Final Inspection Before Settlement – Comparing It to the Property’s Condition at Contract

Why the Final Inspection Matters

The final inspection is your last opportunity to ensure the property you’re about to settle on is in the same condition as when you signed the contract.

But to assess this properly, you need something to compare it to.

That’s why, as we explain in our forthcoming article “What Was the Property Condition at the Time of Contract?”, we always recommend:

  • Thoroughly documenting the condition of the property at the time of signing

  • Requesting a written list of inclusions and fixtures

  • Taking photographs during your initial inspections

These become the benchmark for your final inspection.

Your Rights Under the Contract

Under General Condition 16 of the standard LIV Contract of Sale, you’re entitled to inspect the property once within the seven days prior to settlement.

The purpose of this inspection is to confirm that:

  • The property is in substantially the same condition as at contract

  • All agreed fixtures and fittings are still present

  • No damage or deterioration has occurred

  • The vendor is preparing to provide vacant possession if required

What You Should Compare at Final Inspection

Using your earlier photos and notes, check that:

  • Light fittings, blinds, heating/cooling systems, and appliances are still present and working

  • Walls, floors, doors, and windows are undamaged

  • There is no new rubbish, damage, or water ingress

  • No unauthorised changes have occurred (e.g., removed doors, repainted areas, or landscaping removed)

  • The vendor has made genuine steps to vacate if you’re purchasing with vacant possession

When to Inspect

We recommend:

  • Booking your first inspection 3–5 days before settlement

  • Organising a second inspection on the day of settlement if the first raised concerns

This allows time to raise issues and act before money changes hands.

If You Discover a Problem

If the property has:

  • Damage not present at contract

  • Fixtures or appliances removed

  • Not been vacated or is full of rubbish

Contact Victorian Property Settlements immediately. We may:

  • Delay settlement under General Condition 10 (vacant possession) or 11 (property condition)

  • Demand compensation or rectification

  • Negotiate a withholding amount in the PEXA workspace

  • Escalate the matter formally to the vendor’s representative

Documentation from the contract date becomes crucial here. Without it, comparisons become subjective and disputes are harder to resolve.

Don’t Wait Until After Settlement

Once settlement has occurred:

  • You may be forced to pursue the vendor through legal avenues

  • Your leverage evaporates

  • Recovery of funds or remedies becomes time-consuming, costly, and often unsuccessful

This is why we combine a proper contract-date review with a thorough final inspection—the two are inseparable.

David Dawn’s Advice

“Your rights at final inspection mean nothing if you don’t have evidence from the day you bought the home. That’s why we treat the contract date as the baseline—and we check against it with precision.”

Final Thoughts

A final inspection is not a casual walk-through. It’s a compliance check against the contractual promise made by the vendor. To use it effectively, you must have documented the condition of the property at the time of contract.

When you work with Victorian Property Settlements, we’ll make sure:

  • The property condition is documented at the start

  • Your rights are protected at the finish

  • You don’t inherit problems that aren’t yours

Professional Review from Start to Finish

Victorian Property Settlements – 25+ years ensuring buyers settle on what they were promised.
📍 Frankston | 📞 03 9783 0111 | ✉️ david@quick32.com
🌐 www.victorianpropertysettlements.com.au