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    The Complete Guide to Building Inspection Reports

    Updated 2022

    Disclosure: Andrew Mackintosh is the sole building inspector at Action Property Inspections.  He’s a qualified builder and has been performing pre-purchase inspections since the 1990s.  He is fully certified in the building trade and the Property Inspection industry.  He has, at times, acted as a spokesperson for the industry and an advocate for Brisbane property buyers.  He is well known in the Brisbane industry for his reputation for fastidious and legally binding property inspections.  This information has been updated for 2022 as the real estate industry has changed dramatically and buyers are reporting new and problematic advice given by agencies.

    Everything you need to know about Building Inspection Reports

    So, you’ve found your dream home and excitement is at fever pitch – what’s the next step? Before you jump headfirst into what might be a financial disaster, you need to have the property inspected by a professional.  

    Building inspection reports can be handy when helping you determine if a house is the right one for you. It will enable you to see the larger picture – and whether the house you think might be your dream home has any skeletons hiding in its closet. 

    Everything you’ve ever wanted to know about building inspection reports is here, explained in simple terms to make your home buying experience that much easier! Read on to learn more about building inspection reports and how using them enables you to buy a house with greater confidence. 

    What is a Building Inspection Report and How Will it Benefit You?

    A building inspection report is a comprehensive condition report prepared by a professional inspector who attends the property on your behalf before you finalise your purchase. The report is designed to tell you about the condition of the property and highlight any areas of concern. It will inform you of any significant building defects or anything that needs repair. Such issues can include cracking in the walls, safety hazards, and a faulty roof or sub floor.  

    A building inspection report should be completed prior to purchase to avoid unwanted surprises after the sale. Anything left unchecked might prove to be an expensive repair job further down the line. So you want to go in with your eyes fully open – and the best way to do this is with a professional pre-purchase building inspection. 

    What does a good building report look like?  

    A good building report should include all exterior and interior descriptions of the property that have been inspected. It should include photos of problem areas identified within the property. This information allows a potential new owner to reconsider their offer or pull out altogether if the costs to fix the home are more than the buyer intended.  

    Here is a sample pre-purchase building report issued by Action Property Inspections. Note the comprehensive nature of the document, and remember, buying a home is often the biggest financial outlay you’ll ever make – so don’t settle for anything less.  

    What does a good building report include?

    A thorough building inspection should include the exterior and interior of a home, including cavities under the floor, under the roof, and even chimneys. This inspection can give the building inspector an idea of the property’s structural integrity. 

    Allotment inspections are also vital to a building inspection, as crumbling retaining walls, decaying fences, and inadequate surface drainage can cause headaches for the new owners. These areas of a property can cost thousands to fix. Therefore, these must be included in the pre-purchase inspection.  

    A good building report should include inspection of the following:  

    • Exterior of the house 
    • Interior of the house 
    • Kitchens, bathrooms, and butler’s pantry 
    • Exterior of roof 
    • Interior of roof 
    • Decks and verandahs 
    • Garage and carport 
    • Underfloor areas 
    • Allotment inspection 
    • Signs of water damage through leaks or floods etc. 
    • Any garden sheds 
    • Any non-structural retaining walls 
    • Steps 
    • Fencing 
    • Driveways and footpaths 
    • Stormwater run-off areas 
    • Surface water drainage areas 

    You can always ask a building inspector to examine a particular area of the property if you have any concerns.  

    The report should include your name, the address of the property being inspected, the reason for the inspection, the date, the areas included in the inspection and the areas that weren’t included with reasons why these areas weren’t inspected. The report should include a summary of the overall condition of the property, a list of anything significant that requires repairs, and any recommendations that the Inspector might have.  

    What’s not in a building report

    There are a variety of things not included in building inspection reports. These can include: 

    • areas that couldn’t be inspected 
    • areas or issues that are outside the experience or expertise of the inspector 
    • an estimate of the cost of any repairs 
    • pest infestation 

    These reports aren’t all-encompassing but rather a reasonable attempt to identify any significant problems that might exist prior to a sale. 

