Section 1 Building Inspection Agreement
Section 1 Building Inspection Agreement
Section 1 Building Inspection Agreement
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requires that every pre-purchase inspection has a pre-engagement agreement accepted by the home
purchaser (or their solicitor/conveyancer) before commencement of the inspection. To comply with
the standard and insurers requirements, read the information below.
SECTION 1
Building Inspection Agreement
TYPE OF PROPOSED INSPECTION ORDERED BY YOU:
Inspection & Report: The inspection will be of the Building Elements as outlined in Appendix C of AS4349.1-
2007 except for Strata title properties where the inspection will be according to Appendix B of AS4349.1-
2007.
A copy of the appropriate Standard with Appendices may be obtained from Standards Australia
(www.saiglobal.com/shop) at Your cost.
Upon receipt of Your acceptance of this agreement, the Building Inspection Provider service will carry out the
inspection and report ordered by You in accordance with this agreement and You agree to pay for the
inspection and the report on or before delivery of the report.
In ordering the inspection, You agree that the inspection will be carried out in accordance with the following
clauses, which define the scope and limitations of the inspection and the report.
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 interior
• The roof void
• The exterior
• The subfloor
• The roof exterior
4. 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.
5. Where a Major Defect has been identified, the inspector will give an opinion as to why it is a Major
defect and specify its location.
LIMITATIONS
6. The Inspector will conduct a non–invasive visual inspection which will be limited to those accessible
areas and sections of the property to which Safe and Reasonable Access (see Definitions below) is both
available and permitted on the date and time of the inspection. Areas where reasonable entry is denied to
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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.
7. The Inspection WILL NOT involve any invasive inspection including cutting, breaking apart,
dismantling, removing or moving objects including, but not limited to, roofing, wall and ceiling sheeting,
ducting, foliage, mouldings, debris, roof insulation, sarking, sisalation, floor or wall coverings, sidings,
fixtures, floors, pavers, furnishings, appliances or personal possessions.
8. The Inspection and Report compares the inspected building with a building that was constructed in
accordance with the generally accepted practice at the time of construction and which has been maintained
such that there has been no significant loss of strength and durability.
9. 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. The inspector WILL
NOT dig, gouge, force or perform any other invasive procedures.
10. 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.
11. The “Building” Inspection WILL NOT look for or report on Timber Pest Activity. You should have an
inspection carried out in accordance with AS 4349.3-1998 Timber Pest Inspections, by a fully qualified,
licensed and insured Timber Pest Inspector.
12. If Timber Pest Damage is found then it will be reported. The inspector will only report on the damage
which is visible.
13. ASBESTOS: No inspection for asbestos will be carried out at the property and no report on the
presence or absence of asbestos will be provided. If during the course of the Inspection asbestos or
materials containing asbestos happened to be noticed then this may be noted in the general remarks section
of the report. If asbestos is noted as present within the property then you agree to seek advice from a
qualified asbestos removal expert as to the amount and importance of the asbestos present and the cost
sealing or of removal.
14. MOULD (MILDEW) AND NON-WOOD DECAY FUNGI DISCLAIMER: No inspection or report will be
made for Mould (Mildew) and non-wood decay fungi.
15. ESTIMATING DISCLAIMER: Any estimates provided in the Report are merely opinions of possible
costs that could be encountered, based on the knowledge and experience of the inspector, and are not
estimates in the sense of being a calculation of the likely costs to be incurred. The estimates are NOT a
guarantee or quotation for work to be carried out. The inspector accepts no liability for any estimates
provided throughout this report where they occur you agree to obtain and rely on independent quotations for
the same work.
16. If the property to be inspected is occupied then You must be aware that furnishings or household items
may be concealing evidence of problems, which may only be revealed when the items are moved or
removed. Where the Report says the property is occupied You agree to:
b) Indemnify the Inspector from any loss incurred by You relating to the items listed in clause a)
above where no such statement is obtained.
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17. The Inspection Will not cover or report the items listed in Appendix D to AS4349.1-2007.
