How to apply for the Financial Assistance Package (FAP)
This is a step-by-step guide to the application process for the FAP to help fund repairs on leaky homes.
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Registering a claim
Step 1 - Call the Department
Our staff will be happy to answer any questions about the process or your potential eligibility. Call 0800 116 926 for advice.
Confirming your claim is eligible under the Weathertight Homes Resolution Services act and that you may qualify for financial contributions under the FAP.
Step 2 - Lodge a claim
Lodge a claim under the Weathertight Homes Resolution Services Act by filling in the appropriate application form, making sure to specify your interest in the Financial Assistance Package (FAP).
Step 3 - Department reviews your application
We will accept or reject your application or seek more information. You will have a Claims Advisor allocated to your claim.
Step 4 - Claim is accepted and the council is notified
If accepted, your council will be notified of the claim application and the Land Information Memorandum (LIM) for your house will be updated.
Step 5 - Seek professional advice and talk to your bank
Discuss your options with your legal and financial advisors, including your bank. There are costs and risks with any major repair project, and you must be able to afford your share of the cost of the repair and associated costs.
Step 6 - Council notifies the Department
We will receive and review the council’s indication if you may qualify for FAP contributions towards repair costs (participating council areas only).
Step 7 - Eligibility assessment done
We undertake an eligibility assessment on your property. This results in a written report that confirms your claim is eligible under the Weathertight Homes Resolution Services Act. It will indicate whether your property is likely to need targeted repairs only or a full re-clad (see Step 9).
Step 8 - Review your options
Where the claim is eligible under the Weathertight Homes Resolution Services Act, a Claims Advisor will discuss your options with you. At this stage, if you choose not to access or do not qualify for FAP contributions, you may still be eligible for dispute resolution (mediation or adjudication). You would need to decide whether to continue with your claim through the Weathertight Homes Tribunal or withdraw to pursue other options.
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Confirming the scope and cost of repairs
Step 9 - Assessor’s Report done
If you are continuing with the repair process then you must have a second, more extensive assessment done of your property, to establish the exact extent of the damage and the scope and estimated cost of repair work. Depending on the likely extent of the damage to your property, we will recommend either a Full or Concise Assessor’s Report.
Step 10 - Further review of options
Once you know the exact scope and cost of damage you can approach your bank with some certainty around the amount of finance you will need to complete the repair. Full information on the funding requirements is provided in the Information pack about funding.
If you are unable to fund your portion of the repair then you have the options of either continuing with your claim through the Weathertight Homes Tribunal or withdrawing it to pursue other options.
Step 11 - Secure or confirm funding and sign a Homeowner Agreement
Once you obtain a letter of pre-approval from your bank, or other evidence of cash assets, you will then be offered a Homeowner Agreement with us and, where applicable, the participating council. This agreement contains all the conditions you must still satisfy to qualify for the contribution payments. Your lawyer should review this Agreement with you before you sign it.
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Getting the plans developed and approved
Step 12 - Commission Repair Plan
You commission a repair plan from a qualified designer, to address the damage identified in your Assessor’s Report (see Step 9). This plan may include work additional to that identified in the assessment, e.g. betterment, but this additional work will not be eligible for contributions. Further guidance on the design requirements is provided in the Design Information Pack.
Step 13 - The Department reviews the Repair Plan
We will review the Repair Plan to confirm the work outlined will repair the building. If the plan proposes work that is additional to that in the scope of work specified in the assessment, and that additional work cannot be separately quoted, then contributions will be capped according to the assessed repair cost.
You may be asked to revise the Repair Plan where it departs from the scope of work in the assessment.
Step 14 - Obtain building consent
Your designer provides detailed design and specifications for lodgement of the building consent application. We will ensure the design matches the approved repair plan as closely as possible.
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Sourcing quotes from builders and getting them approved
Step 15 - Obtain quotes
Once the building consent application is lodged, you must seek at least two quotes, preferably three, from builders.
Full information on the quote process and requirements is provided in the Information pack about quotes. Further guidance for builders is provided in the Information pack for designers.
Step 16 - Department reviews and agrees your quotes
You must provide all construction documents to us. The standard quote document (provided by us) will include a template of an invoicing schedule that will require your builder to set out the expected timing and size of payments for each stage of the repair work.
Step 17 - Overall Payment Plan agreed
The invoice amounts proposed by your builder and the other costs that qualify for FAP contributions will be incorporated into an overall Payment Plan by us and returned to you so you will know what to expect. This Payment Plan is part of the Homeowner Agreement.
Step 18 - Secure final funding approval
Having an approved quote and Payment Plan will enable you to finalise your funding arrangements, as you will know your total repair costs, the expected contribution amounts and when they will be paid. Once we have approved your Payment Plan you will need to demonstrate that you can afford your share of the repairs to your home. You can do this by providing us with approval of finance from your bank or evidence of other cash assets.
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Starting repairs and managing the process
Step 19 - Notice to Proceed given to Department
You must formally advise us that you wish repair work to start, by providing a Notice to Proceed. A Notice to Proceed is a signed statement from you confirming that you want repair work to begin. This statement commits you to complete the repair of your property and means your Homeowner Agreement is now unconditional.
Step 20 - First contribution payment request
You can request a contribution towards the agreed costs you have incurred to date i.e. those invoices referred to at step 16 which are accepted by the Department. By entering into the Homeowner Agreement and accepting the first payment from the contributing parties you will give up any rights to take legal action against the council or other contributing parties.
Step 21 - First contribution payment made
We pay you a contribution payment.
Step 22 - Repair work proceeds and further contributions paid
The council will follow normal Building Act processes for inspecting your work and issuing a Code Compliance Certificate. Contributions will be paid following inspections at the milestone points, which are defined in your Payment Plan (see Step 17). You must meet your share of costs from your own resources.
Full information on the Repair and Payment requirements is provided in the Information pack about repair and payment.
Step 23 - Repairs completed and final contribution paid
Once the code compliance certificate is issued, you can request the final contribution payment. You must provide invoices to support the calculation of the final payment.
Step 24 - Pursuing other parties
At the end of the FAP process you my wish to pursue other parties. You can do this through the Weathertight Homes Tribunal process. Call your Claims Advisor for more information.
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Where to from here?
This is the end of our general overview of the Financial Assistance Package.
We have a range of different information packs available to help you at various stages in the claims and repair process.
At any time you can call your Claims Advisor for help on 0800 116 926 or email them at weathertight@dbh.govt.nz.
Remember, as long as you are eligible under the WHRS Act, you can apply to participate in the Financial Assistance Package. The idea of the Package is to help make sure more homes are fixed faster. We are here to help make that happen.
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