What does a building and pest inspection cover, and do you need one?

A building and pest inspection is a physical check of the property's condition — structure, roof, timber, and evidence of termites or other pests. It finds problems a paper search cannot, and in most contracts it is a condition you must act on by a set date. For older or altered homes, a structural engineer or builder can review the report with you.

What a building and pest inspection is

A building and pest inspection is a physical inspection of the property, carried out by a qualified inspector before your contract goes unconditional. It is separate from the searches your conveyancer runs: searches check the records, an inspection checks the building itself. It is usually two things bundled together — a building inspection of the structure and a pest (timber pest) inspection for termites and other damage.

What it covers

  • Structure and movement — foundations, walls, significant cracking or subsidence.
  • Roof and roof space — leaks, sagging, damaged timbers.
  • Timber and moisture — rot, rising damp, drainage problems.
  • Pest activity — live termites, past termite damage, and the conditions that attract them.
  • Safety and obvious defects — and often the first signs of unapproved or non-compliant building work that a records search might only hint at.

What it generally does not cover: anything hidden behind walls, or specialist matters like asbestos testing, electrical or plumbing certification, or an engineering assessment — those need a specialist.

When to bring in a structural engineer or builder

A standard report is enough for most homes. But if the property is older, visibly altered or extended, or the report flags something structural, it is worth engaging a structural engineer (for movement or cracking) or a licensed builder to inspect and — ideally — walk the findings through with you, so you understand how serious it is and what it would cost to fix before you are committed.

The inspection is usually a contract condition

In most contracts the building and pest inspection is a condition with a deadline: you have a set period to complete the inspection and act on it — satisfy the condition, negotiate a repair or price adjustment, or give written notice to terminate. Miss the deadline and the condition is generally treated as satisfied, so you lose that exit.

  • QLD: building and pest is a standard condition in the REIQ contract, with the date set in the contract.
  • NSW: it is not a built-in condition — your solicitor or conveyancer must add it as a special condition, so ask before you sign.
  • VIC: most contracts can include a building and pest condition where required; confirm it is in yours.

For how conditions and their deadlines work, see complying with contract conditions. For the record-based side of due diligence, see dealing with adverse property search results.

General information only — not legal advice. Conveyancing law varies by state and changes over time; confirm your situation with a licensed conveyancer or solicitor.

In our experience

In practice: building and pest inspection

In our experience, the building and pest report is where the biggest surprises hide — and where a good one earns its fee many times over. We regularly see buyers treat it as a formality, then get a report back flagging active termites, previous unapproved work, or movement in a wall that a paper search would never have shown. The buyers who come through these calmly are the ones who booked the inspection early, so the report lands with time left on the condition to actually do something — renegotiate, ask for repairs, or walk away. On older or clearly altered homes, we have seen it pay to have a builder or engineer look at a flagged issue before committing, rather than guessing at the cost of a fix.

The takeaway: book the inspection as soon as the contract is signed, not the day before the condition expires — the report is only useful while you still have the right to act on what it finds.

Related explainers

Buying a property?

Lock in a fixed-fee conveyancer who'll flag issues like this one before you're committed — no surprises, no hidden costs.

Fixed fee · No hidden costs · Rated on Trustpilot

Ask Zoe