Building and pest inspection when buying property in Australia
Why get a building and pest inspection?
Buying property is likely the largest financial commitment you will make — but not every defect is visible during a standard open home inspection. Building inspections and pest inspections are independent technical reports that reveal the true condition of a property before you commit to purchase.
In Australia, obtaining these inspections is not legally required but is strongly recommended — particularly for older homes or timber-framed properties.
Building inspection
A Pre-purchase Building Inspection Report assesses the structural and overall condition of the property. The inspector must be a qualified building inspector — typically a licensed builder or architect.
The report typically covers:
- Foundations and slab
- Roof structure and gutters
- Walls, framing and structural elements
- Floors, doors and windows
- Moisture and water penetration
- Garage, fencing and outbuildings
- Electrical and plumbing (general overview only — not a detailed trade inspection)
A building inspector does not provide detailed electrical or plumbing assessments — separate licensed electrician and plumber inspections are available if required.
Pest inspection
A Timber Pest Inspection Report checks for:
- Termites: the most common and damaging — capable of destroying timber framing over years without visible signs.
- Wood-boring insects (borers)
- Wood decay and rot
- Fungal growth in timber
The inspector must be a licensed pest inspector. Termites are particularly prevalent in Queensland, NSW, SA and WA — pest inspections are effectively essential in these states.
Costs
| Service | Approximate cost |
|---|---|
| Building inspection only | $300–$600 |
| Pest inspection only | $150–$350 |
| Building + Pest combo | $400–$800 |
Costs vary by property size, location and provider. Booking a combined inspection (one inspector, two reports) is usually cheaper than separate bookings.
When to book inspections
Ideal timing: After an offer is accepted but before signing an unconditional contract (exchange). Many purchase contracts include a “subject to building and pest inspection” clause, which allows you to withdraw or renegotiate if serious issues are found.
Key NSW/VIC consideration: Private treaty contracts typically include a 5-day cooling-off period — conduct inspections during this window to preserve your right to withdraw.
Auction purchases: Contracts become binding immediately when the hammer falls — there is no cooling-off period after an auction. Inspections must be booked and completed before auction day.
Choosing an inspector
- Choose an independent inspector — not one recommended by the selling agent (potential conflict of interest).
- Verify the inspector holds a valid licence (licensed builder, qualified pest inspector).
- Request a full written report, not just a verbal briefing.
- Professional bodies: Master Builders Association, HIA (Housing Industry Association), AIBS.
What to do if problems are found
Discovering defects does not necessarily mean you should abandon the purchase — it is leverage to:
- Negotiate a price reduction corresponding to the estimated repair cost.
- Request the vendor remediate specific issues before exchange.
- Withdraw from the contract if problems are severe (if you are within a cooling-off period or subject-to clause applies).