Mon, 12 May 2014 10:31:19 +1000
The Civil Law (Sale of Residential Property) Act 2003 and accompanying regulations require all sellers of residential property to obtain a pest inspection report and building inspection report for their property before it is offered for sale. The regulations set out how a pest inspection report and a building inspection report should be prepared.
Building and Pest Inspectors are also required to advise when reports on a property have been prepared for an intending seller. This information is recorded in a database.
Members of the public may access this database to check whether/when/who prepared reports for a property address.
The Office of Regulatory Services (ORS) has prepared this page to assist building and pest inspectors in understanding that there are requirements under the Civil Law (Sale of Residential Property) Act 2003 that affect how they carry on business.
The Civil Law (Sale of Residential Property) Act 2003 establishes a process for the making and exchange of contracts for the sale of residential property in the ACT. The Act details documents that must be obtained, and made available to the buyer for inspection, before a residential property is offered for sale. These documents include building inspection reports and pest inspection reports. The aim is to enhance consumer protection by giving buyers all the relevant information about the property they intend to purchase.
Requirements of the building and pest inspector
Building inspection reports
Pest inspection reports
Requirements of the building and pest inspector
Under the Civil Law (Sale of Residential Property) Act 2003 building and pest inspectors are required to lodge certain details with the Territory pertaining to pest and building inspections undertaken. The Act states that the following information will be given to the Territory for inclusion in a publicly available register:
the fact that the report has been prepared;
the street address of the property;
the inspection date stated in the report;
the name of the person who prepared the report; and,
if the person who prepared the report did so as an employee or agent of another entity—the name and contact details of the other entity.
.
The Office of Regulatory Services is currently developing a new lodgement tool that will further improve the lodgement of that information.
As an interim solution, inspectors are requested to email the Office of Regulatory Services within 7 days after the report is prepared, details of each inspection as identified above to:
fairtrading@act.gov.au or ors@act.gov.au
The full listing of all inspections lodged over the past 12 months, including the details of the inspectors who have undertaken the inspections (including their contact details) can be found under the Building and Pest Inspections Public Register. The Office of Regulatory Services will update the listing of inspections upon receipt of each inspection.
The Building and Pest Inspector completing the building and compliance inspection report and pest inspection report must hold the appropriate professional indemnity insurance. The professional indemnity insurance must provide for a minimum limit of indemnity of $500,000 or another amount determined in writing by the Minister.
The Building and Pest Inspector must not be a relation to the seller. It an offence for an inspector to make false or misleading statements or omit anything from the inspection report. This offence can attract a maximum penalty of 100 penalty units under the Criminal Code.
Building inspection reports
The Australian Standard for property inspections of residential buildings is used to describe the standard to which reports must be prepared. The Act provides direction for the building consultants and building inspectors about the level of detail required and highlights specific information that must be provided in the report.
A residence that has not previously been occupied or sold as a dwelling, or a residence that is to be erected or developed before completion of the sale, does not require an inspection report.
There is no need to provide information in the report on minor cosmetic matters and the Act removes the provisions relating to special purpose reports, which are not necessary for the purposes of the Civil Law (Sale of Residential Property) Act 2003.
The main requirements for a building and compliance inspection report are:
it must be prepared in accordance with the Australian Standard for property inspections of residential buildings;
it must state the date of the inspection and the date the report was prepared; it must state the insurance policy
number and expiry date, or contain a copy of the certificate of currency of insurance for the person who prepared the report;
it must contain particular statements detailed in the regulations about the information that must be given to the Territory for inclusion in a public register; and, it must set out the circumstances in which reliance may be had on the report.
.
Pest inspection reports
.
The Australian Standard for timber pest inspections of buildings is the standard to which reports must be prepared. The Act provides guidance for pest inspectors about the level of detail required in a report.
The main requirements for a pest inspection report are:
it must be prepared in accordance with the Australian Standard for timber pest inspections of buildings;
is must state the date of the inspection and the date the report was prepared; it must state the insurance policy number and expiry date or contain a copy of the certificate of currency of insurance for the person who prepared the report;
it must contain particular statements detailed in the regulations about the information that must be given to the Territory for inclusion in a public register; and, it must set out the circumstances in which reliance may be had on the report.
.
Any enquiries regarding the details of the Act or the obligations of the Inspectors please contact the Office of Regulatory Services.