  • When dealing with complex properties like multi-story units or properties with unique architectural features.
  • If you want a detailed, unbiased report for potential legal or arbitration cases.

Pro Inspect Solution’s Expert Guide on Defect Liability

Pro Inspect Solution offers an in-depth guide on navigating the Defect Liability Period, outlining your rights and responsibilities. Their guide covers:

  • What the Defect Liability Period entails.
  • How to identify and report construction defects.
  • Steps to ensure defects are rectified efficiently.

Protect your investment and stay informed.
Explore the full guide here:
👉 House Defect Inspection Service

By engaging a house defect inspection specialist, you can ensure that all defects are identified and documented accurately, providing leverage when working with developers during the property handover. This proactive step can save you time, stress, and money in the long run by ensuring your property is safe and built to last.

Now You Are Ready to Renovate!

After ensuring all defects are rectified, you can proceed with renovations or interior design confidently. Remember, you have 24 months to report defects, but addressing them promptly is advisable to avoid complications later.

By understanding your rights and responsibilities during the Defect Liability Period, you can safeguard your investment, ensuring your property is in top condition before the DLP ends. With diligence and proper inspection, you can enjoy peace of mind and a smooth transition into your new home.

Conclusion

The Defect Liability Period is a critical safety net for property owners, providing a window to identify and rectify construction defects at no extra cost. By thoroughly inspecting the property, documenting defects, and ensuring the developer fulfills their obligations, homeowners can protect their investment and ensure a quality living environment. Understanding the DLP and actively managing this period empowers property owners to address defects effectively, laying the foundation for a safe, comfortable, and well-maintained property.

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