Your home is likely to be one of the most expensive purchases you ever make and it is essential you know as much as possible about the property before you buy it.

Several types of inspection are available varying from a mortgage valuation report to a comprehensive building survey.

What are valuations and surveys?

A Mortgage Valuation

A valuation is not a survey. It is a limited inspection carried out on behalf of your mortgage lender to determine whether the property is worth the amount you wish to borrow and to identify problems that may affect the security of the loan. Your mortgage lender will probably ask you to pay for the valuation and will send you a copy of the report.

A property can have defects that might prove critical to a prospective buyer but are not necessarily of concern to the mortgage lender and would therefore not appear on a valuation report.

When deciding whether or not to purchase a property it is vital for the prospective purchaser to be aware of any defects which might affect future value or involve additional expenditure.

Surveys

You should give serious consideration to having a survey carried out on the property you intend to buy. You should carefully consider its results before entering into a contract to buy it. Depending on the seriousness of any defects and costs of necessary repair work, you could try to re-negotiate the purchase price to reflect the cost of repairs or decide not to purchase the property at all.

There are two main types of survey, a Homebuyer Survey and Valuation and a Building Survey.

Homebuyer Survey and Valuation Report

A Homebuyer Survey and Valuation Report, also known as a Homebuyer’s Report, is a survey done to a standard format set out by the RICS. It does not detail every aspect of the property but focuses on urgent matters needing attention.

A Homebuyers Survey will include:

• An overall opinion as to the general condition of the property
• Any major faults in accessible parts of the building which may affect the value
• Any urgent problems which require a specialists inspection prior to exchange of contracts
• Tests for dampness in the walls of the property
• Identification of any timber defects - including woodworm or rot
• A visual inspection and any recommendations for improvement to damp-proofing, insulation and drainage (the drains are not tested).
• The estimated rebuilding cost for building insurance purposes
• An opinion of the open market value of the property

A Building Survey

A building survey is a comprehensive inspection where all accessible parts of the property are examined. You can identify specific areas where you have particular concerns and providing access is available the surveyor will be happy to examine those areas.

A building survey will include:

• Identification of major and minor defects.
• Any problems which require a specialists inspection prior to exchange of contracts
• Tests for dampness in the walls of the property
• Identification of any timber defects - including woodworm or rot
• Technical information on the construction of the property and materials used
• A visual inspection and any recommendations for improvement to damp-proofing, insulation and drainage (the drains are not tested).
• The location
• Estimated costs of any repairs

A building survey does not include a valuation.