Building and pest inspections play a vital role in buying, selling, and investing in property across Australia. Not only are they necessary for the information they provide about the condition of a property, but these reports can also be utilised as a strategic negotiating tool.
What is included in a building inspection?
- Professional building inspectors perform visual inspections of all the areas of a property/building to look for signs of major and costly issues and structural flaws. Here are the areas where they dig deeper to find problems.
- Building Roof – They look for damaged or loose roofing tiles, damaged downpipes and gutters.
- Building Interior – Electrical wiring, warped doors (or those that won’t shut properly), broken windows, cracks in the walls, water stains on the walls, and other aspects of the interior.
- Building Exterior – The inspector thoroughly examines the construction of the building and any other structures on the site, checking for defects.
- Under-Floor and Roof Spaces Whenever under-floor and roof spaces can be accessed, the property inspector will check these spaces for structural damage.
- The General Property Site – Garages, garden sheds, carports, fencing, driveways, paths, detached/separate laundry and toilets, retaining walks, and surface water damage are all inspected in a professional property inspection.
The Ideal Negotiating Strategy
Negotiations play a strategic role in property buying transactions. Therefore, building and pest inspections go beyond delivering peace of mind when making one of the most important investments of your life; buying a house. The same holds true for buying commercial property for a business.
Building and pest inspections provide you with the ultimate leveraging tool that helps buyers, sellers, and investors get the best deal for their money.
- Buyers can save money with the knowledge in these reports.
- Sellers can boost their profit by making efficient repairs when selling their property.
- Investors use these reports to negotiate for the best price on a property, so they can reap rewards down the road.
It’s wise not to avoid having a building and pest inspection done because it is an expense that provides you with advantages that help you regardless of which party you are in the process. It’s also risky to exclude this minimal expense in your property buying, selling, or investing transaction.
How do building inspections help with negotiations?
- Sellers – When a seller knows what problems are lurking within their property, they can use a property inspection report to make cost-effective and efficient repairs that will add to the value of the property. The key is to be careful about what repairs you make so as not to sabotage your profit.
- Buyers – Buyers can use property damage and issues to negotiate for a lower price. Buyers should be aware that some property damage and problems can be quite costly, which means they should seek professional guidance before going into negotiations.
- Investors – Investors often know how to use property reports to their advantage to save money on an investment property. However, it is still worth mentioning as it is relevant to this topic.
Buyers, sellers, and investors should avoid going into a property buying transaction without a property report to show the condition of a building. These reports are the optimal negotiating leverage for every party in different ways.