POSSIBLE SOLUTIONS TO ISSUES RELATING TO DEFECTS IN CONDOMINIUMS

Abstract

This dissertation examines the causes of building defects, the common types of defects faced by condominiums, the legal solutions available to the homeowner and Management Corporation, as well as the use of Inherent Defects Insurance as a possible solution. A survey of condominium managers as well as a case study at a condominium development was carried out to understand the type of defects that commonly occurred at condominiums. A survey of property developers was also carried to gauge their response to the Inherent Defects Insurance. The findings reveal that revealed that most condominiums are still plagued with various defect problems like wall cracks, water leakages, and spalling concrete. The study also showed that most developers are not interested in purchasing Inherent Defects Insurance for their new condominium development. It was found that most condominium managers are not aware of the advantages of Inherent Defects Insurance, but feel that it would be helpful in providing a solution in rectifying latent defects that occur after the Defects Liability Period.