The Strata Building Bond and Inspections Scheme (SBBIS) is a legislative framework in New South Wales (NSW), Australia, designed to address building defects in strata-titled properties, which was introduced to provide greater protection to homeowners and improve the quality of residential strata buildings. The scheme aims to ensure that new strata buildings are constructed to a high standard and that any defects are identified and rectified promptly.
It covers all building work on strata properties that are four storeys or higher and are partially or wholly residential in nature. The Scheme came into effect 1 January 2018.
Currently, most new apartment buildings in NSW are covered by the Strata Building Bond and Inspections Scheme (SBBIS). Under this scheme, developers pay a bond of 2% of the contract price to NSW Fair Trading before the occupation certificate is issued. The bond is held for two years and is available to fix defects that are identified in mandatory inspections in the first 18 months of the building work being completed.