    The list of things that inspectors don’t usually examine can include: 

    • electrical wiring 
    • plumbing and drainage 
    • gas fitting 
    • swimming pools 
    • watering equipment 
    • air conditioning 
    • alarms 
    • dishwashers etc. 
    • every individual window on the property 
    • tv, mobile and internet reception 

    As we’ve stated, these reports are visual inspections. If significant problems are evident or you find specific concerns, you may decide it is worth contacting a specialist such as a structural engineer should your building inspector identify structural issues. 

    The purpose of building inspection reports  

    Pre-purchase building inspection reports are designed specifically for use by people looking to purchase a property. They give you an expert view of the property’s condition, so you can decide if you want to buy it. 

    These reports are not intended to be used as a certificate of compliance, and you can’t use them as an insurance policy against future problems. They also won’t help you estimate the cost of fixing any issues arising during the inspection’s scope.  

    The building inspector won’t be able to comment on things like the location of fences in relation to boundaries. You need to consult a conveyancer or a solicitor for that kind of information. 

    What should you ask the building inspector?  

    Now that you know what is and isn’t included in a building report, you may still have questions you want to ask your building inspector. Even though the building inspection they complete is not all-encompassing, your inspector is still there to help, so don’t be shy.  

    For example, you can ask your inspector about any areas that may concern you – such as an area behind a hot water system, the ceiling in the bathroom, or anything that you’ve noticed that might be unsafe. At the very least, they can offer advice on what might be the issue before you call in someone who might be able to offer you more concrete information. 

    Why do I need a building inspection?

    Put simply, you need to get a building inspection report because you’re taking a massive risk if you don’t. A building inspection report is essential regardless of whether your prospective brick-and-mortar property is a unit, townhouse, or house. An inspection may uncover hidden structural problems that the untrained eye simply won’t pick up. 

    If you don’t organise a pre-purchase inspection and later find out your property is on the brink of a structural failure, you’ll be responsible for fixing those faults. That can mean big, big bucks. 

    Aren’t building inspection reports just another cost that I could do without?

    No. In fact, it’s quite the opposite when you buy a new property. Building inspections are worth every cent. Perhaps you’ve clocked a few cracks in the wall. What does that really mean? And is that wonky deck adding character to the home, or is it at risk of collapse? Did the previous owners hire the services of a not-so-great contractor? A qualified inspector will answer your questions. 

    You must be careful with structural works done to your property because, unfortunately, you’ll find shoddy workmanship everywhere. For example, if your property has a new-ish extension, you won’t know if the building work is compliant just by looking at it. Nor will you know if the work has been carried out safely. Even if you can’t see a fault in your property, you won’t necessarily know what’s happening beneath the surface and behind the façade. This is why a building inspection report should be scheduled. 

    A building inspection report might uncover a building woe you had no idea would be an issue. For example, you could be sitting on a home desperately needing a re-stump. If an investigation uncovers faulty stumps, you could use that as a bargaining tool to negotiate your offer. If nothing else, if you know about it before the auction date, you’ll know whether you need to allow extra in your budget for possible repairs. 

    Buying into a property ‘blind’ (i.e., without a thorough inspection) simply isn’t worth the risk to you or your family. You need to know that your home is safe. And if your building inspection reveals nothing of concern with your property? Then it has still been worth the cost for complete peace of mind. 

    Conveyancer vs Building Inspection Report  

    Many first time property buyers think the services of a conveyancer will be all you need before purchasing.  Everyone requires the services of a conveyancer whose job is to uncover your purchase’s legalities. A building inspection report, however, will delve deeper into your property’s structure and determine the condition of your home. The conveyancer takes care of the paperwork of the purchase, and the building inspector takes care of the bricks and mortar of the purchase.  

    What does a Conveyancer do?

    The role of a conveyancer is quite different from that of a building inspector. While the conveyancer might detect illegal renovations, for example, they will not be able to comment on any other safety or structural concerns. 