18. Where the property is a strata or similar title, the inspector will only inspect the interior and immediate
exterior of the particular unit requested to be inspected as detailed in Appendix B in AS4349.1-2007.
Therefore it is advised that the client obtain an inspection of common areas prior to any decision to
purchase.
19. The Inspection and Report WILL NOT report on any defects which may not be apparent due to
prevailing weather conditions at the time of the inspection. Such defects may only become apparent in
differing weather conditions.
20. You agree that We cannot accept any liability for Our failure to report a defect that was concealed by
the owner of the building being inspected and You agree to indemnify Us for any failure to find such
concealed defects.
21. 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.
22. The Report is prepared and presented, unless stated otherwise, under the assumption that the existing
use of the building will continue as a Residential Property.
In the event any litigation is brought as a result of the inspection and/or report, you indemnify us against any
legal fees and expenses incurred where you have not first allowed Us the opportunity to visit the property to
investigate the complaint and provide you with a written response within 28 days.
Note: In the ACT under the Civil Law (Sale of Residential Property) Act 2003 and Civil Law (Sale of
Residential Property) Regulations 2004 the report resulting from this inspection may be passed to the
purchaser as part of the sale process providing it is carried out not more than three months prior to listing
and is not more than six months old.
However, We may sell the Report to any other Person although there is no obligation for Us to do so.
26. Release
You release Us from any and all claims, actions, proceedings, judgments, damages, losses, interest, costs
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and expenses of whatever nature that the Person may have at any time hereafter arising from the
unauthorised provision or sale of the Report by You to a Person without Our express written permission.
27. Indemnity
You indemnify Us in respect of any and all liability, including all claims, actions, proceedings, judgments,
damages, losses, interest, costs and expenses of any nature, which may be incurred by, brought, made or
recovered against Us arising directly or indirectly from the unauthorised provision or sale of the Report by
You to a Person without Our express written permission.
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 that was constructed in accordance with
the generally accepted practice at the time of construction and which has been maintained such that there
has been no significant loss of strength and serviceability.
Access hole (cover) means an opening in the structure to allow for safe entry to carry out an inspection.
Accessible area means an area of the site where sufficient safe and reasonable access is available to allow
inspection within the scope of the inspection.
Building Element means a portion of a building that, by itself or in combination with other such parts, fulfils a
characteristic function.
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 fault or deviation from the intended condition of the material, assembly or component.
Inspector means the person or organisation responsible for carrying out the inspection. (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 sufficient magnitude where rectification has to be carried out in order to avoid
unsafe conditions, loss of utility or further deterioration of the property.
Report means the document and any attachments issued to You by the 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 defines the extent of safe and reasonable access as follows:
“The extent of accessible areas shall be determined by the inspector at the time of inspection, based on the
conditions encountered at the time of the inspection. The inspector shall also determine whether sufficient
space is available to allow safe access. The inspection shall include only accessible areas and areas that are
within the inspector’s line of sight and close enough to enable reasonable appraisal.”
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It also defines access to areas as defined in the Table below.
Access Table from AS 4349.1-2007
_____________________________________________________________________________
Area Access hole Crawl space Height
_____________________________________________________________________________
Roof interior 400mm x 500mm Crawl space: 600mm x 600mm Accessible from a 3.6m ladder
_____________________________________________________________________________
Roof Exterior Accessible from a 3.6m ladder
placed on the ground.
_____________________________________________________________________________
Table Notes:
1. Reasonable access does not include the cutting of access holes or the removal of screws and bolts or
any other fastenings or sealants to access covers. Sub floor areas sprayed with Chemicals should not be
inspected unless it is safe to do so.
Our/Us/We means the provider inspection service allocated Your order.You/Your means the party identified
on 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 by accepting 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 or before delivery of the report.
If You fail to reply to this email and do not cancel the requested inspection then You agree that You have
read and understand the contents of this agreement and that We will carry out the inspection on the basis of
this agreement and that We can rely on this agreement.
