What a building inspection covers
A building inspection is conducted in accordance with the current Australian Standards for building inspections. The inspector conducts a visual assessment of the property's accessible areas. They are looking for defects, damage, and safety concerns that a buyer would not normally notice.
A standard building inspection covers:
Structure
Load-bearing walls, beams, lintels, and framing. The inspector checks for movement, cracking, or signs that the structure has shifted.
Roof exterior
Tiles, metal sheeting, flashing, gutters, downpipes, and fascia. They look for broken tiles, rust, poor drainage, and signs of leaks.
Roof cavity
Timber framing, rafters, battens, and insulation. The inspector checks for sagging, water staining, inadequate ventilation, and pest damage.
External walls
Brickwork, cladding, render, and weatherboards. They check for cracks, bulging, rising damp, and deterioration.
Internal walls and ceilings
Plasterboard, cornices, and paint. Cracks, water stains, and signs of movement.
Foundations and stumps
Concrete slab, brick piers, timber stumps, or steel posts. Inspectors check for cracking, settling, and deterioration.
Subfloor
The space under the house, if accessible. They check for moisture, ventilation, drainage, and damage to bearers and joists.
Plumbing (visible)
Taps, toilets, visible pipework, and hot water system. Standard inspections do not include sewer or drain camera inspections. The inspector checks visible fixtures, taps, and signs of leaks. A CCTV drain inspection ($300 to $500) is a separate engagement and is recommended for properties over 30 years old or with large trees near sewer lines.
Electrical (visible)
Switchboard, power points, and visible wiring. A building inspection is a visual assessment. The inspector is not a licensed electrician and cannot test wiring or circuits. They can note visible issues like old ceramic fuse boards, exposed wiring, or missing safety switches. For any electrical concerns, engage a licensed electrician separately.
Moisture and ventilation
The inspector uses a moisture meter to check walls, floors, and wet areas for dampness. They note any rooms with poor ventilation.
Safety
Balustrades, handrails, steps, smoke alarms, and pool fencing (if applicable). Basic safety compliance checks.
The inspection is visual and non-invasive. The inspector will not move furniture, lift carpet, remove wall linings, or dig around foundations. If an area is inaccessible (locked room, no roof hatch, stored items blocking the subfloor), they will note it in the report as a limitation.
What a pest inspection covers
A timber pest inspection is conducted in accordance with the current Australian Standards for timber pest inspections. The inspector looks for evidence of timber pests and the conditions that attract them.
They check for:
- Termites. Active colonies, mud tubes, damaged timber, and workings. The inspector may use a moisture meter, thermal imaging camera, or tapping tools to detect activity behind walls.
- Borers. Small holes in timber from wood-boring insects. Common in older homes with untreated hardwood.
- Wood rot (fungal decay). Soft, crumbling, or discoloured timber caused by prolonged moisture exposure.
- Moisture damage. Damp subfloors, leaking showers, and poor drainage that create conditions for pest activity.
- Conducive conditions. Things that make a property more attractive to termites. These include soil-to-timber contact, stored timber against the house, poor subfloor ventilation, garden beds built up against walls, and leaking taps or pipes.
Termite damage is not covered by standard home insurance. In parts of Australia, particularly Queensland, northern New South Wales, and northern Western Australia, termite risk is significant. A pest inspection is not optional in these areas. It is essential.
How to read the report
Inspection reports can be 30 to 60 pages long. Most of it is standard template text and photos. Here is how to navigate it efficiently.
Reports categorise findings into three levels:
Major defects
Significant problems that need urgent attention or specialist assessment. Examples: large structural cracks, active termite damage, significant roof damage, or failing foundations. These are the ones that affect the safety, liveability, or value of the property. Read these first.
Minor defects
Problems that are not urgent but should be addressed in the short to medium term. Examples: cracked tiles, minor weathering on timber, small areas of peeling paint, or a slow-draining gutter. These are normal wear and tear items. Every house has them.
Maintenance items
Routine upkeep. Examples: repainting external timber, cleaning gutters, servicing the hot water system, or replacing worn seals. These are not defects. They are part of owning a house.
Cosmetic vs structural. A hairline crack in plaster is cosmetic. A diagonal crack in brickwork wider than 5mm that runs from a window to the ground generally indicates a structural issue. The report should make this distinction clear. If it does not, ask the inspector to clarify.
