The WA Department of Commerce recommends that you make one of your contract conditions subject to a Building Inspection
If you are buying a home, the WA Department of Commerce recommends that you make one of your contract conditions subject to a Building Inspection that is satisfactory to you, the Purchaser. Please follow this link to the Department of Commerce website for further information and their recommendations:
Key Takeaways
- Including a building inspection condition in a contract can protect buyers by allowing decisions to be based on an independent assessment.
- A building inspection condition can help identify defects that may affect safety, future repair costs, or negotiation position.
- It’s important to organise the inspection early so you can meet contract timeframes and act on the findings.
- When buying in WA, buyers can refer to Consumer Protection guidance on property inspections and contract conditions.
- Combining a building inspection with a pest inspection can provide a more complete understanding of property risks.
https://www.consumerprotection.wa.gov.au/property-inspections
Make sure you organise a building and pest inspection before you go through with a purchase.
Contact us on (08) 9402 2560.
Why a Building Inspection Condition Matters
A property can look great during an open home, but there may be hidden issues that aren’t obvious to buyers. A building inspection condition is designed to give you a chance to obtain independent information about the property’s condition before you commit fully to the purchase.
This can be particularly important for older homes, renovated properties, or homes that appear to have had limited maintenance. It’s also relevant for newer properties, because workmanship and finishing issues can still exist even when a property looks “new” on the surface.
What “Satisfactory to the Purchaser” Means in Practice
When a contract condition is subject to a building inspection that is satisfactory to the purchaser, it generally means you can make decisions based on what the report reveals. If the inspection identifies issues that are unacceptable to you, you may be able to renegotiate, request repairs, or (depending on the contract wording and advice from your conveyancer) withdraw under that condition.
Importantly, “satisfactory” can be different for different buyers. Some people are comfortable proceeding with a purchase where defects are identified (as long as the cost and risk are understood). Others may decide certain defects are dealbreakers. This is where an inspection can help you make a clear, informed decision.
How to Use the Inspection Report
Once you receive your report, take time to understand:
- What is classified as a major defect vs minor defect
- Any safety hazards that may need urgent attention
- Moisture issues, drainage concerns, and conditions conducive to pests
- Whether specialist advice is recommended (for example, roofing, structural engineering, plumbing or electrical)
If you’re unsure how to interpret what the report is telling you, you may find it helpful to read our guide on translating building & pest inspection reports.
Why Combine Building and Pest Inspections
In many Australian homes, timber pests and moisture conditions can contribute to significant long-term damage. While a building inspection focuses on visible defects and the condition of accessible areas, a combined building and pest inspection broadens the assessment to include evidence of termite activity and pest-related risks.
To understand why termites can be a concern even in modern construction, see our article on concrete slabs & termite myths. If you’d like to learn more about pest inspections, you can also visit our pest & termite inspections guide.
Timing: When to Arrange the Inspection
Contract timeframes can be tight. If you intend to rely on a building inspection condition, organise your inspection as early as possible after signing (or as soon as your contract allows). This ensures you have enough time to:
- Book an inspector and obtain access
- Receive the report
- Clarify anything unclear with the inspector
- Speak to your conveyancer about next steps if issues arise
Frequently Asked Questions
What does it mean to make a contract “subject to a building inspection”?
It means the purchase is conditional on receiving a building inspection report and being satisfied with the findings. This condition can give buyers a pathway to negotiate, request action, or reconsider the purchase depending on what the inspection identifies.
Why does the WA Department of Commerce recommend a building inspection condition?
Because it helps buyers make an informed decision and reduces the risk of purchasing a property with serious defects that may be expensive to repair. The inspection provides independent evidence of the property’s condition.
Should I still get an inspection if the property looks well maintained?
Yes. Many issues are not visible during an open home, including roof space problems, subfloor moisture issues, or early pest activity. A professional inspection can identify risks before they become costly surprises.
What happens if the building inspection report finds major defects?
Depending on your contract terms and advice from your conveyancer, you may be able to renegotiate the purchase price, request repairs, or withdraw under the inspection condition. The key benefit is having evidence to support your decision.
Is a building inspection the same as a building and pest inspection?
No. A building inspection focuses on the condition of accessible areas and visible defects. A combined building and pest inspection also assesses evidence of termite activity and pest-related risks, which can be significant in many Australian properties.
Where can I read the WA Consumer Protection guidance on property inspections?
You can view the WA Consumer Protection information here: https://www.consumerprotection.wa.gov.au/property-inspections.
