Builder License No:
512166802
512166802
You’ve had your offer accepted. The building and pest inspection is done. Then the report lands, and it’s longer than you hoped.
That’s exactly where one first-home buyer couple in Victoria found themselves. They posted their situation on Reddit, and Andy from Swell Building Inspections worked through it with host Jordan in our Pro Insights series.
Their report listed seven major defects, three safety hazards and 26 minor maintenance items. They weren’t worried about the minor items. The major defects fell into three groups:
Quotes for the bathroom came in at about $30,000 plus GST. They couldn’t get quotes for the floors because there were asbestos sheets under the house. Quotes for the wood rot were still on the way. They had a week before the contract went unconditional, and the agents were pushing hard for a quick decision.
Their plan was to ask for about $45,000 off at settlement. Was that reasonable?
Here’s the short answer: yes, you can negotiate, and buyers do it all the time. Base your figure on real trade quotes, lead with the defects nobody could have seen before you made your offer, and expect the agent to push back. In this case, Andy thinks an ask somewhere between $30,000 and $45,000 would be reasonable, but the agent’s reaction will depend a lot on the number you choose.
Strictly speaking, no. As Andy explains, a pre-purchase building inspection isn’t designed to be a bargaining chip. Its job is to give you a clear, honest picture of the property’s condition before you commit.
In practice, though, buyers use defects to negotiate all the time, and that’s perfectly legitimate. Once you know what’s wrong with a house and roughly what it will cost to fix, you’re in a much better position to decide what it’s worth to you.
The couple’s conveyancer and inspector both told them the decision was theirs. Andy agrees. Nobody can make the call for you. But you can make it with good information.
When an inspection turns up major defects, you generally have three paths:
The couple did the most important thing right: they went out and got quotes from trades. Andy calls this the best approach for working out a realistic amount to negotiate.
A figure based on real quotes is much harder for a vendor to dismiss than a figure plucked from the air. Where you can’t get a firm quote, as with floors over asbestos sheeting, note that the work has costs you can’t yet measure. Asbestos assessment and removal is specialist work and needs to be done by licensed professionals.
If you’re buying in Tasmania, the cost estimates in your report matter even more. Tasmanian purchase contracts commonly set a defect cost limit, and if the cost of defects goes over it, you may have the option to withdraw. Your conveyancer can confirm how your contract works.
Andy flags something many buyers don’t think about: the agent may come back and say the property has already been priced to reflect its defects, especially the obvious ones.
That’s why it pays to separate defects that were visible at the open home from the ones only an inspection could find. In this case, the bathroom leak was probably unknown before the house went on the market. That makes it the strongest part of the buyers’ case.
Andy was put on the spot here, and his answer was honest:
There’s no single right number. It depends on how much you want the property, how competitive the market is, and how much risk you’re comfortable carrying for the defects you couldn’t price.
The couple described the agents as aggressive and disorganised, and said they were pushing for quick decisions. That’s common, and it’s worth remembering who the agent works for: the seller.
If you’re working to a cooling-off or finance deadline, talk to your conveyancer about your timeframes and what your contract allows. Don’t let a deadline someone else set rush you into the biggest purchase of your life.
Yes. Using defects to negotiate is very common. The strongest approach is to back your request with trade quotes for the major defects in the report.
Base your number on the quoted cost of repairing the major defects, especially any that couldn’t have been seen before you made your offer. Expect the agent to push back, and be ready for a counter-offer.
That can be a fair point for obvious issues like old paintwork or a dated kitchen. It’s much weaker for hidden defects like a leaking shower or roof timber damage that only an inspection uncovered.
If the report shows several major defects with large repair bills, walking away is a reasonable choice. Check your contract conditions and deadlines with your conveyancer first.
Not all of them do. In a Swell report, defects that affect the structure or serviceability of a property come with an estimated repair cost, which gives you a starting point before you get trade quotes.
A building inspection won’t negotiate for you. What it gives you is a clear, documented picture of what you’re buying, so you can decide whether to walk away, go ahead, or negotiate with evidence behind you. Swell’s reports include repair recommendations and estimated costs for significant defects, which gives you a starting point before you get trade quotes.
Andy is a licensed builder with over 15 years of hands-on experience. Every Swell inspection comes with a plain-English report, usually within 24 hours, and a follow-up call to walk you through the findings. Wondering what an inspection costs? See our 2026 Hobart pricing guide.
Ready to book? Book your pre-purchase inspection or call 0483 935 688.
