Buying a house is an expensive business. Not only the cost of the property itself, but also council reports, valuations, legal costs, and bank fees. You may wonder if it’s worth it to spend additional money on a building inspection, and exactly how much a building inspection is likely to cost.
In this article, we’ll cover some of the expenses you’re likely to face when buying a property.
How much will an Auckland building inspection cost?
The cost of an Innohome building inspection will depend on the kind of report you require, what kind of building you need inspected, how big the property is, and if there are any additional outbuildings you’d like us to check.
Currently, a basic verbal report will cost from $300 + GST for single-level, standard design three-bedroom property, to $400 + GST for a full written report on the same size home. Extra rooms/levels are an additional $30 + GST.
New build inspections are a little more complex, so they start at $420 + GST for a single-level three-bedroom home or apartment.
Non-invasive moisture testing comes free with your building inspection and report. Visit our pricing page for more information.
What other costs are involved in a house purchase?
When you buy a property, you need a lawyer to prepare all the paperwork and manage the transfer of ownership. They also do other things like follow up conditions in the sale and purchase agreement and provide advice on the signing of loan documents. The cost for these services usually ranges from $800 to $2000, depending on the lawyer you use and the complexity of the purchase.
A Land Information Memorandum (LIM) is a summary of all the information the council holds about a property, including whether it has been yellow or red stickered in a natural disaster, suffered past erosion or flooding, has overdue rates, or has special conditions such as NZ Historic Places Trust listings. At the time of writing, Auckland Council charges $351 for a standard LIM and $474 for an urgent LIM. To check current pricing, click here.
Some mortgage lenders will charge a loan application fee of approximately $400.
Because banks lend money based on the value of the property, they will usually require a recent registered valuation. This report will probably cost you between $500 and $1000.
To satisfy the conditions of your mortgage, you will need to take out house insurance on the property you purchase. The cost will vary depending on the size and style of the house. You can get online quotes from any of the main insurance companies. It’s also a good idea to get contents, life, and mortgage protection insurance.
Frequently asked questions
What does a building inspection in New Zealand cover?
Building inspections in New Zealand typically cover structural, safety, and maintenance aspects of a property. This includes assessing the condition of the foundation, roofing, plumbing, electrical systems, insulation, and more. The goal is to identify any issues that will require expensive remediation.
Don't take chances when buying a property
Building inspections in Auckland are a crucial step in buying a property. While the costs may vary, investing in a thorough inspection is well worth it, offering you peace of mind and valuable insights into the condition of the property. Whether you're buying or maintaining a home, a professional building inspection is an essential part of property ownership in New Zealand.