Dilapidation

Dilapidation Reports: Protect Your Geelong Property

Published: 25 October 2023
10 min read
Geelong residential property near a construction site requiring a dilapidation report

Last updated: 9 February 2026

A dilapidation report is a professional assessment that records the existing condition of a property before nearby construction begins. In Geelong, where residential and commercial development activity continues to reshape suburbs, these reports protect property owners by creating a documented baseline of walls, foundations, roofing, fencing, and other elements. If construction damage occurs, the report provides clear evidence of what existed before the works started, preventing disputes and supporting insurance or legal claims.

Geelong's growth has brought new housing developments, infrastructure upgrades, and commercial projects into established neighbourhoods. While this growth is positive for the city, it increases the risk of construction activity affecting nearby homes. Vibration from machinery, excavation near boundary lines, and demolition works can all cause cracking, settlement, and structural movement in adjacent properties. A dilapidation report is the most effective tool for protecting your property from these risks.


What Is a Dilapidation Report?

A dilapidation report is a detailed record of a property's physical condition at a specific point in time. It is typically commissioned before construction work begins on a neighbouring site, and a follow-up report is conducted after the works are completed to identify any changes.

The report serves as a legal and practical baseline. It records existing cracks, damage, wear, and the general state of the property so that any new damage caused by construction can be clearly identified and attributed.

A dilapidation report is not a building inspection in the traditional sense. It does not assess whether the property meets building codes or standards. Its purpose is to record the current condition as a reference point for comparison.


What Does a Dilapidation Report Include?

A professional dilapidation report provides a thorough record of the property's condition across all accessible areas.

What Is RecordedWhy It Matters
External Walls and FacadesCracking patterns, render condition, brickwork mortar joints, cladding condition, paint peelingExternal walls are the most common area to show damage from vibration and ground movement
Foundations and FootingsVisible foundation lines, slab edges, sub-floor stumps, signs of settlement or heavingFoundation movement is the most serious type of construction-related damage
Roofing and GuttersTile condition, flashing, guttering, downpipes, fascia, soffit conditionVibration can dislodge tiles and crack flashings, leading to water ingress
Driveways, Paths, and FencingConcrete cracking, paver condition, retaining wall stability, fence alignmentGround movement from excavation frequently damages hard surfaces near boundaries
Internal AreasWall and ceiling cracks, cornice separation, door and window operation, floor levelnessInternal cracking and misalignment indicate structural movement that may not be visible externally

All findings are supported by high-resolution photographs with date stamps and detailed written descriptions. This photographic evidence forms the backbone of the report's value as a legal document.


Who Conducts Dilapidation Reports?

Dilapidation reports are prepared by licensed building inspectors with specific experience in property condition assessments. In Victoria, inspectors should be registered building practitioners through the Victorian Building Authority (VBA).

  • Inspectors hold qualifications in building inspection, building surveying, or a related field
  • They follow industry guidelines for documenting property conditions consistently and objectively
  • They use professional equipment including high-resolution cameras, moisture meters, and laser levels
  • The inspection is visual and non-invasive, covering all reasonably accessible areas of the property

Geelong's Construction Activity and Property Risks

Geelong has seen considerable construction activity in recent years, though the pace has varied across residential and non-residential sectors. Domestic building permits have experienced fluctuations, with periods of strong growth followed by contractions.

For homeowners near active construction sites, the risks include:

  • Cracking in walls, ceilings, and floors caused by vibration from demolition, piling, or heavy machinery
  • Settlement or movement of foundations due to excavation altering soil conditions
  • Damage to fencing, retaining walls, and driveways from ground movement near boundaries
  • Water ingress from dislodged roof tiles or damaged flashings
  • Disruption to underground services including plumbing and drainage

Without a pre-construction dilapidation report, proving that any of this damage was caused by the construction work is extremely difficult.


How Dilapidation Reports Protect Homeowners

Preventing Disputes

A dilapidation report provides an objective, time-stamped record of your property's condition before construction started. If damage occurs during the build, you have clear evidence that the damage did not exist before. This removes ambiguity and makes it much harder for the builder or developer to deny responsibility.

Supporting Insurance Claims

If you need to make an insurance claim for construction-related damage, a dilapidation report provides the evidence your insurer needs to assess the claim. Without it, the insurer may argue that the damage was pre-existing.

In the event of a dispute that reaches VCAT or the courts, a dilapidation report prepared by a qualified inspector carries significant evidentiary weight. It is an independent, professional document that courts recognise as a reliable record of property condition.

If nearby construction is about to start and you do not have a dilapidation report, your ability to prove construction-related damage is severely limited. The cost of a report is minor compared to the cost of unproven damage claims.


