In the great league table of law changes and their unintended consequences, the fall out from the Design & Building Practitioners Act (DBPA), is up there with the effects of self-certification on building defects, and Airbnb on affordable rents.
Flat Chat readers have long complained about the DBPA and its inflationary effects on even the simplest renovations. Designed (in part) to ensure strata schemes weren’t saddled with defective renovations, it has also reputedly doubled or tripled the costs of basic defect remediation.
Keen Flat Chat reader and registered town planner Tracy Davey, in an article entitled When Special Levies Rise, Affordability Falls: The Unspoken Financial Shockwave in NSW Apartments, argues that ordinary apartment owners are having to pay unexpectedly high costs for little or no appreciable benefit and it’s time for a rethink to achieve a balance between.
A New Era of Regulation and Its Unintended Consequences
The Design & Building Practitioners Act (DBP Act), introduced in New South Wales in 2020, was meant to restore trust in apartment construction after a series of headline-grabbing failures, like Opal Tower and Mascot Towers. The public demanded accountability, and policymakers responded with a framework designed to lift standards, tighten oversight, and ensure qualified professionals were responsible for the designs and decisions shaping our buildings. On paper, it was a turning point.
In practice, it has delivered something far more complicated—a financial shockwave that is quietly rippling through apartment-owning communities across NSW. For many owners, the unintended consequences are becoming impossible to ignore.
The Hidden Cost of Compliance
The DBP Act ushered in a new era of regulated designs, compliance declarations, and mandatory engagement of registered practitioners. These reforms were meant to prevent defects—and in many cases, they do. But they also come with a price tag:
- Engineering reports that once cost a few thousand dollars now routinely cost tens of thousands.
- Remedial projects that previously required a builder and a consultant now require a suite of registered professionals, each carrying higher insurance premiums and greater liability.
- Documentation has multiplied.
- Quality assurance has intensified.
Every additional hour of professional time is ultimately paid for by the owners or passed on to renters. For owners’ corporations, these costs don’t sit quietly in the background. They land directly in the Capital Works fund—and when that fund can’t cope, they land in the form of special levies.
Across NSW, special levies can vary from $5,000–$80,000 plus per lot. Many of these levies are tied to remedial works reclassified under the DBP Act, triggering new compliance obligations that owners never anticipated. For some buildings, the levies arrive in waves: one for investigation, one for design, one for compliance, and one for construction. For others, the levy is so large it becomes a breaking point.
A new layer of vulnerability
The most troubling consequence of the DBP Act isn’t only the cost—it’s the vulnerability it creates. Many apartment owners are not investors with deep pockets. They are first time home buyers, retirees, single parents, and long-term residents who bought into the dream of secure, low-maintenance living.
They budgeted for manageable strata fees. They expected occasional repairs. They did not expect a regulatory shift that could suddenly require them to find tens of thousands of dollars at short notice.
For some, the choice becomes stark: pay the levy or sell the home. This is where the DBP Act’s unintended impact becomes most visible. A law designed to protect consumers is, in some cases, pushing them out of their homes.
Preofessionals aren’t the villains
It’s important to be clear, the financial pressure owners are experiencing is not the fault of engineers, strata managers, or even builders. These professionals are navigating a system that has fundamentally changed the way building work must be documented, certified, and insured.
Engineers are now carrying greater legal risk. Strata managers are administering levies they cannot avoid. Builders are working under stricter oversight. Everyone is operating within a framework that prioritises safety—but seemingly at the expense of affordability.
Balancing safety and affordability
The DBP Act has raised standards, but it has also raised barriers. The challenge now is to find a balance that protects both buildings and the people who live in them. Apartment owners across NSW are now facing a level of financial vulnerability that few anticipated. They are being asked to shoulder the cost of a regulatory system that was designed to protect them. And for some, the burden is simply too heavy.
It is time this issue is spoken about more openly with the intent of exploring practical solutions.
Special levies, once rare, are now a primary driver of the affordability crisis in NSW strata. The unintended consequences of regulation are pushing some owners to the brink, forcing difficult choices, and creating a new layer of vulnerability.
As the financial shockwave continues to ripple through apartment communities, it is essential to acknowledge the issue and seek practical solutions. Open dialogue, policy review, and targeted support for owners are needed.
If this issue resonates with you, the thread on the Flat Chat Forum is now live for your comments and questions.
Tracy Davey – Registered Town Planner (Planning Institute of Australia)

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In the great league table of law changes and their unintended consequences, the fall out from the Design & Building Practitioners Act (DBPA), is u
[See the full post at: Levies shock: the crippling cost of compliance]
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