Do I really need a Building and Pest Report and Inspection?

Why This Inspection Matters Before Buying a Home

Buying a home is a significant financial commitment, and some of the most expensive problems aren't immediately obvious when you walk through a property.

A building and pest inspection can help identify areas of concern before you complete your purchase and give you a clearer understanding of the property you're buying.

I recommend that buyers arrange appropriate building and pest inspections rather than relying solely on what they can see during an open home.

1. Understand What You're Buying

A home can look beautifully presented and still have issues that aren't obvious during an inspection.

A qualified inspector may identify concerns involving the roof, walls, foundations, moisture, waterproofing, drainage or other parts of the building. A pest inspection can identify evidence of termites or other timber pests.

Think of the report as another source of information about the property. Not every item identified will necessarily be serious, but you need to know what you're dealing with.

2. Identify Potential Future Costs

Some property issues are relatively inexpensive to rectify. Others can become significant expenses.

Knowing about potential problems before completing the purchase allows you to consider what repairs or maintenance may be required and whether those costs fit within your budget.

This can be particularly important if you've already allocated most of your available funds to the purchase, moving costs and immediate improvements.

3. Don't Assume a Newer Home Doesn't Need an Inspection

Age alone doesn't tell you whether a property is free from defects.

I recommend buyers consider an inspection whether they're purchasing an older home or a relatively new property. Workmanship issues, water problems, drainage concerns or termite activity aren't necessarily restricted to older houses.

A pre-purchase inspection isn't a guarantee that a property will never develop a problem, but it can help identify visible defects and areas of concern at the time of inspection.

4. Understand Your Building and Pest Contract Condition

If your purchase contract is subject to building and pest inspections, pay attention to the inspection date and understand what the condition requires.

Under the standard Queensland residential contract, a building and pest condition generally provides for written reports to be obtained by the inspection date. If a buyer seeks to terminate because satisfactory reports haven't been obtained, the buyer must act reasonably.

Your solicitor or conveyancer should advise you about your particular contract, the inspection condition and your legal options if the report identifies concerns.

5. A Report Doesn't Automatically Mean Renegotiation

This is important.

A building and pest report isn't simply a list of items that the seller must repair, nor does every issue automatically entitle a buyer to renegotiate the purchase price.

Properties have different ages, conditions and maintenance histories, and an inspector may identify anything from routine maintenance to more significant concerns.

If something substantial is identified, discuss the report with the inspector and obtain appropriate legal advice about your position under the contract before deciding what to do next.

6. Choose an Appropriately Qualified Inspector

The quality of the inspection matters.

Choose an appropriately qualified and licensed professional and make sure you understand what is — and isn't — included in the inspection.

If the report identifies something outside the inspector's expertise, further investigation by another professional, such as an engineer, electrician, plumber or other specialist, may be recommended.

Is a Building and Pest Inspection Worth It?

For most buyers, I believe the information it provides is well worth having.

You're making a substantial financial commitment. Spending the time to investigate the condition of the property before completing the purchase can help you make that decision with considerably more information.

The goal isn't to find a perfect house.

It's to understand the house you're buying.

Important: A real estate agent can assist with the transaction and explain the sales process, but your solicitor or conveyancer should advise you about the legal effect of your contract and building and pest condition.