Negotiating After a Building Inspection: How to Use Your Report

Receiving a building inspection report can change how you see a property.

A home that looked excellent during the viewing may suddenly have a list of issues—cracking, moisture concerns, roof defects, timber deterioration or other items requiring attention.

The next question is usually: What should I do with this information?

For buyers in Western Australia, an inspection report can help you better understand the property’s condition, but the report itself does not automatically determine your contractual rights. What you can request, negotiate or do next depends on the wording of your Offer and Acceptance (O&A) and any relevant special conditions.

Here is a practical way to approach the process.

1. Read the Whole Building Inspection Report

Don’t judge the property by the number of defects listed.

A detailed report may contain many observations ranging from relatively minor maintenance items to issues that deserve further investigation.

Start by separating findings into categories such as:

  • Significant building concerns
  • Structural observations
  • Moisture-related issues
  • Timber-pest findings
  • Roof or drainage concerns
  • Safety-related observations
  • Maintenance items
  • Cosmetic defects
  • Areas that could not be accessed
  • Items requiring specialist assessment

The nature and significance of an issue matter more than the length of the defect list.

If you’re still learning how inspections work, our guide explaining what Perth building and pest assessments involve provides useful background.

2. Speak to the Inspector Before Making Assumptions

Some inspection terminology can sound more alarming than the actual finding.

Instead of interpreting photographs or technical wording yourself, ask the inspector to explain the important observations.

Useful questions include:

  • How significant is this issue?
  • Is it isolated or widespread?
  • Is it currently affecting the building?
  • Does it appear to require further investigation?
  • What areas could not be inspected?
  • Should another specialist assess it?
  • Is it primarily maintenance-related?

The inspector’s role is to explain the building observations—not to make the property purchase decision for you.

3. Check Your WA Offer and Acceptance Contract

This is one of the most important steps.

In Western Australia, inspection conditions can be included in an Offer and Acceptance contract. The specific wording of those conditions matters.

Do not assume that finding a defect automatically means you can:

  • Cancel the contract
  • Require the seller to complete repairs
  • Reduce the purchase price
  • Delay settlement

Your options depend on your agreement and circumstances.

If you are uncertain about the meaning of an inspection condition, deadline or contractual obligation, seek advice from your settlement agent, conveyancer or legal professional.

4. Pay Attention to Inspection Deadlines

An excellent inspection report has limited practical value if an important contractual deadline is missed.

Once the property is under offer, identify:

  • When the inspection must occur
  • When the report or notice must be provided
  • Who must receive it
  • What type of defect is covered by the condition
  • Whether further assessment is permitted
  • What procedure applies if a relevant issue is found

Keep your inspection report, emails and related correspondence organised.

5. Separate Significant Defects From Minor Maintenance

Not everything identified in an inspection should be treated equally.

A loose fitting or small maintenance item is different from significant structural deterioration.

Similarly, a minor finish crack should not automatically be treated the same way as cracking accompanied by displacement, floor movement or other evidence of building distress.

Ask:

Does this affect the building’s condition or performance?

Does it require specialist investigation?

Is it likely to require meaningful rectification?

Or is it primarily a routine maintenance item?

This prioritisation helps you focus on the findings that actually matter.

6. Don’t Diagnose Structural Problems From Crack Width Alone

Cracks frequently become a major concern for property buyers.

However, a measurement alone does not explain why a crack exists.

An inspector may consider its:

  • Location
  • Direction
  • Pattern
  • Approximate width
  • Displacement
  • Distribution
  • Relationship to openings
  • Nearby floor condition
  • Moisture or drainage context
  • Other movement indicators

For example, our article on interpreting a 5mm crack in a Perth property explains why crack width should be considered alongside other evidence.

If the findings raise genuine structural concerns, further engineering assessment may be appropriate.

7. Obtain Specialist Advice Where Needed

A building inspection is broad, but it does not replace every specialist trade or investigation.

Depending on the report, further assessment may be recommended by a:

  • Structural engineer
  • Licensed electrician
  • Licensed plumber
  • Roofing professional
  • Appropriately licensed pest-management professional
  • Other relevant specialist

For example, a building inspector may identify visible electrical concerns but should not provide specialist electrical certification unless appropriately licensed to do so.

Likewise, suspected active termite issues may require pest-management advice in addition to understanding any resulting building damage.

Getting the right specialist information can make subsequent discussions more evidence-based.

8. Get Repair Information Before Negotiating

If a significant issue is identified, it can be useful to understand what rectification may involve.

Where appropriate, obtain:

  • Specialist recommendations
  • Written repair information
  • Quotes
  • Scope of proposed work
  • Additional investigation results

Avoid estimating repair costs purely from photographs or generic online figures.

Two defects that look similar can require very different repairs depending on their cause, location and extent.

9. Decide Which Findings Actually Matter to You

Different buyers have different priorities.

One buyer may be comfortable managing routine maintenance after settlement. Another may be unwilling to proceed where significant repair work is expected.

Use the report to distinguish between:

Items you accept

Items you want clarified

Items requiring specialist investigation

Items you consider important to address

This helps keep any discussions focused rather than attempting to negotiate every minor observation in the report.

10. Keep Negotiations Evidence-Focused

Where your contract and circumstances allow discussion of inspection findings, focus on documented evidence.

