Mortgage Surveys- Which one?
Which Survey or Valuation do you go for? At the start of any mortgage application, the lender will require a minimum basic survey. This type of valuation is for lenders only and in some instances a copy of the report may not be forwarded to the applicants. The cost of a basic mortgage survey is dependent on the lender and purchase price. Some mortgage lenders offer free basic surveys.
Do you rely on a basic survey only?
Answer: No
You should consider an upgrade (with the mortgage lender) to a Homebuyers Survey; or carry an independent survey separately to a basic mortgage survey. Make sure independent surveyors carry the required qualifications.
Homebuyer’s Valuation
A homebuyers survey is a standard format set out by the ‘Royal Institution of Chartered Surveyors’ and is most suitable for properties built within the last 150 years and in generally sound condition.
The report can cost from £150-£500 and most mortgage lenders can arrange this type of report. The cost of the report depends on the mortgage lender and price of the property.
The applicants definitely gain a copy of the homebuyer’s report which should give a good indication of the state of property and its level of repair and maintenance.
Full Structural Reports
The most thorough of reports is a full structural inspection of the property. It is suitable for all properties especially listed buildings, older properties, buildings constructed in an unusual way, properties that are planned to alter or that have extensive alterations.
The report is approx. 20 pages and should on top include an inspection on gas, drainage and electrical systems.
It is common to instruct this report separately from the basic valuations. These types of reports usually cost from £400 to £1000.
Which one?
Buying a property is an expensive process with conveyancing, arrangement fees and deposits to factor in. It is natural for most applicants to keep their costs to the minimum and favour with a basic valuation. However spending a little more not only gives you peace in mind but also addresses immediate works to the property. If you dont know, you will when you move in and this in turn will cost you money. You will have the chance to negotiate for the property before completion which in itself pays for the survey report. If no works are required on the report, you will have peace in mind.
Tip
Speak to one of our advisers based in Manchester city centre. We will guide you through the process. We will advise you the most appropriate report considering the mortgage lender you go with. We will try and save you monies where we can.