Property Inspection Checklist for Australia

Falling in love with a property is easy. Making sure it is structurally sound, free of pests, and worth the asking price takes a bit more work. A thorough inspection before you buy can save you from expensive surprises down the track.

What to Check at Open Inspections

Before you pay for professional inspections, your own observations at open homes can flag potential issues early. Look at the external condition first — does the roof look intact, are the gutters and downpipes in good shape, is there any visible cracking in the walls or foundation?

Inside, check for signs of water damage (stains on ceilings and walls, musty smells), test all taps and flush toilets to check water pressure, open and close all doors and windows (sticking can indicate structural movement), and look at the condition of flooring, walls, and fixtures.

Check the property’s orientation — does it get good natural light? North-facing living areas are generally preferred in Australia for winter warmth and energy efficiency.

Professional Building Inspection

A building inspection is conducted by a licensed inspector who examines the structural integrity of the property. This is not optional — it is one of the most important steps in the buying process.

A comprehensive building report covers the foundation and subfloor, roof structure and covering, external and internal walls, wet areas (bathrooms, laundry, kitchen), electrical and plumbing (visual assessment), fencing and retaining walls, driveways and paths, and any safety hazards.

The inspector will rate issues by severity. Minor maintenance items are normal in any property. Major structural defects are the ones that should make you pause and either renegotiate or walk away.

Expect to pay $400 to $600 for a standard building inspection. For larger or older properties, a more detailed inspection may cost up to $800.

Pest Inspection

Termite damage is one of the most expensive problems to fix in Australian homes. A pest inspection (also called a timber pest inspection) checks for active termites, evidence of past termite activity, other wood-destroying pests like borers, and conditions that make the property vulnerable to future infestation.

In areas with high termite activity (most of Australia outside Tasmania), a pest inspection is essential. It typically costs $250 to $350 and can be combined with the building inspection for a package deal.

If the inspection finds active termites, get quotes for treatment before proceeding. Treatment can cost $2,000 to $5,000, plus any repair costs for damage already done. See our buying costs guide for how this fits into your budget.

Strata Inspection (Apartments and Townhouses)

If you are buying a strata property, a strata report reviews the body corporate records including financial statements and sinking fund balance, minutes from meetings (revealing disputes or planned works), any outstanding or upcoming special levies, building defect claims or legal proceedings, and the building’s maintenance plan.

A strata report costs $200 to $350 and can reveal costly issues like a poorly funded sinking fund (meaning potential special levies), planned major works that will increase fees, or ongoing legal disputes between owners and the body corporate.

What to Do with the Results

If the inspections reveal minor issues, use them as a negotiation tool. The cost of repairs can justify requesting a price reduction. If major structural or pest issues are found, you have three options: negotiate a significant price reduction to cover repairs, ask the seller to fix the issues before settlement, or walk away.

In most Australian states, you can make your offer subject to satisfactory building and pest inspections, giving you the right to withdraw if the results are unsatisfactory. Your conveyancer can advise on the specific conditions available in your state.

When to Skip Inspections (Hint: Never)

Some buyers are tempted to skip inspections to save money or move faster in a competitive market. This is one of the common buying mistakes that can cost far more than the inspection fee.

Even new builds can have defects. Even properties that look perfect on the surface can have hidden termite damage or structural issues. The $600 to $1,000 you spend on inspections is insurance against potentially $50,000 or more in unexpected repairs.

For the complete buying process, read our property buying guide. Have questions? Check our FAQs or use our mortgage calculator to see how your budget holds up.