Understanding the Legal Aspects of Property Inspection Regulations in the ACT

Whether you are buying, selling or renting a property in the Australian Capital Territory (ACT), certain building compliance laws need to be followed. A property inspection can ensure your safety. A property inspection is a process that follows regulations in a specific state to determine how safe and energy-efficient a building is for long-term occupancy.

In this article, we highlight the essential legal aspects of property inspections in the ACT that you need to know to ensure a smooth, compliant transaction.

Property Inspection Regulations For Landlords

Landlords (referred to in ACT legislation as Rental Providers) are mandated to maintain their property’s structure, energy efficiency and functionality, reducing health and safety hazards for tenants. In the ACT, rental property inspections should take place every two years.

However, in accordance with property inspection regulations found in the Residential Tenancies Act, landlords must give tenants at least seven days’ notice to prepare for the inspection. The purpose of these inspections is purely for maintenance of the building and not to criticise the tenant’s cleanliness.

Mandatory Minimum Energy Efficiency Standards (MEES)

The ACT introduced the Minimum Energy Efficiency Standard (MEES) for rental properties effective 1 April 2023, mandating specific upgrades to enhance thermal performance, reduce energy costs and lower greenhouse gas emissions.

The key requirement for non-exempt properties is:

• Ceiling Insulation: Rental properties with no ceiling insulation, or existing ceiling insulation with an R-value of less than R2, must be upgraded to a minimum R5 ceiling insulation.

Rental Providers have a transitional period, with most properties required to be compliant by 30 November 2026. Furthermore, Rental Providers must disclose the property’s current MEES compliance or exemption status in rental listing advertisements and lease agreements.

ACT Property Inspections For Buyers and Sellers

Homeowners in the ACT are not required by law to carry out building inspections or pest inspections, but they are recommended. Building inspections will highlight if renovations are needed or if there are major structural issues, such as drainage, while pest inspections will provide information about the last pest removal at the property, accompanied by a report.

Sellers should provide a disclosure report that details any structural or maintenance issues with the property in question. Buyers may also request their own legal property inspection for peace of mind before moving in.

Residential Reports offers handover inspections after you have acquired your new property. This is followed up by a 90-day owner’s inspection to make sure you are 100% satisfied with the condition of your new home and all issues have been safely addressed to meet building compliance laws.

Crucial Safety Compliance

ACT Building Compliance Law incorporates standards from the National Construction Code (NCC), which mandates several crucial safety measures for all properties. These include but are not limited to:

• Safety Barriers and Balustrades: Internal staircases, decks, balconies and other climbable property features must meet specific height, strength and climbability requirements to prevent falls.
• Smoke Alarms: All properties (both owned homes and rentals) must have a smoke alarm installed on every floor. In the case of a rental, the responsibility for installation and maintenance falls on the owner, but tenants need to report signs of damage. Smoke alarms must be inspected annually and replaced every ten years (or earlier if damaged or expired).
• Swimming Pool and Spa Barriers: Pools and spas must have a compliant safety barrier, such as a gate, fence and latching mechanism, that is regularly inspected under the relevant ACT regulations.
• Safety Glass: Toughened or laminated glass must be used in critical locations in properties, like shower screens in bathrooms and sliding doors for entrances.

Legal aspects around property inspections in the ACT can be difficult to navigate while you are trying to settle into your new home or ensure a smooth sale. Let our professionals help you. Book a building inspection or 90-day new-build inspection and handover report with Residential Reports, your trusted leader in building compliance laws and legal property inspections in the ACT.