Parkside Mortgages

What’s included in a homebuyer’s report?

A Homebuyer’s Report, also known as a Homebuyer Report or Homebuyer Survey, is a detailed inspection report provided by a qualified surveyor in the UK. It is typically commissioned by prospective buyers of residential property to assess the condition of the property and identify any significant issues that might affect its value or require immediate attention. This type of report is more comprehensive than a basic mortgage valuation but less detailed than a full structural survey (Building Survey). Here’s what is generally included in a Homebuyer’s Report:

1. Property Inspection

The surveyor will conduct a visual inspection of accessible parts of the property, which typically includes:

2. Structural Issues

The report will identify any visible structural problems, such as:

3. Condition Ratings

Each part of the property will be given a condition rating to indicate its current state:

4. Urgent and Significant Defects

The surveyor will highlight any defects that are urgent and require immediate attention or that are significant and could affect the property’s value. These could include:

5. Property Valuation

The Homebuyer’s Report often includes a valuation of the property, which can help buyers determine if the asking price is reasonable. This valuation is based on the surveyor’s assessment of the property’s condition and market factors.

6. Rebuild Cost

An estimate of the cost to rebuild the property in the event of total destruction (e.g., by fire). This is important for insurance purposes.

7. Legal Considerations

The report will note any legal issues that the surveyor thinks should be investigated further by the buyer’s solicitor, such as:

8. Recommendations

The surveyor will provide recommendations for any further investigations or remedial work needed. This might include:

9. General Condition

A summary of the general condition of the property, highlighting areas that might need attention in the future but are not currently urgent.

10. Limitations

The report will include disclaimers and limitations of the inspection, noting that it is a visual inspection only and does not include testing of services or lifting floorboards, for example.

Conclusion

A Homebuyer’s Report provides prospective buyers with a comprehensive overview of the condition of a property, helping them make informed decisions before purchasing. It is less detailed than a Building Survey but more thorough than a basic mortgage valuation, making it a popular choice for buyers of conventional properties in a reasonable state of repair. By highlighting both minor and major issues, the report can help buyers avoid unexpected expenses and negotiate a fair purchase price.

Exit mobile version