Should I still buy?

Discussion in 'Repairs & Maintenance' started by blackberry88, 24th Jun, 2021.

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  1. blackberry88

    blackberry88 Member

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    Hi Expert,

    I have recently put in an offer for a split level single storey house (approximately 6-7 years old and built on the hill) and the building/pest report come back with major issue.

    As you can see in the pictures, there are travelling cracks to the exterior walls on the left and right side of the house and there are visible render patch repairs on those location.

    The building and pest inspector advised that I should get a structural engineer out for further evaluation.

    I have spoken to the agent and the vendor is willing to get a structural engineer out to confirm.

    Should I walk away or wait for the report from a structural engineer?
     

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  2. The Y-man

    The Y-man Moderator Staff Member

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    Did they actually label it a "major" issue?

    You are always going to get movement on a slope.

    What you can do is get an estimate $ on the fix, and adjust your offer.

    The Y-man
     
  3. wylie

    wylie Moderator Staff Member

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    I'd wait for the structural engineer's report.

    But make sure you don't miss any deadline for backing out of the contract. If you need an extension of the B&P report, get it in writing.
     
  4. blackberry88

    blackberry88 Member

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    Thanks for the reply and suggestion.

    Yes, it was marked as major defect on the report and I am still waiting for the advice from a structural engineer to see if there is any major issue.
     
  5. standtall

    standtall Well-Known Member

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    What state is this? I have seen all reports from a particular building inspector come back with indications of ‘possible major building defects’. There were 3 reports on my own purchases and another 3-4 for friends and family. Building inspectors are always quick to include the worst case scenario because they don’t want any liability down the road if there was indeed some issue.

    Outside render cracks are common and most likely can be result of poor workmanship. I wouldn’t base any conclusions on these pictures unless you find cracks inside the house (uneven roof, cracks in the corners and most importantly doors/windows jammed). Even then the cracks have to be bigger than a certain size and with consistent evidence of cracks getting bigger over time.

    Most houses on sloping blocks (if not all) have these issues and can be improved with fixing drainage. I once bought a house which had most of these issues and fixing overflowing gutters and putting AGI pipes in the backyard fixed the issues in a year or so.
     
    Propin and The Y-man like this.
  6. blackberry88

    blackberry88 Member

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    Thanks Wylie
     
  7. The Y-man

    The Y-man Moderator Staff Member

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    Have you actually put an offer in, or did you do the BP prior to offering?

    The Y-man
     
  8. blackberry88

    blackberry88 Member

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    Hi Standtall,

    This house is in Queensland around Logan area. And there are 3 settlement cracks inside the house which I think it’s normal.
     
  9. blackberry88

    blackberry88 Member

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    Hi Y-man,

    Yes, my offer already been accepted. I am current negotiate with the vendors to get them to pay for a structural engineer report.
     
  10. blackberry88

    blackberry88 Member

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    Just received below email from the agent:

    Owners do not feel that there is any structural damage to the area as they had not been notified of any such issues previously. They think it was perhaps previous tenants who may have hit it whilst using that area from the garage and then patched and painted unprofessionally. Owners are happy to look in to having that plastered/rendered.

    Should I accept this or get the structural engineer out for peace of mind?
     
  11. The Y-man

    The Y-man Moderator Staff Member

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    I see - I usually hold off making an offer until BP done (harder to negotiate pricing once offer is in, although I understand for a hot market why you would do this).

    It sounds like they'll take the "there is nothing wrong" route (understandably), so it's going to be a tougher decision for you.

    The Y-man
     
  12. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    The vendor is not a engineer but knew there was a issue so they patched it on the cheap. I would withdraw the offer on the basis of a evident major defect (dont discuss or argue just stick to his view) and tell them YOU will pay for a structural building egineer to report to YOU and then consider any future offer on that basis. If they dont agree. Walk on. You want to make a offer based on known defects. If you agree to a contract price with terms for a unspecified disputed defect you will struggle to negotiate a price down later. If you hav a engineers report that indicates its a $3K fix its different to one that shows major structal movement.

    Get solicitors advice if you already made a offer and need to cancel based on a defects condition. I fear you didnt write such a condition in the offer.
     
    wylie and Patrico1966 like this.

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