Final Inspection or Pre-settlement inspection checklist

As settlement approaches both seller and purchaser excite and start the preparation. Seller prepares the property to hand over on settlement and purchaser plan to takeover. To avoid any nasty or unexpected surprises, it is highly recommended to schedule the pre-settlement inspection which is usually 1- 4 days before settlement happening. 

We also know it as the final inspection, this step is a crucial one – especially if someone has been living in your new home since you signed the contract of sale, as this makes it more likely that the home won’t be in the same condition as when you bought it, which it’s required to be.

Should you go to the FINAL INSPECTION or Pre-Settlement Inspection?

Honestly, we highly recommend scheduling the final inspection to avoid any nasty surprises or any blame game on each other (seller and purchaser). The reasons you should conduct a final inspection include:

To ensure furnishings and appliances haven’t been removed from the premises. The most common items that are often removed from the premises are appliances like dishwashers, microwaves and telephones. Often light bulbs are removed and batteries are taken out of remote controls. That’s why it’s important to not only check that the fixtures and appliances are still in or on the property, but also that they are in working order.

To ensure nothing is left behind from the previous owner like old furniture or rubbish. You also don’t want them to have forgotten anything precious to them.

Make sure everything is in working order. Items can break down from the date of purchase to settlement. It’s important to have these items fixed before moving in.

Damage to the property can occur when the vendors move out of the property. Walls can be damaged or floors can be scratched. A little bit of wear and tear is to be expected, however, if there is major damage that was not visible when the house was first inspected, or after the building inspection, take photos of the damage and give these to your solicitor.

Your solicitor may be able to negotiate a reduction in the house price or get the vendors to fix the damage. This is why a final inspection is so important. If the damage had been found after settlement, the cost to repair would be from your wallet and that’s not fair to you.

When to inspect?

Each state has different laws regarding pre-settlement inspections. Some, like Victoria, stipulate that buyers are entitled to inspect the property at any reasonable time during the week before settlement.

Before settlement, call the selling estate agent to book a Final Inspection usually 2-4 days before. By this time usually vendor vacate the property and is mostly ready in the handover state.

It’s best to do it several days before settlement, too, so that the vendor has time to make any necessary repairs.

Who should inspect the property?

You should conduct the final settlement inspection yourself with your family and real estate agent even invite the seller so notes can be taken or any minor thing can be discussed to avoid any issue. 

What to inspect or your checklist?

Your primary checklist should include but not be limited to:

• Rooms, Floor and all area
• lights and electronics
• plumbing
• water heaters
• air conditioners, evaporative cooling and heaters system
• door handles and locks
• Kitchen appliances like Stove, Oven, Cooktop or dishwasher
• Bathroom – Shower or tiles etc
• Laundry / Toilet / Sinks
• curtains and blinds
• windows and glass
• pool and spa filters
• check for pests
• smoke alarms/letterbox / doorbell
• light fixtures including pendants
• landscaping features (properly maintained)
• garage door (check that works + remote)
• rubbish bins (check that present and in good condition)
• any items that may have been governed as part of the sale including display furniture.

You should check that the property is in good condition, that all rubbish has been removed from the site, and that any special contract conditions have been met.

If the property is in a worse condition than when you exchanged contracts – for example if there’s a new hole in the wall, broken window or burst water pipe – you can ask the vendor to make repairs accordingly and MUST report to your Conveyancer and Estate Agent to protect your interest.

Apart from that, you should ensure the property is clean and tidy… MOSTLY, the seller needs to do professional cleaning (Steam Cleaning throughout) and that all special conditions included in the contract of sale have been met.

You should also bring the contract of sale with you so that you can make sure the property contains all the items the vendor agreed to leave (inclusions) and is free from all the items the vendor agreed to take away (exclusions).

What should you do if you find a problem?

If you find something is broken or in a worse condition than it was during the first inspection, the purchaser MUST raise it with their legal representative immediately.

They will try to negotiate it as a special condition on the contract, which means the vendor must fix it before settlement or equivalent compensation amount MUST be withheld until that issue is fixed or if it cannot be fixed before settlement then the sale price can be reduced to cover the cost of repairs.

