Rise in the number of leaky homes

More leaky homes are emerging in Nelson and Tasman, with the property boom having made it a potential hotbed for problems, say building and legal professionals.

Two leaky-home assessors say they know of at least one Nelson apartment building where there are concerns, and one firm is being contacted monthly by Nelson homeowners requiring hundreds of thousands of dollars worth of repairs.

The Government's Weathertight Homes Resolution Service (WHRS) has four claims in Nelson, five in Tasman and eight in Marlborough.

Nelson building consultant Grant Hunt, a leaky-home assessor and quantity surveyor for the government service, said his firm was being contacted about once a month by Nelson property owners with problems. Some were "holding on" for the Government's $1 billion financial assistance package but many were "frustrated" with the WHRS.

"People are taking the option of going through the courts rather than the WHRS."

In many cases, homeowners couldn't afford the repairs which typically ranged between $200,000 and $300,000. They were doing all they could, often in negotiation with their lawyers, to scrape up "what they can to get it through the court doors" and the stress involved was breaking up relationships, Mr Hunt said. "I've seen some pretty horrible family situations arise as a result of this."

A Nelson apartment complex is among the properties that have come to Mr Hunt's attention, although he said he hadn't assessed it.

"There are concerns on one. I'm not at liberty to say which it is."

Warren Neville, another Nelson building surveyor who also works as a senior assessor for the government service, said he too was aware of concerns with some Nelson apartments.

"I'm aware of a couple but I'm not at liberty to tell you where they are or what they are."

Leaky homes were "definitely a problem" in the upper South Island but the region's colder, drier weather meant it was taking longer to manifest than in Auckland or Wellington, he said.

All the professionals interviewed by the Nelson Mail were concerned that many Nelson homeowners would wake up to the problem when it was too late to seek remedies. Laws require homeowners to lodge compensation claims within 10 years of the property's code of compliance being issued.

"There's a different community of homeowners here," Mr Neville said. `They're older, heading towards retirement and I don't think they want to acknowledge this. They're in absolute denial."

It was naive for people to say leaky homes wouldn't occur in Nelson given many of its houses were built using the same methods that failed elsewhere.

"I don't believe the builders in Nelson were so much better than the rest of the country."

While still concerned about some of the modern building methods, Mr Neville said the use of untreated timbers was "the real time bomb" which was addressed through the introduction of new building standards during the last decade.

Auckland-based leaky home specialist law firm Grimshaw and Co is targeting the region, and Queenstown Lakes, as the two most potentially affected areas outside Wellington and Auckland.

Partner Grant Shand said the firm had visited Nelson three times, identifying areas and buildings of concern. "If you look at suburbs like Atawhai on the hillside – that, I would say, is pretty risky."

Mr Shand partly bases this on the number of properties there that fit into the leaky-home era, which he labels as being post-1995 up until as recently as 2006-07. The firm now has two cases in Nelson and three in Marlborough.

"I get the impression that the inhabitants of Nelson have their heads in the sand – they think this isn't a problem for us."

They told worried homeowners to apply to the WHRS for an assessment, which is $500 and makes them eligible for the Government financial assistance package.

WHAT IS A LEAKY HOME?

A property constructed with certain design or installation practices that contribute to leaking.

Leading causes: Incorrectly installed monolithic cladding systems, the use of untreated timber framing and design features such as recessed windows and a lack of eaves.

Who's affected? Owners of up to 89,000 buildings constructed nationwide between 1992 and 2005. What help is available?

The Department of Building and Housing receives claim applications and provides assessment, information, guidance and mediation services.

Claims are heard by the Weathertight Homes Tribunal. Parliament this month approved a $1 billion assistance package, qualifying leaky-home owners for a 25 per cent Government contribution and 25 per cent council contribution for repair claims lodged within 10 years of the building's completion.