Buying a property can be very expensive. There are legal costs, the real estate costs and the time spent looking for a new property. There are also pre purchase inspection costs. They may not be an expense you want to pay, however, it is cheaper in the long run to spend the money than risk buying a property that you haven’t inspected. Property pre purchase inspections are essential for a number of reasons and can save you significant issues in the long run. When you’re spending hundreds of thousands or more than a million dollars, a few hundred dollars is “nothing” in the grand scheme of things.
When you get a property pre purchase inspection, you will be able to identify structural or other issues that may either be costly to repair, or could pose a serious risk to you later on.
A pre purchase inspection will give you the opportunity to make one of two decisions. You can either decide to proceed with making an offer on the property or you can back out of it prior to making an offer. If you decide to proceed with the former, then you will have negotiating power if you find that there are undisclosed issues. Let’s say repairs will cost $5,000, you could negotiate the exact amount off your offer, or you could negotiate more off the purchase price because of the time involved and any potential inconvenience or associated costs such as temporary accommodation.
You will also be able to budget for any repairs, which is essential if you’re going to require finance for such repairs. Getting repairs done will also allow you to negotiate the terms, such as when you settle or move into the property, and when you exit your existing property. This is essential if the repairs will take several months to complete.
The most common faults that are found tend to be structural or related to electrical wiring, however you will also be able to identify any plumbing issues that there may be and start getting quotes prior to making an offer (subject to the vendor or real estate agent’s consent) and that will give you a great indication of how long the repairs will take, and what will be involved in them. If you’re selling your current property you’ll be able to make decisions based upon this, which will reduce the possibility that you will need to seek temporary accommodation while the repairs are being completed, which will save you money in the long run.