Property buying is a lifetime decision for many people because there are no comparable big-ticket purchases that they plan again. Therefore, it is extremely important to ensure that what you see and what you get is same. However, the task is not always easy especially if you try to assess the property by yourself. To evaluate the health of the property, you must rely on the condition report for building inspections issued by qualified and licensed building inspectors. The report is important because it helps to uncover aspects of the property that you cannot see like assessing the structural integrity of the building. The report is quite exhaustive and covers everything from minor defects to major ones that can impact the longevity of the building and its safety. The condition report for building inspections is a powerful tool for property buyers that facilitate better negotiation to reduce price and alter settlement terms.
When do you need an inspection report?
Before purchasing any property, you should arrange for building inspection provided the situation permits. Remember that it might not always be possible to organise an inspection because if the seller is in a hurry and looking for a speedy sale, you might not get ample time to get the inspection done. Even if it is not possible to conduct a pre-purchase inspection, to protect your interest you can include building and pest inspection as a condition in the contract. However, if you are buying a property in the auction, getting the inspection done before you proceed with the process is mandatory because the deal is non-negotiable.
Know what is wrong
Property buyers are interested to know the defects of the property, and the building inspection report precisely reveals it to their satisfaction. It is hard to find any property without any flaws because it is normal that as the building undergoes wear and tear defects and damages will surface. Knowing the shortcomings should help buyers to scan through the list of defects and damages to identify which could be deal breakers and which are the ones that have some quick fix remedies.
Distinguish between ‘material’ and ‘non- material’ issues
Typically, the faults of buildings are either material faults that are a matter of concern or non-material faults that are minor defects and repairable. Water penetration and damp, electrical faults, termites and structural faults are material faults while broken tiles, jarred windows, hairline cracks, leaky taps and loose doorknobs are non-material faults.
A tool for negotiation
The building inspection report helps in negotiations no matter whether the flaws are minor or major. You can leverage your bargaining power by pinning down the flaws to drive sellers to the rope and reduce the price or work out some favourable terms. It should not be difficult because even some minor faults can help to save a few thousand dollars provided you know the art of negotiation.
Indeed, there will undoubtedly be something significant in the report that helps to lower the price further unless the defect or damage is a real deal breaker.