    A conveyancer: 

    • conducts title searches; 
    • prepares and lodges legal documents; 
    • researches and calculates rates and taxes associated with the property; 
    • transfers the legal title of the land; 
    • liaises between financiers; and 
    • communicates with the vendor’s conveyancer. 

    What is covered in a building inspection report? 

    A standard pre-purchase building inspection report will assess the condition of your prospective property. That said, this is not an all-encompassing assessment but is a visual investigation to see if any defects are noticeable on accessible parts of the building. For example, an inspector will check the roof and roof void, external walls, doors and windows, and internal walls, floors, and subfloor. 

    An inspector will look for: 

    • water damage, damp, or rot; 
    • cracks and/or structural damage that can be seen with the eye; 
    • uneven floors; 
    • visual evidence of pests (NB: this is not equivalent to a detailed pest inspection); and 
    • evidence of corrosion in steel components etc. 

    Checks may include the use of tools like a moisture metre and thermal cameras but will not include invasive investigations to inaccessible areas of the property. If significant concerns are noticed, your inspector may recommend that you contact a plumber or asbestos expert, for example, to conduct further testing. 

    Full Defect Building Reports with Action Property Inspections

    Brisbane-based Action Property Inspections go way beyond your standard pre-purchase building inspection report, offering a full defect building report instead. So if you’re willing to spend the money to get a building inspection report, you may as well get it done correctly. 

    A full defect building report is thorough, detailed, and precise. You’re not talking about a few pages either; on average, a full defect building report will be around 60 pages. That said, you’ll still be able to run through the report and understand what has been noted rather than try and translate industry jargon. 

    Action Property Inspections use the latest technology in building inspection reports. Such technology includes thermal image cameras, moisture metres and colour digital images to document faults in the building inspection report. 

    Thermal imagery works using an infrared method. What this can do is detect energy waste, electrical issues, and unseen moisture. Thermal cameras are a beneficial tool to provide further diagnostic evaluation where visual inspection alone may not be sufficient.  They do have their limitations though.  Weather conditions, the reflective surface of the material being scanned, and various other factors will all affect the functionality and subsequent benefits of the thermal camera. 

    What are some limitations to building reports?  

    While there are limitations to building inspections, some are so ‘tick and flick’ that the fundamental, most simple points are missed. By trying to fit in as many inspections in a day as possible, some companies complete substandard inspections and use “limitations” as an excuse.  

    Electrical limitations for building inspectors  

    Building inspectors are not permitted to undertake a detailed electrical inspection unless they are qualified electricians. This is entirely acceptable. However, this can often lead to inspectors using this “limitation” as an excuse for not checking appliances.

    For example, on a recent Brisbane building inspection in the suburb of Acacia Ridge, it was discovered that the stoves installed in both fresh and fully renovated duplex kitchens were not even hardwired in. They’d simply been placed on the benchtop to make it look as if they were, but they were unusable and had not been installed. Although electrical is not included in a building inspection, turning the appliance on to see if it worked would have made this obvious and been a point that could have been raised at the offer stage.  

    Whilst we are also bound by obvious limitations, we always go over and above where possible. For example, on every inspection, we turn on the stove and oven and even test the rangehood to ensure that it is operational. We may not be able to tell you whether appliances are getting to the correct temperatures, but we can tell you whether the oven is operational, or whether only two out of four elements are functioning on your stove etc. 

    Sometimes it can be hard to find air conditioning remotes. People often store them in the weirdest places. However, when we can locate the remote, we always activate the air conditioning to see whether it turns on. This is not to say that we have undertaken a detailed inspection of your air conditioning unit, but we can tell you that it was at least operational at the time of inspection.  

    You may be shocked that the standard for building inspections does not include rudimentary testing of stoves, ovens, and air conditioning. Subsequently most companies do not check appliances due to time constraints. We take the time to turn on and check electrical appliances. This can save you money and nasty surprises you don’t expect.

    When choosing a building inspector, make sure to be clear on their limitations and what can arise from them.  

