When purchasing properties in Australia, there is a thing called “Pre-Settlement Inspection” Those who are not familiar with the real estate industry may not be aware that in most instances, this so-called pre-settlement inspection is also known as a final inspection.

 

Contents contained in this post aims to discuss the following:

 

>>What is a pre-settlement inspection and why it is called as such

>>Importance of pre-settlement inspections

>>How does hiring a conveyancing solicitor helps during pre-settlement inspection

>>Useful tips on how to make a detailed inspection

 

Let us begin with the first bullet: what is a pre settlement inspection?

Property buyers in Australia are entitled to make a final check of the purchased property before finalizing any outstanding amount. This is the reason why a final property inspection is also called a pre-settlement inspection — because it is done before settling any remaining and unpaid balance.

 

Pre-settlement inspections are important because it gives buyers the chance to check the property before making full payment. It is possible that the property has incurred any damage, no longer complete, or is in a condition that is different from what is described on the contract.

 

One has to remember that once all outstanding balance is settled, ownership now goes to the buyer.

This frees the previous owner from any responsibilities and obligations regarding the property.

 

Conveyancing solicitors are professionals that give advice on when to do a final inspection and how to do it properly. Most conveyancing solicitors advise their clients to do a pre-settlement inspection on the morning of settlement day. This is to ensure that the property is intact and free of damage.

 

If there are any problems found during and after the inspection, the buyer will have to discuss this with the conveyancing solicitor. The conveyancing solicitor will then discuss all buyer concerns with the vendor. Depending on the negotiation, payment may be withheld until all issues are ironed out.

In most cases, the vendor shoulders all expense to fix any problems found on the property.

 

Tips and things to do during a pre-settlement inspection –

Before going to the site and making a pre-settlement inspection, it is would be advisable to be prepared and know beforehand the things to check out.

 

Make sure that the property is still or what is described on the contract. If something is amiss, be sure to take note of it. This includes any wall cracks, damages, missing fixtures, incorrect paint, etc…

 

Additionally, create a checklist of included and excluded items in every aspect of the property – like number of door locks / knobs, are all light fittings and bulbs correct and accounted for, is the carpet design correct, how about window coverings, etc…

 

Lastly, check if everything is operational. This ranges from AC the system, plumbing, heating system, , alarms, and all appliances.

 

Remember, don’t be shy to brought up any discovered issues or problems. That is what the conveyancing solicitor is for and be sure to get your money’s worth.