The House Hop Guide to Buying

Surveys

i) Lender's valuation survey

As a condition of granting a mortgage, your lender will require a valuation survey of the property to be undertaken. This is to ensure that it will provide adequate security.

Usually, though not always, this is paid for by the borrower and costs from around £200. The problem for buyers is that they cannot rely on a valuation survey if it is addressed to the bank and not to them.

Furthermore, banks are only interested in whether the property will be adequate security for their loan — not whether you are paying too much.

ii) Homebuyer's Report

The answer is to get your own Homebuyer Survey and Valuation (HSV), also known as a Homebuyer's Report, done by a RICS (Royal Institute of Chartered Surveyors) registered surveyor. This is important because it will tell you about:

• the general condition of the property
• major faults in accessible parts of the building
• urgent problems that should be reviewed by a specialist before buying
• the condition of any damp proofing and whether there is any damp in the walls
• any damage to timbers, including woodworm and dry rot
• the insulation
• the drainage
• the estimated cost of rebuilding the property for insurance purposes
• the value of the property

iii) Building Survey

A Building Survey gives you a more comprehensive property inspection than a Homebuyer's Report.

Prices will vary depending on the scope of the report as well as the size, age and type of the property. They do, however, cost considerably more than a Homebuyer's Report. Again, they should be carried out by a RICS (Royal Institute of Chartered Surveyors) registered surveyor.
A Building Survey will look at all accessible parts of the property, however, you should discuss with your surveyor any areas of particular concern as these can be looked at as well.

In addition to those things covered by the Homebuyer's Report a Building Survey will also look at:

• major and minor defects and their possible implications
• the possible cost of repairs
• technical information on the construction and materials used in the property
• any recommendations for further specialist inspections

A Building Survey does not include a valuation, but you will be able to ask your surveyor to provide this separately.

Click here for a useful summary from RICS of the main features of i) to iii) above.

Click here to receive a free quote from one of our recommended RICS (Royal Institute of Chartered Surveyors) registered surveyor

iv) Home Condition Report

A Home Condition Report is prepared for the seller and is similar to a Homebuyer's Report.

You may find a Home Condition Report included in a property's HIP, though it is not a compulsory document. It can be relied on by sellers, buyers and lenders as legally accurate.

In theory, therefore, a lender may rely on a Home Condition Report saving you the cost of a valuation survey, though in practice a lender may well want to commission their own report.

Home Condition Reports are prepared by certified Home Inspectors.