What is handover in construction?
Handover is the formal point at which a completed building or unit is transferred from the party that built it — a contractor for an individual house, or a developer for an apartment — to the owner, marking both a physical transfer of possession (keys, access) and a shift in responsibility for the property. It is not simply the moment construction work visibly finishes; a proper handover involves a structured inspection process, documentation, and typically the start of a defined period during which the builder remains responsible for correcting defects that surface after occupation begins.
What happens during a handover inspection?
A joint inspection, ideally with the owner (or their architect or project manager) and the contractor or developer's representative present together, walks through the completed unit or building systematically, checking finishes, fittings, functioning of electrical points, plumbing fixtures, doors and windows, and any other item specified in the construction agreement or agreement for sale. Every defect or incomplete item identified during this walkthrough is recorded as a snag, compiled into a snag list (sometimes called a punch list), which becomes the documented basis for what the contractor or developer is expected to rectify, either before handover proceeds or within an agreed timeframe shortly after.
What is a snag list and why does it matter?
| Common snag categories | Examples |
|---|---|
| Finishing defects | Paint touch-ups, uneven tiling, cracked or chipped surfaces, poor joinery finish |
| Fixture and fitting issues | Loose or misaligned doors and windows, non-functioning switches or sockets, leaking taps |
| Incomplete items | Missing fixtures, unfinished paint in less visible areas, pending minor works |
| Structural or MEP concerns (less common, more serious) | Visible dampness, cracks beyond hairline shrinkage, drainage issues |
A documented, dated snag list, ideally signed or acknowledged by both parties, is the owner's primary practical tool for ensuring identified defects actually get corrected, since verbal agreements about ""things to be fixed later"" are far harder to enforce once the contractor has been paid in full and moved on to other projects. Many construction agreements deliberately structure a portion of final payment, commonly called retention money, to be released only after the snag list is closed out, giving the contractor a direct financial incentive to complete the corrections rather than delay indefinitely.
What is the defect liability period?
The defect liability period, sometimes called the warranty period, is a defined timeframe after handover during which the contractor or developer remains contractually responsible for correcting defects that emerge, even ones not visible or apparent at the time of the handover inspection itself — for example, a roof leak that only shows up during the first monsoon after handover, or a crack that develops as the structure settles slightly over its first year. This period commonly ranges from 6 months to 2 years for typical residential construction, depending on the specific construction agreement, and is a separate, usually longer protection than the immediate snag list closure, which addresses defects already visible at handover itself.
What should an owner verify before accepting handover?
- All items on the snag list have either been corrected, or there is a clear, dated, mutually agreed plan and timeline for their correction.
- All required statutory approvals for occupation, particularly the occupancy certificate where legally required, have actually been obtained, not just applied for.
- Warranty documentation for major fittings, equipment and finishes (water heater, lift, waterproofing, and similar) has been handed over, along with as-built drawings or completion documentation where applicable.
- The defect liability period start date and duration are clearly documented, since this is the period an owner can rely on for post-handover corrections at no additional cost.
Rushing through handover without a proper inspection and documented snag list, often under pressure to move in quickly or to release final payment, is one of the more common reasons owners end up bearing the cost of defects that should reasonably have been the builder's responsibility to correct.