Pre settlement inspection is a term for a building inspection required as part of the settlement process. This inspection can be used in new-build handover or as part of a homebuying contract. For example, when the buyer enters a contract of sale, a pre settlement inspection is typically allowed during the week before settlement to ensure that the property remains in the same condition as it was when the pre-purchase building and pest inspection report was prepared.
While some argue this stage is unnecessary, Altez believes that pre settlement inspection offers significant benefits to homebuyers. Many properties are dressed for sale, and experienced vendors or real-estate agents often conceal defects—painting over cracks, masking mould or water damage, or hiding termite damage beneath carpets and stored items. Altez has served tens of thousands of customers in Victoria and has seen homeowners deliberately conceal defects with large storage items.
Most pre-purchase building inspections follow Australian Standard AS 4349.1, which means inspectors cannot remove materials or move obstructions during their assessment. Some vendors take advantage of this limitation. By contrast, a pre settlement inspection usually involves the seller leaving the property reasonably clear—often removing furniture and belongings—so inspectors can access all areas. This step is essential because if we find major defects that were deliberately concealed, the vendor remains contractually liable to rectify them at their own expense.
If you have encountered situations where homeowners deliberately concealed major defects, Altez would love to hear your story. Please submit your experiences to admin@altezbuildinginspections.com.au.
