Research on serious building defects in NSW strata communities
Building Commission NSW in partnership with Strata Community Association NSW (SCA NSW) have conducted a second survey to examine the experience of NSW strata communities in dealing with serious building defects.
Last updated: 27 March 2025
Key findings from the research
53%
Of buildings had serious defects.
Up from 39% in 2021.
48%
Of strata managers
agreed reforms have increased consumer confidence.
34%
Of buildings with serious defects, reported them to the regulator.
Up from 15% in 2021.
Presence of serious defects in NSW
- 53% of buildings in the survey have had serious defects in common property, up from 39% in 2021. Defects in newer buildings are trending downward since 2020.
- The proportion of serious defects that were reported to the regulator in 2023 has more than doubled since the 2021 survey. 34% of buildings with serious defects reported them to the regulator in 2023, compared to 15% in 2021.
- As in 2021, waterproofing and fire safety systems were the most prevalent defects (42% and 24% respectively for 2023). The prevalence of waterproofing defects has also declined in recent years.
- Owners who are resolving defects are mostly doing so by agreement with the builder or developer and almost half are being resolved within one year.
Infographic of the 2023 Strata Defects Survey (PDF 335.83KB).
2023 Strata Defects Survey Report
About the survey
- The survey was open from 26 June to 31 August 2023.
- The survey was completed by strata managers who managed:
- Class 2 building strata schemes only (4+ floors above ground level); and
- Strata schemes registered between July 2016 – June 2022
- There were 642 surveys completed in 2023 up from 492 in 2021, a survey response rate representing 41% of qualifying buildings.
- For the first time, the survey was available on the Strata Hub and existing building information was pre-populated.