How to address issues found in a building inspection report?

A building inspection is a vital process that potential home buyers should always take advantage of. Even if a house looks perfect on the surface, there could be major underlying issues that only an experienced inspector can uncover. From structural problems to electrical and plumbing defects, a professional inspection sheds light on any existing deficiencies. If the inspection report reveals areas of concern, don’t panic. Most issues can be resolved with some effort, negotiation, and strategic planning.
Prioritize the issues
The first step is carefully reviewing the report and creating a prioritized to-do list. Classify each item as a major defect requiring immediate attention, a minor defect to handle soon, or a maintenance task to budget for down the road. Major issues like a crumbling foundation, roof leaks, or outdated electrical systems should top the list. These costly repairs directly impact the home’s structural integrity and safety. Next, highlight items that don’t necessarily make the home uninhabitable but escalate into bigger issues if ignored too long, such as plumbing leaks or ineffective insulation vitalbuildinginspection.com.au/pricing/ has a good point for the building inspections in Sydney.
Get Cost Estimates
Once you’ve organized the to-do list by priority level, gather multiple quotes for each major repair or renovation from trusted contractors.
- Getting referrals from friends, neighbours, real estate agents, etc.
- Checking credentials, licensing, insurance, and reviews
- Requesting detailed quotes that outline labour, materials, timeline
- Discussing the project scope, vision, and budget constraints
Having an accurate idea of costs upfront keeps the project on track and prevents surprises down the line. Compare multiple quotes to determine a reasonable price range for the necessary work.
Factor in reserve funds
Home repairs rarely go 100% according to plan. Materials may cost more than projected, contractors often find concealed issues after starting a job, or things take longer than initially expected. Build in a financial reserve of at least 10-15% more than the quoted price to cover potential overages. For example, if a contractor estimates re-piping the plumbing at $7500, allocate at least $8500 to $9000 to account for unforeseen expenses. Having this buffer reduces stress and prevents the project from stalling due to lack of funds.
Negotiate with the sellers
A building inspection report is a powerful negotiating tool for buyers. When issues surface, clients have the leverage to renegotiate the home’s sale price or request that the sellers handle certain repairs before closing. If the report reveals, give the sellers an ultimatum – either complete the specified repairs or reduce the asking price to cover post-purchase repair costs. The buyers feel obligated to purchase a house “as-is” with known issues. The reasonable seller should be open to compromise.
For example, if the inspection found problems like a leaky roof, cracked heat exchanger in the furnace, and active termite infestation requiring $25,000 in necessary repairs, the buyer could counter:
- Requesting a $25,000 price reduction to handle repairs after closing
- Asking the seller to complete the repairs themselves using contractors approved by both parties
- Meeting in the middle where the seller reduces the price by $15,000 and completes the remaining $10,000 in repairs before the sale
Renovations depend on others – you would only refinish floors after repairing a leaky roof or mould issue. Hers requires juggling contractor availability to keep a home improvement project progressing efficiently. Strategically planning the order of repairs saves time and money when dealing with a rework from poor sequencing.