    When limitations on building inspections are an excuse for basic, vague reports

    When a building and pest inspection is undertaken, there are limitations, particularly where a house is fully furnished. A building inspection report is not an all-encompassing evaluation that will pick up every minor fault. It should, however, be a thorough inspection of the property to determine whether there are any current issues of concern or items that could prove to be problematic in the future. 

    The problem is many building and pest inspection companies use report limitations as their excuse for providing a very basic, non-descriptive and vague report. Unfortunately, it is a sad indictment on the industry that many building inspection companies purposely use vague ‘tick and flick’ reports to cram in more daily inspections. Some inspectors undertake up to six or seven inspections a day.

    Many building inspection companies also produce soft, tick and flick reports to keep real estate agents happy in the hope of gaining further referral work. It is a common practice within the industry. If you continue to produce glowing reports, the agents will continue to throw work your way. Some agencies just don’t like losing sales due to honest and thorough building reports, so be informed. Think twice about using a building inspector recommended by the selling agent.  

    Action Property Inspections takes pride in being completely independent and consistently producing unbiased, accurate reports. By being independent and not affiliated with any agency, you can be confident that we work for YOU and have no vested interest other than to give you the best and most informed inspection of your proposed purchase.  

    Limitations are often used as an excuse not to access inside or on top of a roof. While some limitations are common sense and based on workplace health and safety issues, some building inspection companies use limitations as an excuse not to do a thorough inspection. For example, we’ve read reports stating the building inspector could not access the roof’s interior simply because it was insulated, and they did not know where it was safe to place their feet when inspecting the roof. This is where the difference between being qualified and being experienced comes into play. An experienced building inspector should always know the simplest of answers, such as where to place feet in an insulated roof.  

    Limitations or excuses?

    Every building inspection is bound by limitations. However, the limitations should only apply when there is a genuine restriction or impediment to undertaking the inspection. The limitation should not simply be a caveat for a quick, dodgy inspection. For your next Brisbane building inspection, choose a company that goes over and above Australian standards and genuinely takes pride in its work. 

    We’re thorough

    Real estate agents are happy to take you to an open house inspection, show you around, and highlight all the fabulous selling points of the property. But there is a good reason why some estate agents hate it when Action Property Inspections enter the picture. We have a dependable reputation in the business for being incredibly thorough, and we back every fault we find with hard evidence. So if you want an inspection company that gets the job done well, you want Action Property Inspections.  

    What you need to know about Roof Inspections 

    The roof of your house is what protects your asset. If it’s substandard, it can put every area of your house at risk. Signs of damage may not always be evident by simply looking at the roof and conducting a visual inspection.  

    What we look for during roof inspections

    Brisbane’s roofs have a lot to contend with, from high winds and storms, high temperatures, surrounding trees and possums. We will look at both the outside and inside of a roof to detect if there is any damage. The inspector will check the structure and roof space, looking for moisture, roof leaks, general damp issues, and signs of structural failure and faulty roof construction.  

    A minor issue is classed as a simple repair. This may include things like dislodging roof tiles, flashing repairs, and sealing around vent penetrations. These are easily affordable, but they can spiral into serious structural problems if these issues are ignored. The bigger the issue, the more expensive the repairs, especially where there is damage to joists, trusses, beams, etc. If you have a repair budget to work with, then none of these is a dealbreaker. You can fix rusty roofing or minor damage to roof framing. However, be careful as it is easy to add thousands of dollars to your renovation budget. For example, a full-roof replacement is certainly not a cost you want to incur.  

    Depending on what the inspector has found during your roof inspection, you may want to enlist a professional roofer to provide a detailed quote. This will give you a clear idea of the potential repair or replacement costs. The critical thing to understand is that the building inspection report is the best way for you to renegotiate the best possible purchase price. So, while you may have to deal with repair issues, it might be worth your while if you can negotiate a great purchase price.  

    Are all building inspectors and reports the same?

    Building inspectors should always work in the best interests of their clients, but unfortunately, this is not always the case. There’s a huge benefit to getting an independent building inspector to do your report. Here’s why. 