Common jargon. "Efflorescence" means white salt deposits on brickwork, usually from moisture. "Spalling" means concrete or brick that is flaking or crumbling. "Subsidence" means the ground under the building is sinking. "Rising damp" means moisture moving up through the walls from the ground. "DPC" is the damp-proof course, a barrier in the wall that stops moisture rising.
Start with the summary page. That is where the inspector lists the major findings. Then read the full sections for anything flagged as a major defect. You do not need to read every line of a 50-page report if the summary is clean.
What to do if the report finds problems
Finding problems in an inspection report does not mean you should walk away. Most reports find something. The question is whether the problems are manageable and whether the price reflects the condition of the property.
You have several options:
Negotiate on price
Get quotes for the repair work, then ask the vendor to reduce the price by that amount. This is the most common approach. Your conveyancer or solicitor can help you draft the request. Be specific: "The building report identified roof repairs estimated at $8,000. We request a $8,000 reduction in the purchase price."
Request repairs before settlement
Ask the vendor to fix the issue before you settle. This works best for clearly defined jobs (replace the hot water system, fix the leaking shower). It works less well for larger jobs where the quality of the repair matters. If the vendor arranges the work, you do not control who does it or how well it is done.
Get specialist quotes
Before negotiating, get a qualified tradesperson to quote on the work. An inspector can identify a problem, but a specialist gives you the actual cost. This strengthens your negotiating position and helps you make an informed decision.
Walk away
If the report reveals major structural problems, active termite damage, or issues that will cost more to fix than you are comfortable with, you can exercise your inspection condition and withdraw from the contract. This is exactly what the condition is there for. There will be other properties.
If you bought at auction, you do not have these options. The contract is unconditional. This is why getting an inspection before auction day is effectively essential, even though it is not legally required.
When you need a specialist
A building inspector is a generalist. They can identify problems, but some issues need a specialist to diagnose properly and quote on.
Structural engineer
Large cracks in brickwork or concrete, signs of foundation movement, sagging floors, or bowing walls. An engineer can tell you whether the movement is old and stable or active and worsening.
Licensed electrician
Old switchboard (ceramic fuses), aluminium wiring, or any electrical concerns flagged in the report. A building inspector checks visually but is not qualified to test circuits.
Licensed plumber
Sewer line condition, drainage issues, or older galvanised pipes. A plumber can run a camera through the sewer to check for tree root intrusion or collapsed pipes.
Arborist
Large trees close to the house. An arborist can assess whether the tree is healthy, whether its roots could damage foundations or sewer lines, and whether it needs to be removed or managed.
Asbestos assessor
The inspector notes materials that may contain asbestos but cannot confirm without testing. An assessor takes samples and sends them to a lab. Homes built before 1990 in Australia may contain asbestos materials.
Your inspector should recommend a specialist when something is outside their scope. If they flag an issue but do not suggest further investigation, ask them directly: "Do I need a specialist to look at this?"
Shared vs independent reports
Some selling agents provide a building inspection report with the property listing. This is common at auctions and in some states. Here is how to think about it.
Pros of a vendor-supplied report: It is free. It is already done, so you can read it before deciding whether to bid. It saves you the cost of commissioning your own report.
Cons of a vendor-supplied report: The vendor paid for it. The inspector was engaged by the selling agent, not by you. The inspector's client relationship is with the vendor, not with you. Some vendor reports may not be as thorough as one you commission yourself. You also cannot ask the inspector follow-up questions with the same expectation of candour.
A vendor-supplied report is a useful starting point. It gives you information you would not otherwise have. But if you are serious about the property, particularly for a high-value purchase, commissioning your own independent report gives you an inspector who works for you and answers to you.
If the property is going to auction and you do not want to spend $500 to $800 on a report for a property you might not win, reading the vendor's report and attending the open home with a careful eye is a reasonable approach. Just know what you are working with.
Seven questions to ask your inspector
1. What are your qualifications?
Look for a licensed builder, registered building practitioner, or someone with specific building inspection qualifications. Requirements vary by state. In Victoria, building inspectors must hold a building practitioner registration. In Queensland, they need a QBCC licence.
2. Do you carry professional indemnity insurance?
This protects you if the inspector misses something significant. A reputable inspector will have current professional indemnity and public liability insurance. Ask for proof if you want to verify.
3. What is included in the inspection?
Confirm whether the price covers building only, pest only, or combined. Ask whether they check the roof cavity and subfloor. Some inspectors charge extra for these, but they are where many problems hide.