Note: Additional inspection requirements requested by You may incur additional expense in regard to the
cost of the inspection.
Are there Special Requirements / Conditions requested by the Client/Client’s Representative regarding the
Inspection and Report: Refer to the order.
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SECTION 2
Timber Pest Inspection Agreement
Type of proposed inspection ordered by You: Pre-Purchase Timber Pest Inspection AS4349.3
To avoid any misunderstanding as to the type of inspection We will refer and as to the scope of the resulting
report You should immediately read, and click on “I accept”. If You fail to click on “I accept” and do not cancel
the requested inspection then You agree that this document forms the agreement between You and the inspection
provider service. We will carry out the inspection and report as ordered by You in accordance with this
agreement and You agree to pay for the inspection and report on delivery of the report.
In ordering the inspection, You agree that the inspection will be carried out in accordance with the following
clauses, which define the scope and limitations of the inspection and the report.
INSPECTION.
1. In the case of Pre-purchase Timber Pest Inspections and all Timber Pest Inspections the inspection will be
in accord with the requirements of Australian Standard AS 4349.3-1998 Inspection of buildings Part 3:
Timber pest inspections.
2. In the case of Termite Inspections the inspection will be carried out in accord with AS 3660.2-2000
Termite management Part2: In and around existing buildings and structures.
3. A copy of these Australian Standards may be obtained from RAPID Solutions at Your cost by phoning
(02) 4954 3655 or from Standards Australia.
4. Termite Inspections are not recommended for pre-purchase inspections. AS 3660.2-2000 states this and
says that the standard that should be used is AS 4349.3-1998. However, if You request only a Pre-purchase
Termite Inspection then the inspection will be in accord with AS 3660.2-2000 and not AS 4349.3-1998.
5. All inspections (whether in accord with AS 4349.3-1998 or AS 3660.2-2000) will be a non–invasive visual
inspection and will be limited to those areas and sections of the property to which Reasonable Access (see
definitions below) is both available and permitted on the date and time of Inspection.
6. The inspector may use a probe or screwdriver to tap and sound some timbers and may use a sharp knife
to carry out some `splinter testing' on structural timbers in the sub-floor and/or roof void. Splinter testing
WILL NOT be carried out where the inspection is being carried out for a Client who is a purchaser and
not the owner of the property being inspected. The inspector may use a moisture meter to check moisture
levels in walls that back onto wet areas such as showers etc. Other than these areas the moisture meter
will not be used on other surfaces except where the visual inspection indicates that there may be a need
to further test the area.
7. The inspection WILL NOT involve any invasive inspection including cutting, breaking apart, dismantling,
removing or moving objects including, but not limited to, roofing, wall and ceiling sheeting, ducting, foliage,
mouldings, debris, roof insulation, sarking, sisalation, floor or wall coverings, sidings, fixtures, floors, pavers,
furnishings, appliances or personal possessions.
8. The inspector CANNOT see or inspect inside walls, between floors, inside skillion roofing, inside the eaves,
behind stored goods in cupboards, in other areas that are concealed or obstructed. Insulation in the roof void may
conceal the ceiling timbers and make inspection of the area unsafe. The inspector WILL NOT dig, gouge, force
or perform any other invasive procedures. An invasive inspection will not be performed unless a separate
contract is entered into.
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9. If the property to be inspected is occupied then You should be aware that furnishings or household items may be
concealing evidence of Timber Pests, which may only be revealed when the items are moved or removed. In
some case the concealment may be deliberate. If You are the purchaser and not the owner of the property to be
inspected then You should obtain a statement from the owner as to any timber pest activity or damage to the
property known to them and what, if any, treatments have been carried out to the property. It is important to
obtain copies of any paperwork issued and the details of any repairs carried out. Ideally the information obtained
should be given to the inspector prior to the inspection being conducted.
SCOPE OF THE INSPECTION & REPORT.