How Dilapidation Reports Benefit Developers

Developers and builders benefit from dilapidation reports just as much as homeowners. The key advantages include:

Pros

  • Documents the pre-existing condition of neighbouring properties, protecting against false claims
  • Demonstrates due diligence and compliance with Part 7 of the Building Act 1993 (VIC)
  • Reduces the risk and cost of liability claims during and after construction
  • Strengthens the developer's reputation for responsible, professional conduct

Cons

  • No baseline evidence to disprove damage claims from neighbours
  • Increased exposure to costly compensation and repair obligations
  • Potential fines for non-compliance with Victorian building legislation
  • Reputational damage from unresolved disputes with neighbouring owners

When to Get a Dilapidation Report

1

Before construction begins

Commission the initial dilapidation report as soon as you know that construction will occur nearby (or before you begin your own project). This creates the baseline.

2

During long projects (optional)

For projects lasting more than six months, an interim report at key milestones (such as after demolition and after excavation) provides additional evidence of progressive changes.

3

After construction is complete

A post-construction report compares the current condition against the baseline, identifying any new damage that occurred during the works.

Key Takeaways

  • A dilapidation report records your property's condition before nearby construction begins, creating a baseline for comparison.
  • In Geelong, ongoing development activity increases the risk of construction-related damage to neighbouring properties.
  • Dilapidation reports protect homeowners by providing evidence for insurance claims, disputes, and legal proceedings.
  • Developers benefit equally by documenting the pre-existing state of adjacent properties and reducing liability exposure.
  • Reports are prepared by licensed building inspectors and include photographs, written descriptions, and date-stamped evidence.
  • A post-construction report should be conducted to compare against the baseline and identify any new damage.
  • The cost of a dilapidation report is small compared to the cost of unresolved construction damage disputes.

Frequently Asked Questions

QCan tenants request dilapidation reports in Geelong?

Tenants can raise concerns about potential construction impacts with their landlord or property manager. However, the request for a dilapidation report typically needs to come from the property owner, as they are the party with legal standing to commission the report and pursue any damage claims. Some lease agreements may include provisions for this situation.

QAre dilapidation reports needed for minor renovations?

While not always mandatory for small-scale renovations, a dilapidation report is a sensible precaution for any renovation that involves excavation, demolition, or significant structural work near a neighbouring property. It protects both the renovator and the neighbour from potential disputes about damage.

QHow long does a dilapidation report remain valid?

A dilapidation report captures the property's condition at a specific point in time. Its relevance can be affected by subsequent events such as storms, ground movement, or other construction work. If the planned construction is delayed significantly, it may be worth updating the report to ensure the baseline is still accurate.

QIs there a best season to conduct a dilapidation report in Geelong?

Clear, dry weather provides the best conditions for a thorough inspection. In Geelong, autumn and spring typically offer the most reliable weather for conducting dilapidation surveys. Wet conditions can obscure existing damage or introduce temporary moisture-related changes that may not be representative of the property's normal state.

QDo dilapidation reports affect property insurance premiums?

Dilapidation reports do not typically have a direct impact on insurance premiums. However, having a report can be very helpful when making an insurance claim for construction-related damage, as it provides clear evidence of the property's pre-construction condition. This can prevent disputes with the insurer about whether the damage was pre-existing.

QWhat if a neighbour refuses to allow a dilapidation inspection?

If a neighbouring property owner declines the inspection, document the request and their response in writing. You cannot force entry onto someone else's property. However, having written evidence that you offered the inspection demonstrates good faith and compliance with your obligations. Seek legal advice if the refusal creates a risk to your project.

QAre dilapidation reports legally binding?

A dilapidation report is not a contract or legally binding agreement. However, it is a professional document that can be used as evidence in legal proceedings, VCAT hearings, and insurance claims. Its value lies in providing an independent, factual record of a property's condition at a documented point in time.

QCan a property owner dispute the findings of a dilapidation report?

Yes. If you believe a dilapidation report does not accurately reflect your property's condition, you can raise your concerns with the inspector or commission a second independent report for comparison. In a dispute, VCAT or the courts can consider evidence from multiple reports.

QHow does drone technology improve dilapidation inspections?

Drones allow inspectors to capture aerial photographs and video of roofs, upper-level facades, and other hard-to-reach areas without scaffolding or ladders. This improves the thoroughness of the report, reduces the time and cost of the inspection, and provides detailed visual evidence that would be difficult to obtain by other means.

QWhat should I do if I notice new damage after construction near my Geelong property?

Contact the company that conducted the initial dilapidation inspection immediately. Provide details and photographs of the new damage. They can reassess the property and compare the current condition against the baseline report. If the damage was caused by the construction, this comparison will support your claim for repairs or compensation.

References and Resources

Need a dilapidation report for your Geelong property? Owner Inspections provides professional dilapidation assessments across Geelong, Melbourne, and regional Victoria. Our VBA-licensed inspectors deliver detailed reports with photographic evidence to protect your property before construction begins. Get a quote today or call us on 1300 471 805.

Related Topics:

dilapidation reportGeelongproperty protectionconstruction damagebuilding inspectionVBABuilding Act 1993property conditionneighbouring propertiesVictoria