What is a homebuyer’s report and what does it include?
When buying a house, it’s essential to make an informed decision. A mortgage valuation report is the minimum required, but it’s not a survey. It’s a quick assessment to ensure the property is adequate security for the mortgage loan.
A homebuyer’s report provides independent expert advice to help avoid unexpected repair bills. Problems like dry rot, subsidence, or other structural defects can cost over £5,000 in repairs.
A Homebuyer’s Report: What to Expect
Independent expert advice is provided to avoid unexpected repair bills, which can run to over £5,000 due to issues like dry rot, subsidence, or other structural defects.
Estate agents, although able to offer general advice, are not specifically trained or qualified to inspect and evaluate buildings, which can affect their impartiality.
Homebuyers’ reports are produced by quantity surveyors who are members of the Royal Institute of Chartered Surveyors (RICS).
For large or old, non-standard buildings, a full (structural) survey will be required. Statistically, only about one buyer in five usually requests this level of inspection.
For modern homes or older buildings with normal construction and reasonable condition, a homebuyer’s report will give ample information and usually suffice.
The fees for a homebuyer’s report are considerably lower than those for a full structural report.
Basic mortgage valuations typically have a fee in the region of £200 and the fee for a homebuyer’s report fee is higher to reflect the extra work involved, information supplied and advice offered. A report will include details of any general repairs or ongoing maintenance that may be necessary, along with any obvious defects such as rot and subsidence, although it will not give estimated costs for any work required. Also included is the estimated insurance rebuilding cost. The work to prepare the report takes between two and four hours, although the surveyor does not look behind furniture, raise floorboards or drill holes in walls to view inside or take samples. Detailed advice on specific defects is not usually included, so properties that require alterations or repairs work or older non-standard properties are not suitable for this type of report; a full structural survey is recommended instead. Turning to the purchase of apartments and flats, a mid-range homebuyer’s report is usually thought sufficient – except when the property is part of a conversion of an older building, especially a listed one.
Basic mortgage valuations typically have a fee in the region of £200 and the fee for a homebuyer’s report fee is higher to reflect the extra work involved, information supplied and advice offered. A report will include details of any general repairs or ongoing maintenance that may be necessary, along with any obvious defects such as rot and subsidence, although it will not give estimated costs for any work required. Also included is the estimated insurance rebuilding cost. The work to prepare the report takes between two and four hours, although the surveyor does not look behind furniture, raise floorboards or drill holes in walls to view inside or take samples. Detailed advice on specific defects is not usually included, so properties that require alterations or repairs work or older non-standard properties are not suitable for this type of report; a full structural survey is recommended instead. Turning to the purchase of apartments and flats, a mid-range homebuyer’s report is usually thought sufficient – except when the property is part of a conversion of an older building, especially a listed one.
Condition reports are also available to the vendor (seller) of the property. These are simpler than homebuyers’ reports as they exclude insurance rebuilding valuations and details of likely ongoing repairs and maintenance.
Condition reports are also available to the vendor (seller) of the property. These are simpler than homebuyers’ reports as they exclude insurance rebuilding valuations and details of likely ongoing repairs and maintenance.
Finally, some experts and buyer’s representatives consider that because the wording of homebuyer’s reports often contains numerous caveats and conditions, it limits the real value of the information offered.
Finally, some experts and buyer’s representatives consider that because the wording of homebuyer’s reports often contains numerous caveats and conditions, it limits the real value of the information offered.