Mortgage Surveys – What you need to know
Homebuyer surveys are a good way for you to avoid any unexpected repair costs further down the line. Getting a survey done will give you a strong idea of how much you may need to spend on the property at a later date.
Types of Survey that Are Available
Did you know that only one in five homebuyers get a valuation report according to the Royal Institute of Chartered Surveyors? It’s no surprise that so many people are hit with unexpected bills.
If you want to make the right decision then you need to try and choose a survey which is based on the condition of the property and not the cost that you are paying for the survey. Money spent on a good survey could save you a small fortune in the future and it can also help you to avoid any surprises when you move in.
RICS Condition Report
The RICS condition report will detail the condition of the home and it also identifies any potential legal issues that could arise. On top of this, it highlights any defects.
It’s ideal for new-build or conventional homes which are in very good condition. You won’t get any valuation or advice when you take out this survey. This tends to cost around £250.
RICS Homebuyer Report
A HomeBuyer report is a survey which is most suited to conventional properties that are in a reasonable condition. Costs for this type of survey cost around £400 on average. This will help you to find out if there are structural issues such as damp or even subsidence. You will also be told about any unwelcome issues that might be present.
The HomeBuyer report doesn’t really look beyond the floorboards or even behind the walls. These reports tend to include a valuation so you may well be able to revise your offer if your survey reveals a lower price than your mortgage valuation. If you do not need a valuation, then you can use the report’s suggestion or repairs as this will help you to renegotiate the price.
As an example, if it is going to cost you £5,000 to carry out the work on the property because of damp, then you could offer £5,000 less on the asking price.
The RICS Building Survey will give you the same level of inspection as a building survey but you will have a simple and clear presentation style. This is done on a 1, 2 and 3 rating system. This will help you to make sure that you can identify some of the most serious issues. This type of survey tends to be aimed at larger or older properties.
A detailed report will give you an in-depth analysis of the property’s condition. You will be told how to deal with some of the common issues that might be found at the property and you will also be given an outline of the repair options which are available as well. This type of survey tends to cost around £400.
This is quite possibly the most comprehensive survey that is out, and it is suitable for every residential property. It’s particularly useful for older homes or homes that you know are going to need some repairs. This type of survey tends to cost £600 upwards and it will give you all of the advice you need to make the required repairs. It tends to be very extensive but in some situations, it is worth the money.
The surveyor should provide you with repair options, but it may be possible for you to save money depending on the outcome of this survey. If you are a first-time buyer then it is well worth doing your research so you can find out the best option for you.
The survey you go for may well depend on the type of property you are buying so make sure that you keep that in mind if you can. When you do, you will then be able to make the best decision possible.
If you need some help with your mortgage or if you want to find out if it is possible for you to get a better property price depending on the work that needs to be done, then contact our team today. When you do, we can then work with you to give you all of the advice you need.
The Cost of A Survey
The cost of a survey varies depending on the type and comprehensiveness of the survey, but also in line with the rough price of the property.
|Level of report||Property Price|
|Up to £99k||£100k – £249k||£250k – £349k||£350k – £499k||£500k+|
|New build snagging survery||£300 – £600 depending on property size.|
Why Use The Mortgage Broker Ltd?
At The Mortgage Broker Ltd, it’s our vision to become the UK’s most trusted and respected mortgage broker. The only way for us to achieve this is by providing straightforward and transparent advice to each and every one of our clients.
From your first call to your last, we put customer service first before all else so you can be confident in getting expert mortgage advice.