#FirstHomeBuyer #Vendor #Purchaser #PropertyForSale

It is always a stressful time when moving in or out of the property. There are lots of things to manage so this transition can be smooth and without any stress. Our intention is to undertake a FINAL INSPECTION to prepare an EXIT CONDITION REPORT based on the ENTRY CONDITION REPORT of your rental property as soon as possible after you hand your keys in at our office.

It is better to WALK through the PROPERTY on the DAY when you are HANDING OVER the KEYS… schedule a meeting for the day with one of the Property Managers. You will need to ensure that the items on the CHECKLIST listed below have been given due attention to make it presentable, (also for Carpet & Cleaning Invoices must be provided to us):

General:

• Carpet steam cleaning to be carried out by a professional contractor - a receipt will be required Hire machines are not acceptable; Highly recommend MUST be booked for the day before you handover the key;

• Pest control for fleas is required when a dog or cat has been kept or permitted on the premises;

• Clean all windows, doors, sliding doors, window tracks, fly screens, and security screens;

• Vacuum all sliding door tracks and wipe;

• Sweep and mop all floors, removing marks;

• Clean light fittings, remove all cobwebs (remove light fittings and wipe out dead bugs);

• Clean marks off walls and light switches;

• Wipe down and remove all dust from skirting boards;

• All curtains and blinds to be taken down and cleaned;

• Window & window sills to be cleaned inside and out;

• Clean all ceiling fans (is applicable);

• Please turn off the main power switch in the electrical meter box;

Kitchen

• Inside and outside all cupboards and doors

• Inside, outside, and around the stove, grill, and oven

• Inside, outside and behind refrigerator and dishwasher

• Exhaust fans and filter

• Sink, especially drain holes

• Rangehood and filter (filter can be removed and cleaned)

Bathroom

• All floors, mirrors, windows, and window tracks

• Inside and outside all cupboards

• Toilet, bath, glass screens, and sink

• Grouting to be free of all soap, residue, and mildew

• Clean inside built-in wardrobes and mirrored doors (wipe over scuff marks)

• Clean all ceiling exhaust fans in bathrooms & toilets

Laundry Area

• Inside, outside and behind the washing machine, rinse out the filter.

• Inside, outside and behind the dryer, remove lint.

• Clean laundry tub (inside the bottom cupboard of the tub)

• Clean ceiling exhaust fans.

Alfresco or Outdoor pergola or Veranda

• Sweep and mop, clean railings, and any perplex glass.

• Remove all cobwebs.

Garage or Sheds

• Sweep out and remove any oil residue from the concrete.

• Remove all cobwebs.

• Empty any bins and remove all rubbish (put the bin out if it is full).

• Close garage door.

Front and back yards

• Lawns and gardens to be mowed, gardens weeded and left tidy.

• No rubbish is to be left on the property.

If furnished

• Make sure that all items are in original rooms as per inventory and have been cleaned.

ADDRESS UPDATE: Who needs to know about your current address?

When you move to your new home there will be a number of people and organizations you will need to notify.

The following CHECKLIST includes some of the most common; we suggest you use it as a basis for creating your own personalized list to make a smooth TRANSITION.

Personal

• Family, Friends, and Relatives

• Government Agencies (VicRoads, Taxation Office & Electoral Commission)

• Employer

• Medical (doctor, Medicare, insurance)

• School/university

• Clubs and associations

• Finance (accountants, banks, credit cards, and superannuation)

• Insurance (contents, health, building, motor vehicle, special items)

• Department stores (accounts, store cards)

• Utility Connections (Electricity, Water, Gas, and Telephone)

• News or Travel agency

The Day when you hand over the keys

• Do a final walk-through with this checklist to ensure your property is in the correct handover state to avoid any tenancy disputes with your rental bond.

• Your carpets should be professionally cleaned by today;

• External areas returned to the same condition as the beginning of the lease;

• Bins emptied or placed out on collection point securely;

• Organize your keys and remote controls for all locks are ready to be returned;

Date of disconnection:

Make sure Electric and Water connections must be scheduled for disconnection for the next day of vacation date so Estate Agent can ensure all electricity’ equipment are in working order, and you take picture of meter readings;

Mail/Letter Diversion: consider the letter and mail diversion options at the local post office or online to divert for at least 2months so you won’t miss any important communication.