BOOK NOW
CALL 0408 666 539

Things to know before buying real estate in Victoria.

Home Under Contract

Whilst we are not Conveyancers, we encourage all property buyers to understand the terms of the contract of sale of real estate in Victoria. Prior to signing any contract to purchase real estate, engage a Conveyancer to review the Section 32 for the property. If you need, we can refer a Conveyancer who can assist you. 

Cooling off period Victoria

The cooling off period in Victoria is 3 business days commencing the next business day after you sign the contract of sale. For example, if you sign on Friday, Saturday or Sunday your cooling off period starts on Monday and ends at 5pm Wednesday, provided there were no Public Holidays during your cooling off period. To be clear as possible, the timing of the cooling off period in Victoria is not determined in any way by when the seller signs the contract. Due to this tight time frame, it is recommended that you provide a deadline for acceptance with any written offer you make, to allow time to act within your cooling off period.

What does subject to building and pest inspection mean?

If you negotiate successfully to have your offer accepted and you tick the boxes to include a building and pest report, you may be granted up to 14 days (not business days) to satisfy this clause in your contract.

A word of advice when shopping around for a building and pest inspector when you are under contract. Your first question should always be, “Are you a registered building practitioner and a pest control operator licenced under Victorian law? It may come as a surprise that less than 20% of Melbourne building and pest inspectors are registered building practitioners and a pest control operator licensed under Victorian law. If the inspector does not hold both current licences, they cannot help you under the terms of this legal contract. However, most property buyers do not ask this important question and as a result, often, unlicenced inspectors conduct these critically important building and pest inspections.

Why is this important? The bad news is, if you do not engage a fully licenced building and pest inspector during the time frame allowed under the building and pest report clauses, you may be forced to buy the property in its current condition at the contract price unless you forfeit your deposit. Pretty serious huh?

Here’s the good news. Building and Pest Inspection Melbourne has multiple fully insured, fully qualified building and pest inspectors who can help you under the terms of your contract.

You can see from our 5 star reviews, we regularly come to the rescue of inexperienced property buyers under contract who encounter the very serious problem of engaging an unregistered or unlicensed inspector.

Under the standard REIV contract of sale of real estate, the following applies:

  1. BUILDING REPORT

21.1 This general condition only applies if the applicable box in the particulars of sale is checked.

21.2 The purchaser may end this contract within 14 days from the day of sale if the purchaser:

(a) obtains a written report from a registered building practitioner or architect which discloses a current defect in a structure on the land and designates it as a major building defect;

(b) gives the vendor a copy of the report and a written notice ending this contract; and

(c) is not then in default.

21.3 All money paid must be immediately refunded to the purchaser if the contract ends in accordance with this general condition.

21.4 A notice under this general condition may be served on the vendor’s legal practitioner, conveyancer or estate agent even if the estate agent’s authority has formally expired at the time of service.

21.5 The registered building practitioner may inspect the property at any reasonable time for the purpose of preparing the report.

  1. PEST REPORT

22.1 This general condition only applies if the applicable box in the particulars of sale is checked.

22.2 The purchaser may end this contract within 14 days from the day of sale if the purchaser:

(a) obtains a written report from a pest control operator licensed under Victorian law which discloses a current pest infestation on the land and designates it as a major infestation affecting the structure of a building on the land;

(b) gives the vendor a copy of the report and a written notice ending this contract; and

(c) is not then in default.

22.3 All money paid must be immediately refunded to the purchaser if the contract ends in accordance with this general condition.

22.4 A notice under this general condition may be served on the vendor’s legal practitioner, conveyancer or estate agent even if the estate agent’s authority has formally expired at the time of service.

22.5 The pest control operator may inspect the property at any reasonable time for the purpose of preparing the report.

How much does a pre-purchase building and pest inspection cost?

Building and Pest Inspection Melbourne perform building and pest inspections in Greater Melbourne within 3 business days, with a detailed same-day report.

  • $450* + gst for pre-auction building and pest inspection
  • $500* + gst for pre-purchase building and pest inspection

*For up to 5 bedrooms. $90 + gst travel charge applies to suburbs more than 50km from the CBD.

Book your inspection or call us now on 0408 666 539 to find out more about our comprehensive building and pest inspections in Melbourne and surrounding areas by registered building practitioner and pest control operator licensed under Victorian law.

Relevant links:

What is an owner builder report?

5 tips to help you choose a reliable building and pest inspector

5 things to consider when buying your first home

3 common building and pest pitfalls to watch out for when purchasing a property

5 Important Reasons To Book A Building And Pest Inspection Before You Buy A Home

Share on: