Taking out a home loan to purchase property can be one of the biggest financial commitments you make in your life. Before you sign on the dotted line, you want to make sure you have all the facts and are completely prepared for the journey ahead – and this includes getting a pre-purchase building inspection done.

Think of this report like a test drive. You wouldn’t buy a second-hand car without first examining it for faults and potential problems, and the same goes for securing a home. An inspection can help you avoid costly repairs and unforeseen issues that might crop up further along the track, and even bring a bargaining chip or two to the negotiating table.

Budgeting woes

Buying a home isn’t just a sizeable financial investment – it’s an emotional one as well. Without the experience of a seasoned engineer – not to mention being blinded by excitement – you can easily overlook the things that might cost you thousands of dollars in repair work and structural strengthening after you have finalised the sale. In any case, rot, moisture damage and faulty plumping can be difficult for the untrained eye to pick up.

A professional and accredited inspector can cast their skilful gaze over the home and alert you to any big-ticket repairs. While some might be easy to deal with, others will need extensive work done – if they can be fixed at all. A building inspection report can let you decide whether the property is worth the cost, especially if you need to take out a construction loan to make the changes.

Negotiating prowess 

Not only can a building report give you peace of mind, it can also help you to negotiate a lower price. With a clear idea of what remedies you need to make on the home, you can argue the case for a reduced price or alter the conditions of sale. Keep in mind that a building inspection can cost a sizeable amount, particularly if you are planning to compare a number of properties.

However, the price can be worth the result. Buying a home without knowing the risks can set you back thousands of dollars, so an inspection is often an invaluable tool.

You can contact a Smartline Mortgage Adviser on 13 14 97 for home loan advice. Or complete our call request form and we’ll call you!

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DISCLAIMER: The information contained in this article is correct at the time of publishing and is subject to change. It is intended to be of a general nature only. It has been prepared without taking into account any person’s objectives, financial situation or needs. Before acting on this information, Smartline recommends that you consider whether it is appropriate for your circumstances. Smartline recommends that you seek independent legal, financial, and taxation advice before acting on any information in this article.