Instead of saying:

“The house has lots of problems.”

A more useful discussion is based on:

  • The specific finding
  • Its location
  • Inspector photographs
  • Inspector recommendations
  • Specialist advice where obtained
  • Relevant repair information

An inspection report is most useful when it turns a vague concern into a documented property issue that the relevant parties can understand.

What Can Buyers Potentially Discuss After an Inspection?

Depending on the contract and agreement between the parties, discussions might involve matters such as:

  • Rectification before settlement
  • Further specialist investigation
  • Clarification of previous repairs
  • Adjustments agreed between the parties
  • Accepting the property with the issue understood
  • Other negotiated arrangements

These are possible discussion outcomes, not automatic rights created by an inspection report.

Any agreement affecting the transaction should be properly documented through the appropriate professionals.

What If Termite Activity Is Found?

A termite finding requires careful interpretation.

First determine whether the report identifies:

  • Current activity
  • Previous termite damage
  • Conditions conducive to timber-pest activity
  • Evidence of previous treatment
  • An area that could not be fully inspected

Old timber damage does not necessarily establish current active termites.

Similarly, finding active termites does not by itself explain the extent of structural damage.

If timber-pest concerns arise during a purchase, our guide to professional termite inspection findings explains what inspectors may assess.

Treatment, where required, should be undertaken by an appropriately licensed pest-management professional.

What If Roof Leaks or Moisture Are Found?

Moisture findings deserve context.

A stain may represent a previous leak, an active leak or another moisture source.

The inspector may consider accessible evidence such as:

  • Moisture staining
  • Roof-space conditions
  • Roof components
  • Gutters and downpipes
  • Plumbing areas
  • Wet areas
  • External drainage

Further specialist investigation may be recommended where the source cannot be reasonably established during the inspection.

Don’t assume every water stain requires major repairs—but don’t dismiss unexplained moisture either.

What If the Property Is Being Sold “As Is”?

An “as is” sale makes careful due diligence particularly important.

Do not assume the phrase has one universal meaning or that it automatically removes or creates particular rights.

The contract and special conditions need to be reviewed carefully so you understand what you are agreeing to.

An independent inspection can still help you understand the property’s physical condition even where the contractual position differs from a standard transaction.

Should You Ask the Seller to Complete Repairs?

That depends on the issue and what your contract allows.

Where repairs are agreed, consider whether:

  • The scope is clearly documented
  • An appropriate contractor will perform the work
  • Relevant invoices or records will be available
  • The work can be checked where appropriate
  • Completion occurs within the agreed timeframe

For certain issues, buyers may prefer a different negotiated arrangement rather than having repairs performed before settlement.

That is a transaction decision to discuss with the professionals advising you.

Should You Reinspect Repairs?

A reinspection may be useful when significant rectification has been agreed.

Its purpose is generally to assess whether the agreed accessible work appears to have been completed—not to repeat the entire original property inspection unless that has specifically been arranged.

Keep the original report and repair agreement available so the relevant items can be compared.

Building Inspection vs Pre-Settlement Inspection

These inspections serve different purposes.

A pre-purchase building inspection assesses the accessible condition of the property and identifies significant building observations within its scope.

A pre-settlement inspection is generally part of the later transaction process and should not be treated as a substitute for proper building due diligence.

If you’re purchasing an established property, review our inspection option designed for Perth home purchases before relying on the final stages of the transaction to discover building concerns.

Frequently Asked Questions

Can I negotiate after a building inspection in WA?

Inspection findings can form part of discussions between parties, but what you can formally require depends on your O&A, special conditions and circumstances. Obtain appropriate contractual advice where needed.

Can I cancel a property contract if the inspection finds defects?

Not automatically. Your options depend on the wording of the contract and applicable inspection conditions. A defect appearing in a report does not by itself create a universal right to terminate.

Should I negotiate every defect in the report?

Usually it is more useful to understand and prioritise significant findings rather than treating every cosmetic or maintenance item equally.

What happens if a major structural issue is suspected?

The report may recommend further assessment by an appropriately qualified professional, such as a structural engineer, before decisions are made.

Can I ask for a lower purchase price after an inspection?

The parties may discuss different arrangements depending on the contract and circumstances, but an inspection report does not automatically entitle a buyer to a price reduction.

What if termites are found?

Determine whether the finding relates to active termites, previous damage or conducive conditions. Pest-management and further building assessment may be required depending on the circumstances.

Should I get repair quotes before negotiating?

For significant issues, appropriate repair information or specialist advice can help you understand the potential scope before discussing the finding.

Who should explain my contractual rights?

Your building inspector can explain inspection findings. Questions about your legal or contractual rights should be directed to an appropriately qualified settlement, conveyancing or legal professional.

Use Your Inspection Report to Make a Better-Informed Decision

A building inspection report is not simply a list of things that are wrong with a house.

Used properly, it can help you understand which findings matter, which require further investigation and which may simply require future maintenance.

If you’re buying in Perth, visit the main StructSure building inspection resource to explore our engineer-led inspection approach.

For buyers who want an independent assessment before proceeding with a purchase, see our detailed pre-purchase inspection solution.

Arrange your inspection with StructSure and use clear, documented findings to make your next property decision with better information.

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