RICS HomeBuyer Report
The RICS Homebuyers Report is independent of any survey for a lender and it includes a valuation. The Homebuyer Report is a survey that is suitable for conventional properties in reasonable condition. Your Homebuyer Survey will identify any defects and how severe they are through an easy-to- use coding system. This will help you make a smart and informed decision about purchasing the subject property. When problems are discovered, you can use this to renegotiate your purchase price. The main purpose of the RICS Homebuyer Report is to give you the information you need to decide whether you should proceed with purchasing the property. We are happy to offer post-survey customer support by email or by phone.
The report will also give you an accurate valuation so that you know whether or not you are paying the market value for the property. The format of the report is laid out by the RICS to outline any major defect(s) and whether or not these defect(s) affect the value of the property. It will clearly spell out whether any action needs to be taken before you exchange contracts.
The RICS Homebuyer Survey and Report works well for simple, traditional type properties that appear to be in reasonably good condition and included in the report will be a determination of the market value. It pinpoints what the Surveyor determines to be the most vital issues. Defect(s) are identified by using a rating system highlighting the severity of the defect.
Individuals buying normal types of houses or flats may think that paying for a HomeBuyer Survey is just one more expense added to all the necessary costs. However the HomeBuyer Report provides buyers with very useful information at an affordable cost. Buyers should not rely on just the lender’s valuation because it will not reveal numerous issues and defects.
With all the additional fees that creep into the process of purchasing a house, it’s easy to see why buyers might be tempted to forgo a survey in order to save money. However, according to a survey conducted by the Royal Institution of Chartered Surveyors (RICS), homeowners that failed to have their home professionally inspected for defects ended up spending an average of £5,750 on unexpected remedial work once they move in.
By investing in a survey before finalising the purchase, you have the opportunity to negotiate the potential repair cost of any uncovered defects off of the price. For example, if the HomeBuyer Report discovers £3,000 worth of damp damage, buyers have reason to ask for £3,000 off the sale price.
The cost of a HomeBuyer Report is such a small fraction of the overall house price – and the potential expense of repairs is so high – that it’s always worth having the peace of mind that the survey provides.
HomeBuyer Reports are suitable for conventional homes that are no more than 50 years old and appear to be in reasonable condition. Older homes will require a more detailed Building Survey, while a Condition Report should be sufficient to assess a new-build property.
The most appropriate time to commission any property survey is between having your offer accepted and exchanging contracts – the sooner the better. Waiting until after you have finalised the details of the sale with the vendor prevents you from further negotiating the price if defects are uncovered, and means you cannot walk away from the sale if the required work is going to be more effort and money than you are willing to invest.
When you receive your report, you should carefully go through the details to understand the condition of the property. The best-case scenario is usually finding no unexpected defects and only a few minor issues that won’t need urgent attention, however, it may be that a serious underlying problem has been found that will take considerable time, money and effort to rectify.
At this stage, it’s up to you to decide whether you are happy to proceed with your purchase, or if you would prefer to renegotiate the price with the vendors. If the property requires extensive work that you are not prepared for, you still have the option to walk away and find a home that is a better fit.