10. In the case of Pre-purchase Timber Pest Inspections or Timber Pest Inspections in accord with AS 4349.2-1998
the Inspection and resulting Report will be confined to reporting on the discovery, or non discovery, of
infestation and/or damage caused by subterranean and dampwood termites (white ants), borers of seasoned
timber and wood decay fungi (rot), present on the date and time of the Inspection.
11. In the case of all Termite Inspections in accord with AS 3660.2-2000 inspections the Inspection and resulting
Report will. be confined to reporting on the discovery, or non discovery, of infestation and/or damage caused by
subterranean and dampwood termites (white ants) present on the date and time of the Inspection. Borers of
seasoned timber will not be reported on. Wood decay fungi (rot) will not be reported on but may be reported as a
conducive condition for termite activity.
12. In both cases the Inspection will not cover any other pests and the Report will not comment on them. Dry wood
termites (Family: KALOTERMITIDAE) and European House Borer (Hylotrupes bujulus Linnaeus) will be
excluded from the Inspection.
13. The inspection will report any evidence of a termite treatment that happens to be found. Where evidence of a
treatment is reported then the Client should assume that the treatment was applied as a curative and not as a
preventative. You should obtain a statement from the owner as to any treatments that have been carried out to the
property. It is important to obtain copies of any paperwork issued.
14. MOULD: Mildew and non wood decay fungi is commonly known as Mould and is not considered a Timber
Pest. However, Mould and their spores may cause health problems or allergic reactions such as asthma and
dermatitis in some people. No inspection for Mould will be carried out at the property and no report on the
presence or absence of Mould will be provided. Should any evidence of Mould happen to be noticed
during the inspection, it will be noted in the General Remarks section of this report. If Mould is noted as
present within the property and you are concerned as to the possible health risk resulting from its presence then
you should seek advice from your local Council, State or Commonwealth Government Health Department or a
qualified expert such as an Industry Hygienist.
LIMITATIONS.
15. Nothing contained in the Report will imply that any inaccessible or partly inaccessible area(s) or section(s) of
the property are not, or have not been, infested by termites or timber pests. Accordingly the Report will not
guarantee that an infestation and/or damage does not exist in any inaccessible or partly inaccessible areas or
sections of the property. Nor can it guarantee that a future infestation of Timber Pests will not occur or be found.
DETERMINING EXTENT OF DAMAGE.
16. The Report will state timber damage found as 'slight', `moderate', `moderate to extensive' or `extensive'. This
information is not the opinion of an expert, as the inspector is not qualified to give an expert opinion. The Report
will not and cannot state the full extent of any timber pest damage. If any evidence of Timber Pest activity
and/or damage resulting from Timber Pest activity is reported either in the structure(s) or the grounds of the
property, then-You must assume that there may be some structural or concealed damage within the
building(s). An invasive Timber Pest Inspection (for which a separate contract is required) should be carried
out and You should arrange for a qualified person such as a Builder, Engineer, or Architect to carry out a
structural inspection and to determine the full extent of the damage and the extent of repairs that may be
required.
17. If Timber Pest activity and/or damage are found, within the structures or the grounds of the property, then
damage may exist in concealed areas, eg framing timbers. In this case an invasive inspection is strongly
recommended. Damage may only be found when wall linings, cladding or insulation are removed to reveal
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previously concealed timber. You agree that neither We nor the individual conducting the Inspection is
responsible or liable for the repair of any damage whether disclosed by the report or not.
COMPLAINTS PROCEDURE
18. In the event of any dispute or claim arising out of, or relating to the Inspection or the Report, or any alleged
negligent act or omission on Our part or on the part of the individual conducting the Inspection, either party may
give written Notice of the dispute or claim to the other party. If the dispute is not resolved within twenty one (21)
days from the service of the written Notice then either party may refer the dispute or claim to a mediator
nominated by Us. The cost shall be met equally by both parties or as agreed as part of the mediated settlement.
Should the dispute or claim not be resolved by mediation then one or other of the parties may refer the dispute or
claim to the Institute of Arbitrators and Mediators of Australia who will appoint an Arbitrator who will resolve
the dispute by arbitration. The Arbitrator will also determine what costs each of the parties are to pay.
