The Trades Playbook

Northern Territory building contracts: registered builders and the 5% deposit cap

Written by Edris Nazari
Checked 12 November 2026
3 min read

Two people in hard hats checking a wall with a spirit level

The short answer

The NT Government says residential building work worth more than $25,000 that involves certain building types counts as prescribed work. For prescribed work you must use a registered building contractor and sign a contract, and the Building Regulations cap any deposit at 5% of the total contracted price.

Northern Territory only. Read in full from NT Government pages and the Building Regulations on 12 November 2026. We have not confirmed the details of the fidelity certificate scheme, so ask the Building Practitioners Board about it.

What counts as prescribed work

Work is prescribed if it is worth more than $25,000 and involves buildings such as a single dwelling, a detached house, attached townhouses or duplexes, or attached units and flats, including some extensions and renovations.

What the contract must say

Under the regulations, a contract that includes a deposit must state it, and it must be no more than 5% of the total contracted price. Contracts must also set out the percentage of the price payable after each stage of the work. A contractor who asks for or takes more than 5% faces a maximum penalty of 50 penalty units.

Check before you sign

Make sure your builder is registered with the Building Practitioners Board before you sign or pay.

Common questions

What is the maximum deposit in the NT?

No more than 5% of the total contracted price, under regulation 41HE.

When do I need a registered builder in the NT?

For prescribed building work, which the NT Government says is worth more than $25,000 and involves certain building types.

Sources

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