PRE PURCHASE INSPECTION AGREEMENT

PRE PURCHASE INSPECTION AGREEMENT

 

TYPE OF PROPOSED INSPECTION:

Pre-purchase inspection in accordance with AS 4349.1 – 2007 -Inspection of buildings Part 1: Pre-purchase inspections— Residential buildings.

For further information of AS4349.1-2007 a copy of the appropriate Standard with Appendices may be viewed on site or at our office where an original set is held. If you would like to view the Standard please contact us via email at service@tbiinspections.com.au or call 0488493003. Alternatively a copy can be purchased direct from Standards Australia.

Acceptance of Agreement

The Client has requested this service and accepted the quotation; the Client agrees that the inspection is to be carried out in accordance with the following clauses, which define the scope and limitations of the inspection and the report.

SCOPE OF THE INSPECTION & THE REPORT

The Inspection will be carried out in accordance with AS4349.1-2007. The purpose of the inspection is to identify major defects, the incidence of minor defects and safety hazards associated with the property at the time of the inspection.

1. The report does not include an estimate of the cost for rectification of the Defects. The overall condition of this building has been compared to similarly constructed and reasonably maintained buildings of approximately the same age. Areas for Inspection shall cover all safe and accessible areas.
2. The inspection shall comprise a visual assessment of the items listed in Appendix C to AS4349.1-2007 for the structures within 30 metres of the building and within the site boundaries including fences.
3. Subject to safe and reasonable access (See Definitions below) the Inspection will normally report on the condition of each of the following areas: –

The roof exterior	The exterior	The subfloor
The roof void	The interior	The Site

1. The inspector will report individually on Major Defects and Safety Hazards evident and visible on the date and time of the inspection. The report will also provide a general assessment of the property and collectively comment on Minor Defects which would form a normal part of property maintenance.

LIMITATIONS

1. Reasonable Access, areas where reasonable entry is denied to the inspector, or where safe and reasonable access is not available, are excluded from and do not form part of, the inspection. Those areas may be the subject of an additional inspection upon request following the provision or reasonable entry and access.an additional fee will be charged,
2. The inspector shall determine whether sufficient space is available allowing safe access. This will apply to roof spaces and under floor areas. The inspection shall include only accessible areas and areas that are within the inspector’s line of sight.
3. The following minimum access space is required:

Area	Access Hole	Crawl Space	Height
Sub Floor	400 x 500 mm	600 x 600 mm
Roof Interior	400 x 500 mm	600 x 600 mm	Accessible from a 3.6m ladder
Roof Exterior			Accessible from a 3.6m ladder