    Why choose an independent building inspection company?

    Some building inspection companies try and hide the fact that they obtain large volumes of work indirectly from the real estate industry. Subsequently, the reports they produce tend to be vague, misleading, and watered-down. The aim is not to jeopardise a potential sale for an estate agent. This then secures the inspector further referral work. 

    Are your building and pest inspections being undertaken by specialists in those fields?

    Some building inspection companies adopt a ‘jack of all trades’ approach where one inspector carries out both building and pest inspections at the same time. A building inspector’s inspection and reporting process are entirely different from that of a pest inspector. To try and undertake both types of inspections at the one time in a professional manner is often fraught with disaster. There should always be two separate inspectors working in their own professional field, in their client’s best interests. 

    Can you understand your building inspection report? 

    The presentation of the reports varies significantly. A good building inspection report should be clear, concise, and conveyed in a manner that the general public can understand without unnecessary building jargon or complex terminology.

    The building inspection report should clearly outline all the issues whilst giving helpful information regarding the means of rectification, the severity of the faults, and time frames for suggested repairs to be carried out.

    The building inspection report should also be backed up with digital photography. Digital photography provides a reference for the faults and enables easier renegotiation for buyers who can refer to photographic evidence provided within the building inspection report. 

    Choosing the right building inspector

    Looking to book a pre-purchase inspection? Queensland property buyers are advised to research the company before booking them. First, you need to establish the Inspector’s credentials. Are they trade qualified? Do they have insurance and what kind? How many inspections have they conducted in the past month or the past year? Do they see repeat business? All these things help you establish how experienced and qualified they are. Once you’re satisfied with that, ask them about any conditions or exclusions they might have. Do they have a big list of conditions and exclusions, such as the inspector being unwilling to examine under the floor or the roof cavity?  

    Finding the right building inspector may be a daunting process. Do your research and then go with your gut feeling. Don’t be tempted to simply choose the inspector that provides the cheapest quote. As they say, you’ll end up with monkeys if you pay peanuts. 

    To assist you in finding a building inspector that you can trust, use this free checklist to ensure that the company you choose can meet your requirements. 

    4 Red Flags to look for on Building Reports  

    Building reports are an important document that you have paid to receive as part of the building inspection fee. The accuracy and detail of the information given in the report will lead to peace of mind that the building inspection was completed thoroughly. 

    Unfortunately, not all building reports are created equal. You could do all the right things by organising a building inspection for your new property but still be affected by a poorly written building report. 

    Not many potential property owners know what makes a good building report and how to identify a poor-quality report. So here are four red flags to look for on building reports. These alarm bells will help you discern if a second opinion is needed. 

    1. Difficult to read and understand

    A building report should be easy to read and understand. There should be no building industry jargon to confuse the potential property owner. A reader of the report should be able to comprehend: 

    • what has been inspected 
    • what the defect is (if any) 
    • how the defect needs to be fixed 
    • potential timeline required to fix the identified issue. 

    2. Stock photos used instead of images taken at the property

    A good building inspector will take digital photos of the property when they conduct the inspection and include these within the building report. If a stock photo has been used instead of an individual photo of the property, this should raise the alarm. Stock photos have no place on an individualised building report. This lack of regard for a specified report can lead to the next red flag. 

    3. Vague descriptions and generalised information

    Building reports should be specific to the property inspected. There should be no vague descriptions or generalised information. The descriptions of defects should be specific to your property. Vague reporting is a potential sign of a poor building inspection or lack of interest in ensuring a thorough property assessment has been completed. 

    4. Lack of tailored recommendations to fix defects  

    With vague descriptions comes a lack of tailored recommendations to fix a defect. 

    The building report should outline the specific defect and advise the level of concern and attention required by the potential new property owner. The absence of this as part of the building report speaks volumes about the quality of the building inspector conducting the inspection. 

    Help! My pre-purchase building inspection report seems incomplete!

