Skip to main content

Building Inspection Reports - How they affect both the buyer and the seller of property

Many contracts for the sale of land are subject to a condition which allows the buyer to terminate the contract if not satisfied with the contents or building inspection reports about the property. 

Whilst these clauses are a worthwhile means to encourage buyers, it's important all parties understand their options when applying them, so as to avoid unnecessary outcomes and complications. I'm Building inspection specialists, and I would like to make a couple important points about these clauses. 

Building Inspection Reports
Image -

Firstly pay careful attention to the wording of the relevant clause. In many cases the clause may require the buyer to act reasonably. This means the contract can't be terminated on the basis of a few minor defects. Exactly what constitutes a defect sufficient to justify termination will depend on the circumstances. 

But a buyer who wants complete flexibility to terminate a contract for any reason should not rely on standard clauses but instead negotiate to include an appropriately worded due diligence clause. 

Standard clauses will generally also require that the builder who issues the building inspection report is appropriately licensed, and the seller will usually be entitled to see copies of the Building inspection reports if the buyer seeks to terminate. 

Building Inspection Reports
Image -
Whilst there is no onus on a seller to agree to reduce the price or repair defects identified in the Building inspection report, generally the same attitude of compromise that brought a buyer and seller together to sign the contract will also result in a negotiated outcome that allows a settlement to proceed. 

Without losing side on the legal rights, parties can have open discussion. Seller’s agents are usually very skilled at managing a process and assisting parties to reach a common position. So, to summarize, be mindful of the exact wording of the building inspection clause, and if in doubt, consult a legal advisor. 

And, when major defects are identified in the building inspection report, there's generally plenty of scope to negotiate an outcome acceptable to both sides. So take advantage of the skills and experience of the agent. 

If you have any queries about this or any other aspect of contracts for the sale of land, Building inspection specialists had happily answer them. And if you found this info useful, then have a look at our website.


Popular posts from this blog

What Is A Depreciation Schedule And Why Should You Get One Done?

Depreciation or claiming the lowering in value of items within your property or the property itself can be a great way to minimize your tax expenses and to maximize your return on investment I was lucky enough to be able to sit down with quantity surveyors

We are the largest corn a quantity surveyor company in all of Australia we sat down and we talked about the benefits of depreciation and I've broken this into a ten-part series to help you easily understand depreciation and how you can use it to minimize your tax and maximize your return. 
If you want to see the links to all of the episodes head over to Capital Claims she action and you can get all the links there or if you want to go specifically this property that's on property comate you forward such. 

So today I talked to Quantity surveyors about what exactly depreciation is and what a depreciation schedule is and why should we get one done I'll be back at the end of the interview to summarize  your daily dose of p…

Things to check on an open building inspection

Building inspection specialists are standing in front of house seems to look out for the first thing around the when you look at the probably is land force or elevation of the land. 
So in this particular probably you can see the front probably the land for is a falling going to sloping towards the building. 
And in this case you want to make sure they are proper ground drainage that's in place to direct the way the excessive moisture not just for the surface as well as underground from the soil the next thing you look out for is whether there's any big large significant trees nearby the house. 

Because the tree roots has a big impact on the building foundation this is just the general blog overview of the building and building inspection specialists would have a future blog in depth of different section of the building. 
For now come with me into the backyard when building inspection specialists are looking at in the garden building inspection specialists got a lookout pay a…