It is usually in a & Buyers, property market that the opportunity to engage a professional pre-purchase building inspector becomes more prevalent. The lack of competition between buyers and the overall lower level of positive sentiment for the market, generates a sense of increased caution and fear.
During a buyer’s market it becomes more common for property sales to fall apart because a building inspector has reported on defects or faults that would normally be considered minor or typical for age. In a buyers market there is more stock to choose from and “another opportunity” is always around the corner.
In a “Sellers” market the buyer’s are in almost a race to purchase and their actions are fuelled by competition for their slice of the property profits pie. It becomes more common for buyer’s to neglect the importance of spending a few hundred dollars for an independent and impartial opinion of a building’s condition.
During a Seller’s market it is more common for buyer’s to still proceed with a sale, even when building reports have identified repair and maintenance works that would be considered significant. In a Seller’s market there is not enough property to go around each property auction could be the Buyer’s “last opportunity” to enter the market
Before a buyer in any property market sets out to engage the services of a building inspection service, they should have clearly identified parameters for the expense they are willing to pay beyond the purchase price and legal costs. It’s not reasonable to expect that nothing will go wrong within the first 12 months. Even something as simple and common as a hot water service failure can cost a $1000 dollars to replace.
If you have seriously assessed and set your limit on repair costs at $10,000 and discover through a professional building inspection it is more likely to be $30,000 then you need to consider pausing the process, is further negotiation an option or should you be pursuing another property.
If you are having trouble assessing what a reasonable sum of money is to have set aside for likely repairs of your next purchase you should seek the advice of a local building inspector. Ask them what the typical defects are for homes in the area you are intending to buy? Ask if they can tell you, the most common maintenance required? Ask if you can have a ball park estimate of the average repair costs required of homes in the local area? Try to get tips or hints on what particular areas of the property should require close attention during your first inspection
f you can get a local experts picture of what defects or maintenance to expect then you will be better prepared to assess the results of an inspection typical for the location. If you can build rapport with a local inspector you will also find, that when it comes time to get it professionally inspected, that by using a local inspector, they can organize to complete the inspection in a shorter space of time.