Get the OK before you buy

IT’S only natural that home buyers want to save money on the costs associated with their property purchase.

“They shop around for legal/conveyancing deals, removalists and so on,” Bellarine Property managing director Christian Bartley said.

“Sometimes, especially on newer properties, they decide that the recommended pest and building reports are an unnecessary expense.”

Mr Bartley advised that purchasers should never take anything for granted, even on relatively new houses.

“Most real estate agents have a story or two of purchasers that were wiser after the event.

“The fact that a house is new doesn’t mean that a purchaser should bypass the pest report.

“White ants can enter even a new home if a tradesman has been careless. They have been known to enter via formwork that has been left around concrete steps, for example.

“Reports that cost a few hundred dollars could save thousands even tens of thousands of dollars if the damage turns out to be extensive.”

He said that homebuyers should make sure they use licensed tradespeople that have professional indemnity insurance.

“There should be no question of the buyer being out of pocket as long as the tradesperson is covered if they fail to analyse building faults that later become apparent.

“If your building and pest report does uncover problems, that doesn’t automatically mean you should pull out of the sale.

“One way to approach the issue is to re-negotiate the sale price to allow for repairs. Prudent vendors usually see the wisdom of making adjustments to retain their purchaser.

“Sometimes vendors prefer to arrange for a tradesman to carry out the work before settlement takes place.”

Mr Bartley said even a termite infestation doesn’t necessarily mean a purchaser should pull out of the sale.

“A surprising number of homes have had termites at some stage. It’s a case of quantifying the damage and taking a calculated risk.

“However, in the case of serious structural damage which is often unquantifiable it is usually safer to give up the idea of purchase no matter how much you like the property. The ultimate choice is up to the purchaser.

“Building and pest reports are a tool for assessing the property’s structural condition and ultimate suitability. In most cases they enable purchasers to reinforce the feeling that they have made the right choice.”

For further information, phone Christian Bartley on 0410 695 325, email [email protected] or head to bellarineproperty.com.au.