Question 3
What type of surveys are available and which should I choose?
The RICS/ISVA Homebuyer’s Survey and Valuation Service (Scotland)
The nature of this service is set out in the RICS Valuation and Appraisal Manual.
Here you can download and print off a detailed copy of the RICS Valuation and Appraisal Manual.
The following is a brief summary of the main characteristics of the service: -
1. The Service
The homebuyer service includes:-
An inspection of the property
A concise report based upon the inspection
A valuation, which is part of the report.
The main aims of the service are to give guidance on value to the client, together with professional advice which will help the client to choose whether or not to go ahead with the purchase and to be clear what decisions and actions should be taken before completing the purchase.
2. The Scope of the Inspection
The inspection is a general surface examination of those parts of the property which are accessible: in other words, visible and readily available for examination from ground and floor levels. Furniture, floor coverings and other contents are not moved or lifted and no part is forced or laid open to make it accessible.
Services are inspected but not tested. Drains covers are not lifted.
Such equipment as a damp meter, binoculars and a torch may be used. A ladder is used for hatches and for flat roofs not more than 3 metres above ground level.
Accessible roof spaces and underbuildings are inspected, provided this can be done safely and without undue difficulty.
Common areas of flatted blocks are inspected to assess their general condition.
3. The Report
This provides the surveyor’s opinion of those matters which are urgent or significant and need action or evaluation before an offer to purchase is made.
Matters assessed by the surveyor as not urgent or not significant are outwith the scope of the service and are generally not reported.
The report contains the valuer’s opinion as to open market value and advice on valuation for insurance purposes.
Valuation of Residential Property for Mortgage Purposes
The nature of this type of valuation is set out in the RICS Valuation and Appraisal Manual.
Here you can download and print off a detailed copy of the process of Valuation of Residential Property for Mortgage Purposes.
The following is a brief summary of the main characteristics of the service: -
1. The Valuer’s Role
The valuer’s role is to advise the lender as to the open market value at the date of inspection and as to the nature of the property, together with any factors likely to materially affect its value.
2. The Scope of the Inspection
Subject to the valuer’s judgement, a visual inspection is to be carried out of so much of the exterior and interior of the property as is accessible to the valuer without undue difficulty.
The inspection is made whilst standing at ground level and at various floor levels. Parts not readily accessible or visible are not inspected. Furniture and effects are not moved. Floors coverings are not lifted. Cellars are inspected to the extent that they are readily accessible but underbuildings are specifically excluded from the inspection. Roof voids are inspected only from the hatch without entering the roof void. In the case of flats, roof voids are inspected to the same extent if there is direct access from the flat.
This is a limited inspection for the specific purpose stated. It is normally carried out in a much shorter time scale than a homebuyer’s survey and valuation.
It is normally carried out to the direct instructions of the lender but where it is instructed privately, the general terms are incorporated as though the report were being prepared for a lender.
3. The Report
The report is confined to answering questions raised by the lender. It contains reference only to those matters which might materially affect the value.