4. Do you physically enter the roof cavity and subfloor?
Some inspectors only look through the access hatch with a torch. A thorough inspection means getting into the roof space and under the house (where safe and accessible). This is where you find termite damage, moisture issues, and structural problems that are invisible from inside the house.
5. What is the turnaround time for the report?
Most inspectors deliver the written report within 24 to 48 hours. If you are working within a 14-day inspection period, timing matters. Confirm before you book.
6. Will you attend the inspection in person?
This sounds obvious, but some companies send different people depending on availability. You want to know who is inspecting your property and that they are qualified.
7. Can I attend the inspection?
Most inspectors are happy for you to be there. Attending lets you see the issues firsthand, ask questions on the spot, and understand the property better than any report can convey. It usually takes 1.5 to 3 hours depending on the property size.
Red flags in a report
Most inspection reports find minor issues. That is normal. These are the findings that warrant serious attention.
- Major structural defects. Large cracks (generally considered significant when wider than 5mm), significant movement in walls or foundations, or sagging roof lines. These can cost tens of thousands to repair and often indicate ongoing ground movement.
- Active termite damage. If termites are currently active in the property, you need a pest management plan before anything else. Treatment, repairs, and ongoing monitoring can be expensive.
- Significant moisture. Widespread damp, rising damp through multiple walls, or high moisture readings throughout the subfloor. Moisture causes timber decay, mould, and attracts termites. The source needs to be identified and fixed.
- Asbestos-containing materials. Common in Australian homes built before 1990. Asbestos is not dangerous if it is in good condition and undisturbed. It becomes a concern if it is damaged, deteriorating, or you plan to renovate. Removal must be done by a licensed removalist and can cost $5,000 to $30,000+ depending on the scope.
- Subsidence or sinking. Uneven floors, doors that do not close, or cracks that follow a pattern suggesting the building is moving. This needs an engineer's assessment.
A red flag does not automatically mean "do not buy". It means "get more information before you decide". An engineer's report on structural cracking might tell you the movement is old and stable. A pest treatment quote might be $3,000. Knowing the facts puts you in control.
Red flags in an inspector
The quality of the inspection depends entirely on the person doing it. Watch out for these signs.
- No professional indemnity insurance. This is a basic requirement. If they do not carry it, find someone who does.
- Will not enter the roof cavity or subfloor. These are the two most important areas to inspect. If the inspector only looks through the hatch, you are not getting a thorough inspection. There are legitimate reasons an inspector might not enter these spaces (safety, access), but they should explain why and note it as a limitation.
- Rushes the inspection. A proper building and pest inspection takes 1.5 to 3 hours for a standard house. If someone is in and out in 30 minutes, they are not checking everything.
- Verbal-only report. You need a written report with photos. A verbal summary over the phone is not enough. The written report is your record. You need it for negotiations, for your conveyancer, and for your own reference.
- Unwilling to answer questions. A good inspector explains their findings clearly and welcomes your questions. If they are evasive or dismissive, that is a concern.
- Recommended by the selling agent. This is not necessarily a red flag, but be aware that the inspector may have a business relationship with the agency. You are not obligated to use the agent's suggested inspector. Finding your own ensures the inspector's only obligation is to you.
Strata and body corporate inspections
If you are buying a unit, townhouse, or anything with a body corporate, a strata inspection report ($200 to $400) is a separate and essential check. It reviews the body corporate records, sinking fund balance, planned special levies, and any building defect claims. This is distinct from the building inspection of your individual lot.
A building inspection tells you about the condition of your unit. A strata report tells you about the financial health and governance of the building as a whole. Both matter.
If something goes wrong
If an inspector is negligent, you may have recourse through their professional indemnity insurance, a complaint to the state building authority (e.g. VBA in Victoria, QBCC in Queensland), or civil action. This is one reason to always confirm your inspector carries current professional indemnity insurance before engaging them.
Important: This guide is general information only. It is not professional building advice and should not be relied upon as a substitute for a qualified building inspection.
Building and pest inspections are visual assessments conducted in accordance with the current Australian Standards for building and timber pest inspections. They have inherent limitations and may not identify all defects, particularly those concealed behind walls, under floors, or in inaccessible areas. The standards define the scope and limitations of these inspections.
housematch.com.au does not provide building inspection services and does not receive referral fees or commissions from any inspection company.
Before making decisions based on an inspection report, discuss the findings with your inspector, your conveyancer or solicitor, and any relevant specialist.
To the extent permitted by law, housematch.com.au and its operators accept no liability for any loss or damage arising from reliance on the information in this guide.
Last reviewed: March 2026.