First Home Buyers

What Is a Building and Pest Inspection, and Is It Mandatory?

A building and pest inspection isn't a legal requirement anywhere in Australia — what it checks, and how buyers actually arrange one before settling.

An inspector checking the roof space of a house during a building and pest inspection

What is a building and pest inspection, and is it mandatory?

No — a building and pest inspection is not a legal requirement anywhere in Australia. No state or territory forces a buyer to get one before signing a contract or settling on a home. It’s an optional, privately arranged check, and most buyers choose to get one anyway because it’s the main way to find out about a property’s condition before they’re locked into buying it.

A “building and pest inspection” is usually two inspections in one report, or two separate reports from two different inspectors. The building inspection looks at the structural and visible condition of the property — cracking, damp, roofing, the subfloor, and obvious safety hazards. The pest inspection checks specifically for termites and other timber pests, which can cause serious structural damage well before it’s visible to the eye.

What the building side checks

A building inspector’s report typically covers the roof exterior and roof space, external walls and cladding, the subfloor and any visible footings, internal ceilings, walls and floors, moisture and drainage issues, and safety items like handrails and smoke alarms. It records the condition of what’s accessible and visible on the day — it isn’t an invasive test and doesn’t open up walls or move furniture.

What the pest side checks

A pest inspection looks for live termite activity, past termite damage, and conditions that make termite attack more likely — things like moisture build-up, timber-in-ground contact, or poor sub-floor ventilation. It generally covers the same accessible areas as the building inspection, plus any visible timber pest damage to structural members.

Why do most buyers arrange one anyway?

Because nothing else in the buying process tells you what’s actually going on inside the walls and under the floor. An agent’s listing describes the property the seller wants you to see; an inspection report describes what an independent professional found. An inspection doesn’t change how much deposit you need to buy (see our guide to how much deposit you need for a first home in Australia) — it protects the purchase itself, once the finance side is sorted.

How buyers actually get one done before they’re locked in

Since there’s no legal mandate, buyers use one of two mechanisms, depending on how the sale is structured.

Private treaty (negotiated sale, not at auction): the contract can include a special condition — commonly called “subject to building and pest inspection” — giving the buyer a set window to get the inspection done, and a way out or a renegotiation point if it turns up problems. Whether that condition is already on the form depends on the state: it’s added purely by negotiation in some, while others build it into the standard contract and just need it switched on. Queensland’s standard REIQ contract has a building and pest inspection clause printed into its Reference Schedule that only takes effect once an inspection date is filled in, and Victoria’s standard LIV/REIV contract carries an equivalent condition that only applies once the relevant box is ticked; in other states, such as Western Australia, it’s a special condition added by negotiation rather than something already sitting on the form. So it’s worth checking early whether it needs adding or is already on the form your state uses. A conveyancer or solicitor reviewing the contract (see our guide to what a conveyancer does) can advise on the wording and the timeframe.

Auction: there’s generally no cooling-off period once the hammer falls, so any building and pest inspection needs to happen before auction day, not after.

Cooling-off period: in six states and territories, a legislated window after signing gives buyers a limited chance to act on an inspection’s findings, or simply change their mind — Western Australia and Tasmania have no such statutory window at all.

Cooling-off periods, as at July 2026

State/territoryCooling-off period
NSW5 business days from exchange
VIC3 clear business days from signing
QLD5 business days from receiving the signed contract
SA2 clear business days from the contract
WANo statutory cooling-off period
TASNo statutory cooling-off period
ACT5 working days from the contract
NT4 business days from exchange

None of these periods apply to an auction purchase, in any state or territory that has one. NSW extends its period to 10 business days for an off-the-plan contract, and the standard 5-day period can be waived entirely with a solicitor’s certificate under section 66W. Withdrawing isn’t free everywhere: Victoria charges the greater of $100 or 0.2% of the price; Queensland up to 0.25%; the ACT fixes it at 0.25% of the purchase price; and South Australia instead caps what the vendor can retain at $100. The Northern Territory’s 4-day period carries no forfeiture at all, and Western Australia and Tasmania have no statutory cooling-off period in the first place — any cooling-off right there exists only if it’s negotiated into the contract. Check the relevant state authority before relying on any of this for a specific contract, since cooling-off rules and their exceptions are detailed and state-specific.

Who carries out the inspection?

Licensing and certification requirements for building and pest inspectors vary considerably by state, and there’s no single national rule. Queensland requires anyone carrying out a completed residential building inspection to hold a specific QBCC-issued licence; Victoria’s pre-purchase building inspectors are typically registered building practitioners recognised by the Building and Plumbing Commission; and in Tasmania, by contrast, the state’s own consumer affairs guidance notes a pre-purchase inspector doesn’t have to hold a building services provider licence at all. Check with your state’s fair trading or consumer affairs office for the position where you’re buying. In practice, buyers typically engage a qualified building inspector and a pest technician — sometimes the same person holds both qualifications — and ask for a written report rather than a verbal opinion, so there’s a record if a dispute comes up later.

What to weigh before deciding how much inspection to pay for

FactorGetting one doneSkipping it
CostExtra cost before you own the propertySaves that upfront cost
TimingNeeds a window before you’re locked inNo extra timing constraint
RiskSurfaces defects while you can still actUnknown condition carried forward

There’s no published fixed price for a building and pest inspection — the cost depends on the property’s size, age and location, and on whether it’s one combined report or two separate ones. Getting a few quotes is the practical way to compare, rather than expecting a standard figure. What it buys is information: a written record of the property’s condition before you’re contractually committed, which a conveyancer can then help you weigh against the rest of the contract (see also our guide to the hidden costs of buying a home in Australia, and the wider step-by-step stages of buying a house in Australia).

How do you decide what’s right for your purchase?

That’s not a question this article can answer for you. It depends on the property — an older weatherboard home carries different risk than a two-year-old townhouse — the price you’re paying relative to the cost of an inspection, and how much uncertainty you’re comfortable carrying into settlement. A licensed conveyancer or solicitor can advise on the right contract conditions for your purchase, and a licensed building and pest inspector can advise on the right scope for a specific property. Between them, they’re the right people to help you decide — not a general guide like this one.

Marcus Chun

Co-Founder & Head of Growth, MyBrix

Marcus Chun is the Co-Founder and Head of Growth at MyBrix. He drives MyBrix's partnerships and marketing, and the mission to make property investment accessible to more Australians.

Authors write general information only — they are not your adviser.