    If you’ve undergone a pre-purchase property inspection with a Queensland property, but the report seems a little lacking in detail, never fear. You do have options!  

    If you’re a first-time buyer or investing on a budget, you don’t want to skip a pre-purchase inspection. Queensland properties can hide a multitude of defects, and a professional inspector is your best bet for catching those defects before you buy. You want an inspection that provides you with all the information you need to help you make an informed choice. Action Property Inspections is more than happy to help – our experienced inspector will help you make the best choice for you and your family.  

    As you would have read so far, there is much more to building inspections than simply looking for a saggy roof and noticeable mould on the wall. Experience and detail are the kings in this industry and picking the right inspector can be the difference between a castle and a money pit. So what can you do when you think your report is a bit lacklustre or just not to the detail that you thought you were getting? 

    Get a second opinion

    If, after your pre-purchase property inspection, you believe the report has any big omissions or has not provided you with information that you believe should be in it, get a second opinion. There are several things a useful report should focus on, such as the floors, the walls, the roof, and allotment. If these are missing, that’s another big red flag. If the report provides photos and you notice these aren’t of the property you’re interested in, they might be stock photos – another big red flag!  

    Buying a property is a huge financial gamble, and you are well within your rights to shop around. You may want to get an inspection from a different company, or else if you have specific concerns, you could consider obtaining assessments from experts such as pest inspectors, structural engineers, geotechnical engineers, surveyors, solicitors, the electricity supply authority, or the water supply authority.  

    When purchasing a potential new home, spending money on an expert inspection from suitably accredited inspectors will save you money in the long run and provide you with much-needed confidence and peace of mind. 

    Building inspection reports problems – what next?

    You’ve got your heart set on a particular property. In your mind’s eye, you’ve already picked out the furniture, painted the walls, and you’re dreaming about a sneaky cocktail by the pool. And then reality jumps up and slaps you in the face. Your building inspection reports show problems; lots of problems. 

    Your dreams are in tatters, and you’re dreading the thought of having to start the search all over again. But should negative property inspection reports always send you scurrying back to the drawing board? Or are you really missing out on the opportunity of a lifetime? 

    Expect your inspection report to uncover some problems

    Whether you like it or not, all properties have problems. When you get a property or building inspection report done, that’s par for the course. Problems are exactly what you ask an expert to find and document for you. You’re not asking them to make a favourable comment about the colour scheme or to wax lyrical about the garden. This is serious business. If the property you’re contemplating buying is a lemon, you need to know about it. Potentially, your life’s savings are at stake. So, expect some problems. 

    How a negative building inspection report can work in your favour

    A negative property report is often a signal for inexperienced buyers to simply count their losses and walk away. Do this and you might miss out on one of the greatest opportunities ever coming your way. That’s because property inspection reports shouldn’t just highlight problems. If you read your inspection report carefully, it might just help you pinpoint a golden opportunity to save or even make some money. Negative inspection reports can work in your favour in three ways: 

    1. You can exploit the problems and use them as a bargaining chip in negotiations about the purchase price, ensuring that you negotiate a much better deal. 
    2. They can show you where savvy investment in property repairs can make you a tidy profit when you sell down the track. 
    3. They can save you money in the long run by helping you detect and address small problems before they become huge, costly ones. 

    Sounds easy, doesn’t it? But being able to exploit the faults in a property to your advantage depends on one very important aspect of the inspection report itself: how well you can understand the information it contains. Most of all, it depends on who you get to do the report in the first place. 

    Why building reports are a job for the experts  

    There’s no point getting a report done if your building and property inspector isn’t experienced enough to recognise and document the problems in the first place. Years of experience are a critical prerequisite for a good property inspector.

    Queensland is leap years ahead of the other states in terms of setting minimum requirements for building inspectors. They must be qualified, experienced, and registered. But this doesn’t mean that all building inspection reports are of the same quality. Ideally, you should be looking for an inspection report that goes beyond the bare minimum – beyond simply identifying a property’s problems. The very best inspection reports: 

    • find and disclose the property’s problems, big and small 
    • tell you how serious they are 
    • set out your various options for rectifying them 
    • predict which of the small problems will turn into costly problems later and suggest some steps you can take to prevent them from advancing 
    • give you the appropriate information to assist you in deciding whether to pursue purchasing the property or whether it’s a better idea to walk away. 

