Purchasing a new home is often one of the most significant financial decisions you will ever make.
With this in mind, purchasers must ensure they are not buying a problem that may cost thousands to repair down the track. What are pre-purchase inspections, and why are they important?
The “buyer beware” rule applies to the property’s condition and state of repair. A vendor is only required to disclose defects that affect the title of the property and the vendor’s warranties may not cover all the matters you may wish to consider before going ahead with the purchase. Pre-purchase property inspections should uncover any problems.
With this information, you can reflect on whether you wish to proceed with the purchase or walk away with your finances intact. Although things may look good on the surface, the buildings on the property may have hidden faults that are not obvious to the naked eye.
Problems may be masked by home improvements or a ‘quick makeover’ and are difficult to spot without knowing what to look for.
A pre-purchase building inspection is a written report outlining the condition of the property. The report will specifically check the structural integrity of the property and inform you about any problems.
A building inspection will not include information about the existing presence of termites or other pests. The presence of termites often goes on undetected for months or even years.
If the damage has already occurred, you may face substantial repair costs to rectify the problem. Therefore, we recommend that purchasers obtain a pest and building report prior to exchanging Contracts.
However, these reports should not be seen as all-encompassing. It is necessary to customise your enquiries according to the unique aspects of the property. Swimming pools, air-conditioning and electrical wiring, are examples of issues that may require further inspection.
In addition to giving you peace of mind, the outcome of these reports can be an important bargaining tool when discussing price with agents and vendors.
When you consider the huge financial investment you are about to make, the cost of obtaining these reports is relatively low in comparison.