While it may not be mandatory, the pre-settlement inspection is a vital part of the home-buying process. In this guide, we’ll walk you through everything you need to know to breeze through settlement and focus on the excitement of moving into your new home.
What is a Pre-Settlement Inspection?
While not legally required, pre-settlement inspections are strongly recommended. Unlike the pre-purchase house inspection conducted before making an offer, this inspection ensures that the home remains in the same condition as when you agreed to purchase it. While not compulsory, it’s strongly recommended to avoid any unsettling revelations on settlement day.
When to Conduct a Pre-Settlement Inspection
Timing is key. Pre-settlement inspections should occur in the days leading up to settlement or key handover. The inspection should occur at a ‘reasonable time’ during this period, giving ample time for any necessary repairs.
Who Should Be Involved?
As the prospective homeowner, you, accompanied by a witness like the real estate agent, should undertake the inspection. It’s essential to arrange this in advance, respecting both your and the vendor’s schedules.
What to Check During the Inspection
What Happens If There’s a Problem?
If you do encounter an issue, immediately notify your conveyancer, who will liaise with the vendor’s conveyancer. Your solicitor or conveyancer will make adjustments for aspects like council rates and/or body corporate fees, in settlement amounts being calculated between both parties for the sales transaction. Depending on the severity, repairs may need to be addressed before settlement, potentially causing a delay. However, rest assured that any significant issues can often be resolved through negotiation.
Your pre-settlement inspection marks the final step before homeownership. It’s your chance to ensure the property aligns with your expectations and the terms of your agreement. Take note of any discrepancies and ensure all agreed-upon inclusions are present and functional. It is also important to ensure you have adequate insurance cover for the property and/or contents, which includes flood damage coverage.
If you would like any assistance with the final stage of your buyer journey,, or for more information, contact our team today on (07) 4057 1800.
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