    Only a qualified, professional, registered, and experienced property inspector has the necessary know-how to cover all these bases confidently and competently. 

    Communicating complex information clearly and effectively

    Your inspection report won’t be of much value to you if it’s full of complex terminology. That will only make it impossible to follow. It could also prevent you from making an accurate assessment as to the extent of the property’s problems.

    Getting a building inspection report done is itself a financial investment and a leap of faith. You’re entrusting a professional to thoroughly and accurately assess the property for problems that won’t be obvious to you as a layperson. What’s more, you need them to be able to report back to you in a language you can understand.

    You should be able to understand the report and its contents irrespective of whether you’re a first home buyer or a seasoned property developer with an impressive portfolio of investment properties. 

    Using your inspection report to your best advantage

    Once you’ve got your comprehensive property inspection report, don’t be afraid to use it. Negotiate a much more favourable purchase price for the property. Your report should put into dollar terms just how much certain repairs or rectification works are anticipated to cost. That can give you great leverage in negotiating prices. A vendor might not be aware of the problems associated with their property and might be horrified to discover the true extent of its problems. They might suddenly see the sale slipping through their fingers. 

    Alternatively, they might have taken steps to cover up the problems in the hope of avoiding close scrutiny. The report will catch them out. Either way, a comprehensive report that documents the extent of the problems will have them on the back foot in the negotiation process. It’s one of the most powerful bargaining chips you can get. 

    Worst Case Scenario – inspection reports that identify unsolvable problems

    That said, there are some properties out there that are not worth the blood, sweat and tears you’d have to invest in to make them even vaguely habitable. A good report will tell you when the property’s problems are completely insurmountable.

    Once you’ve got your inspection report in your hot little hand, then you can make an informed decision as to whether you should proceed with the purchase or walk away while you still can. It’s a crucial safety net that can mean the difference between confusing a few fixable wall cracks with a property that’s actually teetering on the verge of a catastrophic collapse. 

    Can a bad building inspection report affect my pre-approval?

    Have you been pre-approved to buy a new home in Brisbane but wondering if your building inspection report will hinder your chances of securing finance through your bank? If so, read on!  

    Sometimes, a lending authority may require a building and pest inspection report to be undertaken before full lending approval. The results of a building inspection report may affect your financial pre-approval which is why they’re conducted in the building inspection stage allocated in your contract 

    A financial institution grants pre-approval finance for home loans or purchases based solely on your credit history and what it shows them about your ability to pay back your mortgage. That pre-approval may also be contingent on whether the building inspector finds major faults with the property you choose.  

    What happens when the bank withdraws pre-approved finance based on the building inspection report?

    Remember, your home lender may not always provide full finance when you apply for a mortgage, and while their reasoning may be based on certain protocols they follow regarding in-house approval, if their reasons are based on the results of an inspection report we provide, you have a few things to consider.  

    1. Speak to the seller

    If you’re really keen on the property, speak to the seller about the issues that arise from the building inspection. Negotiate with them over the price and what can be done, then start the financial process again.  

    2. Ask yourself if the property is really ‘the one’

    If the bank sees major flaws identified within the building inspection report and deems it to be a ‘poor investment’ based on our findings, should you be investing hard-earned money in that property?  

    What should a building report cost?

    The cost of a building report is highly dependent on the property in question. The size and the type of home/building itself are significant factors, as are the specifics of the service that you are seeking. Whether you are after a building inspection, a pest inspection or a combination of these, the costs can vary. 

    There is no flat rate for any one inspection, so as important as getting quotes is, so too is knowing what to look out for and what each inspection should cover. That way, when comparing quotes, you can do so as evenly as possible. 

    Here are a few things that you need to consider before hiring an inspector to prepare a report for you. 