1. The inspector WILL NOT dig, gouge, force or perform any other invasive procedures including cutting, breaking apart, dismantling, removing or moving objects in any part of the building property, including furnishings, appliances or personal possessions.
2. The Inspection excludes the inside of walls, between floors, inside skillion roofing, inside the eaves, behind stored goods in cupboards, and other areas that are concealed or obstructed..
3. Furnishings or household items may conceal defects or problems if the property to be inspected is occupied, we recommend items be moved or removed, Items not removed will cause a limitation to the inspection, be aware that defects may be concealed from these items.
4. If Defects are concealed by the owner, we cannot accept any liability, You agree to indemnify us for any failure to find such concealed defects, If suspected signs are visible this will be added to the report.
5. Where our report recommends another type of inspection including an invasive inspection and report then you should have such an inspection carried out prior to the exchange of contracts or end of cooling-off period. If you fail to follow our recommendations then You agree and accept that You may suffer a financial loss and indemnify us against all losses that you incur resulting from your failure to act on our advice.
6. The Report is not a certificate of compliance that the property complies with the requirements of any Act, regulation, ordinance, local law or by-law, or as a warranty or an insurance policy against problems developing with the building in the future.
7. Timber Pest Activity. The Inspector WILL NOT look for or report on Timber Pest Activity;. It is recommended a Timber Pest Inspections in accordance with AS 4349.3-2010 be carried out by a fully qualified, licensed and insured Timber Pest Inspector.
8. If Timber Pest Damage is found visible within the inspector’s line of sight then it will be reported.
9. Asbestos: proper identification of asbestos requires laboratory testing, no inspection for asbestos will be carried out and no report on the presence or absence of asbestos will be provided. If suspected signs asbestos happened to be found during the Inspection this may be noted, , its recommended an Asbestos Inspection be carried out.
10. Mould (Mildew) and non-wood decay fungi: No inspection or report will be made for mould (Mildew) and non-wood decay fungi.
11. Magnesite Flooring: No inspection or report will be made for Magnesite Flooring, If suspected signs of magnesite happen to be noticed, Identification and advice from a Structural Engineer.is required.
12. An estimate of costs to repair defects is not included in a standard pre purchase report unless you request an additional estimate of costs to the report.
13. Any estimate prepared as part of a costs to repair defects is based on industry standard cost guides and the inspector’s own experience. Estimates are NOT a guarantee or quotation for work to be carried out, Costs to repair defects can be difficult to estimate, contractors view of the cost will vary, often the extent of work is not known until work has commenced.
14. Where the property is a strata or similar title, only the interior and immediate exterior of the building will be inspected as described in AS 4349.1-2007 Appendix B. it is advised that the client obtain an inspection of common areas prior to any decision to purchase.
15. Prevailing weather conditions may conceal defects at the time of inspection; such defects may only become apparent in differing weather conditions. We cannot accept any liability for any defects which may not be apparent due to at the time of the inspection.
16. The inspector cannot and does not offer an opinion or warranty as to whether the roof leaks or may be subject to future leakage. You agree the only way to determine whether a roof is absolutely water tight is to make observations during prolonged rainfall.
17. Shower Recesses: Tests may be made on shower recesses to detect leaks (if water is connected). The tests may not reveal leaks or show incorrect waterproofing if silicone liquid or masonry sealant has been applied prior to the inspection. Such application is a temporary waterproofing measure and may last for some months before breaking down. The tests on shower recesses are limited to running water within the recesses and visually checking for leaks. As showers are only checked for a short period of time, prolonged use may reveal leaks that were not detected at the time of inspection. You agree that no evidence of a current leak during inspection does not necessarily mean that the shower does not leak.
18. Rooms below ground level: If there are any rooms under the house or below ground level (whether they be habitable or non-habitable rooms). You agree that these may be subject to dampness and water penetration., especially during periods of heavy rainfall and this may not be evident upon initial inspection.

THIRD PARTY DISCLAIMER

1. We will not be liable for any loss, damage, cost or expense, whatsoever, suffered or incurred by any person other than the client in connection with the use of this Inspection..

COMPLAINTS PROCEDURE

1. In the event of any dispute or claim arising out of, or relating to the Inspection or the Report, You must notify Us as soon as possible of the dispute or claim by email, fax or mail. You must allow us (which includes persons nominated by Us) to visit the property (which visit must occur within twenty eight (28) days of your notification to Us) and give Us full access in order that We may fully investigate the complaint. You will be provided with a written response to your dispute or claim within twenty eight (28) days of the date of the inspection.

If You are not satisfied with our response You must within twenty one (21) days of Your receipt of our written response refer the matter to a Mediator nominated by Us from the Institute of Arbitrators Mediators of Australia. The cost of the Mediator will be borne equally by both parties or as agreed as part of the mediated settlement.

Should the dispute or claim not be resolved by mediation then the dispute or claim will proceed to arbitration. The Institute of Arbitrators and Mediators of Australia will appoint an Arbitrator who will hear and resolve the dispute. The arbitration, subject to any directions of Arbitrator, will proceed in the following manner:
a.) The parties must submit all written submissions and evidence to the Arbitrator within twenty one (21) days of the appointment of the Arbitrator; and.

b.) The arbitration will be held within twenty one (21) days of the Arbitrator receiving the written submissions.