In the event any litigation is brought as a result of the inspection and/or report, you indemnify us against any
legal fees and expenses incurred where you have not first allowed Us the opportunity to visit the property to
investigate the complaint and provide you with a written response within 28 days.
THIRD PARTIES.
19. The Report will be made solely for the use and benefit of the Client. No liability or responsibility
whatsoever, in contract or tort, is accepted to any third party who may rely on the report wholly or in
part. Any third parties acting or relying on the report, in whole or in part will do so at their own risk.
Note: In the ACT under the Civil Law (Sale of Residential Property) Act 2003 and Regulations the report
resulting from this inspection may be passed to the purchaser as part of the sale process providing
it is carried out not more than three months prior to listing and is not more than twelve months old.
DEFINITIONS.
20. 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 Timber Pest Inspection or a Termite Inspection, the
difficulties faced by an inspector and the contents of the Report with which We will provide You following
the inspection.
Access hole means a hole in the structure allowing entry to an area.
Active means the presence of live timber pests at the time of inspection.
Client means the person(s) for whom the inspection is to be carried out. If ordered by the client's Agent then it is
agreed that the Agent represents the client and has the authority to act for and on behalf of the client.
High moisture readings means a reading on a moisture meter that is higher that the norm for other parts of the
structure. Such high reading should be investigated by invasive means as the presence could indicate a leak or
may indicate timber pest activity and damage.
Inactive means the absence of live timber pests at the time of inspection but evidence such as workings,
damage, mudding or exit holes is found at the time of the inspection.
NOTE: Where visual evidence of inactive termite workings and/or damage is located, it is possible that termites may still be
active in the immediate vicinity and the termites may continue to cause further damage It is not possible, without benefit of
further investigation and inspections over a period of time, to ascertain whether any infestation is active or inactive.
Continued, regular, inspections are essential.
Property means the structures, gardens, trees and fences etc up to fifty (50) metres from the exterior walls
of the main building but within the boundaries of the land on which the main building is erected. Unless
You specifically order in writing that structures, gardens, trees and fences etc outside the fifty (50) metres
from the exterior walls of the main building be inspected no such inspection will be carried out.
Reasonable Access means access to areas as defined in AS 4349.3 - 1998. The standard defines reasonable
access as access to "areas where safe, unobstructed access is provided and the minimum clearances
specified in the Table below are available or, where these clearances are not available, areas within the
consultant's unobstructed line of sight and within arm's length. Reasonable access does not include removing
screws and bolts to access covers." 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 furniture
or stored goods.
Access Table
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Area Access hole Crawl space Height
Roof void 450 x 400mm Clearance above access point and in Accessible from 2.1m
the stepladder or
crawl space: 600 x 600mm 3.6m ladder placed against a
wall.
Subfloor 500 x 400mm Vertical clearance: Timber Floor
400mm to bearer, joist or other
obstruction.
Concrete floor: 500mm
Roof Exterior Accessible from 3.6m ladder.
Report means the report issued to You by Us following Our inspection of the property.
Termites means subterranean and dampwood termites (white ants) and does not include Dry wood termites.
Timber Pests means subterranean and dampwood termites (white ants), borers of seasoned timber and wood
decay fungi (rot).
Our/Us/We means the provider inspection service allocated Your order.
You/Your means the party identified as the Client on the order, and where more than one party all such
parties jointly and severally, together with any agent of that party.
UNDERSTANDING.
21. If there is anything in this agreement that You do not understand then, prior to the commencement of the
inspection, You must contact Us by phone or in person and have Us explain and clarify the matter to your
satisfaction. Your failure to contact Us means that You have read this agreement and do fully understand the
contents.
22. You agree that replying to this email with the words “I accept” in the body, 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 or before delivery of the report.
23. If You fail to reply to this email with “I accept” in the body to US and do not cancel the requested
inspection then You agree that You have read and understand the contents of this agreement and that we
will carry out the inspection on the basis of this agreement and that we can rely on this agreement.