During the purchase process, if the property is being bought with a mortgage then the lender will conduct a valuation to make sure that the property is worth the value that the buyer is looking to borrow. In addition to this, the buyer can instruct a surveyor to undertake an independent survey report of the property, which is more detailed. This survey will detail any issues with the property that the buyer is not aware of. The different survey options available vary in the level of detail that they include.
Here are different types of reports which a buyer can instruct a surveyor to undertake:
- Basic valuation – As mentioned above, this is generally undertaken as part of the mortgage application. It is a basic report which details the value of the property and may include some information in relation to the physical condition of it.
- Condition report – This generally relates to new build or recently built properties, which uses a traffic light system to indicate the overall condition of the property for various aspects of it. It doesn’t include any detail in relation to the valuation of the house or any advice regarding it.
- Homebuyers report – With this type of report the buyer is provided with greater detail in relation to the property and will also include an insurance reinstatement value (the amount it would cost to rebuild the property if it burnt down).
- Building survey – A building survey provides the most amount of information on a property and its overall structure. It will also include advice on what areas of the property could be repaired/improved, including a rough costs and time estimate for the work and what could happen to the property should these improvements not be carried out. This type of survey is generally used for older or unusual types of properties.