The Arbitrator will make a decision determining the dispute or claim within twenty one (21) of the final day of the arbitration. The Arbitrator may, as part of his determination, determine what costs, if any, each of the parties are to pay and the time by which the parties must be paid any settlement or costs.

The decision of the Arbitrator is final and binding on both parties. Should the Arbitrator order either party to pay any settlement amount or costs to the other party but not specify a time for payment then such payment shall be made within twenty one (21) days of the order.

DEFINITIONS:

You should read and understand the following definitions of words used in this Agreement and the Report. This will help You understand what is involved in a property and building inspection, the difficulties faced by the inspector and the contents of the Report which We will provide You following the Inspection.

Acceptance Criteria: The Building shall be compared with a building which was constructed at approximately the same time, using practices which were generally accepted as normal for that time and that the property has received maintenance to ensure that the intended strength and serviceability of the building have not significantly deteriorated over time.

Access hole (cover) means a hole in the structure allowing safe entry to an area.

Accessible area is any area of the property and structures allowing the inspector safe and reasonable access within the scope of the inspection.

Building Element means a part of a building performing a particular function either singularly or in conjunction with other such parts.

Client means the person(s) or other legal entity for which the inspection is to be carried out. If ordered by the person(s)’s agent then it is agreed that the agent represents the person(s) and has the authority to act for and on their behalf. (See also “You/Your” below)

Defect means a variation or fault in material or a component or assembled element that deviates from its intended appearance or function.

Inspector means the company, partnership or individual named below that You have requested to carry out a Building Inspection and Report. (See also “Our/Us/We” below.)

Limitation means any factor that prevents full achievement of the purpose of the inspection.

Major defect means a defect of such significance that without correction would not avoid Safety Concerns, loss of the intended practical performance of the building element or an additional decline in the existing condition of the property inspected.

Minor defect means a defect which is not a Major Defect.

Person means any individual, company, partnership or association who is not a Client.

Property means the structures and boundaries up to thirty (30m) metres from the exterior walls of the main building but within the boundaries of the land on which the main building is erected.

Report means the document and any attachments issued to You by Us following Our inspection of the property.

Structural Inspection means the inspection shall comprise visual assessment of accessible areas of the property to identify major defects to the building structure and to form an opinion regarding the general condition of the structure of the property. The Report will not include those items noted in Clause A3 of AS 4349.1-2007 e.g. Condition of roof coverings, partition walls, cabinetry, doors, trims, fencing, minor structures, ceiling linings, windows, non-structural & serviceability damp issues, rising damp, condensation etc.

Safe and Reasonable Access does not include the use of destructive or invasive inspection methods or moving furniture or stored goods.

The Standard AS4349.1-2007 provides information concerning safe and reasonable access:

Only areas where reasonable and safe access was available were inspected. Access will not be available where there are safety concerns, or obstructions, or the space available is less than the following:

Roof Void – the dimensions of the access hole must be at least 500mm x 400mm, and, reachable by a 3.6M ladder, and, there is at least 600mm x 600mm of space to crawl;

Roof Exterior – must be accessible by a 3.6M ladder placed at ground level. Reasonable access does not include the use of destructive or invasive inspection methods. Nor does reasonable access include cutting or making access traps, or moving heavy furniture or stored goods.

Safe Access – Is at the inspector’s discretion and will take into account conditions existing on the property at the time of the inspection.

Our/Us/We means the company, partnership or individual named below that You have requested to carry out the property inspection and report.

You/Your means the party identified on the face page of this agreement as the Client, and where more than one party all such parties jointly and severally, together with any agent of that party.

You agree that in signing this agreement You have read and understand the contents of this agreement and that the inspection will be carried out in accordance with this document. You agree to pay for the inspection on delivery of the report.