Final Walkthrough Before Settlement and What to Check

Settlement is a few days away, the money is lined up, and you have not been inside the house since the day you signed. A lot can change in six or eight weeks: an appliance that was included gets swapped, a pipe starts leaking, the seller leaves a garage full of rubbish. The final walkthrough before settlement is your last chance to catch those problems while you still have leverage.

After two decades of watching sales close, I can tell you most buyers treat this visit as a formality and spend ten minutes admiring the kitchen. Here is how to use it properly, what to check room by room, and what to do if something is wrong.

What the final walkthrough before settlement is for

The final walkthrough, often called the pre-settlement inspection, is not a second building inspection. You are not judging the roof structure or the foundations again. Those questions were answered, or should have been, before you went unconditional.

The walkthrough has three narrow jobs:

Confirm the property is in the same condition as when you signed, allowing for fair wear and tear.
Confirm that every inclusion listed in the contract is still there and working.
Confirm that any repairs the seller agreed to make have actually been done.

Most standard contracts give the buyer a right to inspect once or twice before settlement, usually in the final week. Check your contract for the exact clause, then ask your conveyancer or the agent to book a time. Two to five days before settlement is ideal: close enough that little can change afterwards, far enough out to fix problems.

What to bring and how long to allow

Allow 45 minutes to an hour for a typical three bedroom house. Bring:

A printed copy of the contract, especially the list of inclusions and any special conditions.
Your building inspection report and any photos from the original open homes.
A phone charger or small plug in lamp to test power points.
A torch for cupboards, under sinks and the roof access hatch.
Your phone, fully charged, to photograph everything with the time stamp on.

If you can, visit when the house is empty, after the seller has moved out. Furniture hides damage. A sofa that sat against a wall for ten years can cover a hole, a stain or mould.

A room by room checklist

Area	What to check	What a problem looks like
Kitchen	Oven, cooktop, rangehood, dishwasher run briefly	Burners that do not light, a missing dishwasher
Bathrooms	Run every tap and shower for a minute, flush toilets	Weak hot water, slow drains, new water stains
Living areas	Walls, floors, light switches, heating and cooling	Holes from removed wall mounts, a split system that blows warm
Bedrooms	Built in robes, window locks, blinds	Missing shelving, broken locks, removed curtains listed as included
Laundry and hot water	Hot water unit, taps, floor waste	Leaks under the unit, rust stains
Outside	Garden, shed, pool equipment, letterbox	Plants listed as staying that are gone, rubbish left behind
Garage	Door remote, door motor, cleared floor	No remotes, old paint tins and tyres left behind

Test every inclusion, not just look at it. A dishwasher that is present but dead is still a problem. Turn the heating on, open the garage with the remote, and press every switch once.

Keys, remotes and paperwork

Ask the agent which keys, remotes, alarm codes and manuals will be handed over at settlement. Count them against what you expect. Missing garage remotes alone can cost 80 to 150 dollars each to replace, and a lost mailbox key can mean changing the lock.

The usual advice I disagree with

Buyers are often told to "stay calm and let the lawyers sort it out" if they find a problem at the walkthrough. I think that is half right. You should not argue with the agent on the spot, but you also should not leave it vague. Problems that are not written down quickly have a habit of becoming "there when you inspected" by the time anyone is asked about them.

So do three things straight away. Photograph the issue with a clear wide shot and a close up. Write a short list of every problem before you leave the driveway. Then email that list, with photos, to your conveyancer and the agent the same day. A dated email turns an argument into a record.

The other advice I question is that you should delay settlement over any defect. Delaying can trigger default interest and penalties under your contract, often charged daily. For small issues, a negotiated cash adjustment or a retention of funds until the repair is done is usually far cheaper than pushing the date.

What to do if something is wrong

Your options depend on the size of the problem and the wording of your contract, so talk to your conveyancer before you promise anything. Broadly:

Small problems, such as a missing remote or rubbish left in the yard: ask the seller to fix it before settlement, or agree a modest amount off the balance, often 200 to 1,000 dollars.
Missing inclusions, such as a removed dishwasher or light fittings: this is a breach of contract. Ask for the item back or its fair replacement value.
New damage, such as a burst pipe or storm damage since signing: check who carries the risk under your contract and whether your insurance has started. This is where professional advice matters most.
Agreed repairs not done: ask for proof, such as an invoice from a licensed trade, or a retention from the sale price until it is finished.

Rights here vary by state and by contract, much like the rules on the cooling off period when buying a home. If the seller refuses to cooperate, your conveyancer can issue a formal notice, but most issues are settled with a phone call once there is a written list on the table.

Compare what you see with your earlier report too. The checks in the building inspection items that actually matter are a good guide to which changes are serious and which are cosmetic. And once the keys are yours, work through our first day in a new home checklist for smoke alarms, locks and utilities.

Frequently asked questions

Can a buyer refuse to settle after the final inspection?

Only in limited cases, usually where the seller has seriously breached the contract or the property has been substantially damaged. Refusing without a valid reason can put you in default and cost you the deposit. Always get advice from your conveyancer before threatening not to settle.

Is the seller required to clean the house before settlement?

Most contracts require the property to be handed over in the same condition as at signing, with the seller's belongings and rubbish removed. A professional clean is rarely required unless the contract says so. Leftover junk and serious mess, though, are fair grounds for a request or a small adjustment.

How long before settlement should you do the final walkthrough?

Two to five days before settlement is the usual sweet spot. It gives the seller time to fix small problems and your conveyancer time to negotiate if needed. An inspection on settlement morning leaves almost no room to act on what you find.