    Every inspector must hold a valid industry-recognised license and insurance

    All building inspectors must hold a license with the Queensland Building and Construction Commission, formerly known as the Building Services Authority. Make sure you ask to view the license and take note of the expiry date.  

    The Queensland Building and Construction Commission requires that inspectors have professional indemnity insurance. However, a Building Inspection License does not guarantee the Inspector has Professional Indemnity Insurance, as there are instances where inspectors can waive this condition of their license. It is, therefore, imperative that you ask to sight the Certificate of Currency of your building inspector’s Professional Indemnity Insurance policy. Should a claim arise, this is a necessary safety net providing protection for everyone involved. 

    Don’t accept a ‘structural only inspection’

    If an inspector promises to undertake a structural-only inspection and present you with a structural-only report, be aware that it alone does not comply with the Australian Standard 4349.1-2007. 

    You must receive a ‘Full Defect Report.’ This will provide you with the true status of the property under review and a full condition report. 

    A building inspection report and pest inspection report should never be combined

    Be wary of any company or inspector that offers to present you with a combined building and pest inspection report. The main reason is that these inspections are very different, and you may run the risk of having them completed in a substandard manner. When you are seeking the truth about a property, you must not compromise. 

    Choose the highest quality Pre-Purchase Building Inspections

    We pride ourselves on having the highest quality full defect building inspection report on the market. 

    A cheap house inspection will not provide sufficient information to enable you to make an informed decision. And if faults are identified, a subpar building inspection report cannot provide you with the required documented proof which would allow you to renegotiate the purchase price. In fact, the cost of not getting a comprehensive and detailed building inspection done prior to purchase can be long-term and ongoing. In trying to save money, you could be exposing yourself to significant costs you were unprepared for. 

    Extensive experience, qualifications and quality control have made Action Property Inspections the industry benchmark that others can only try to emulate. 

    When do I receive the building inspection report?

    You will receive your building inspection report the same day as the inspection is conducted. Property inspections are conducted on the day booked, with the building inspection reports guaranteed to be completed that same evening.  

    Action Property Inspections will email a copy of the report and digital photos on the evening of the inspection. 

    When do I pay for the building inspection report?

    Action Property Inspections do not request that you pay for the building inspection report upfront, before the building inspection is completed. 

    Payment is required on the day of the actual building inspection and can be made by either credit card or electronic transfer.  

    SO HOW CAN YOU BE SURE YOU WILL RECEIVE A FULLY DETAILED AND UNBIASED BUILDING REPORT?

    Always source your own independent building inspector and NEVER rely on a “Vendor’s Report” or on an inspector referred to you by the real estate agent.  Do your own research, ask family and friends for their recommendations, and vet those recommendations – was the home fault-free, is the inspector licenced, does the inspector have any red-flags, can you see an example of their reports?

    Your building inspection report can protect you from financial devastation. You are about to make a massive financial investment and people you care about are going to be living in that property. What happens after a building inspection is a big decision and it affects your negotiations. It is not worth the risk to trust a dodgy inspector with your family’s safety. Be sure you are engaging qualified professionals with a history of excellence.

    At Action Property Inspections, we are detailed and candid in our findings, offering unbiased Full Defect Reports. We deliver on our promise of excellence and as a result 82% of our work comes from repeat happy clients and their referrals, not real estate agents, mortgage brokers or solicitors!

    Building reports are essential. Secure yours with the best in the business.
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    Action Property Inspections to organise a pre-purchase inspection today.

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      About Andrew Mackintosh

      Andrew Mackintosh has been answering home inspection questions in the greater Brisbane area since 1995. He has personally carried out over 20,000 building inspections and is a licensed builder and licensed building inspector, Member of Queensland Master Builders Association & Institute of Building Consultants. Being the business owner and the inspector, Andrew is passionate about providing clients with excellent customer service, value for money, honest, unbiased, thorough inspection and reporting in a professional and timely manner to allow clients to make informed decisions when purchasing property.

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