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Property surveys help you understand the condition and value of a home before you commit to a mortgage.
Whether you’re buying for the first time or looking to remortgage, having the right type of survey in place can save you from unexpected issues further down the line.
Not all surveys are the same. Some are designed purely for your mortgage lender, while others are more detailed and for your benefit as the buyer.
If you’re unsure which type of survey is right for your situation, our mortgage advisors can explain the differences and help you decide what’s worth paying for.
The Types of Property Surveys
Explained in 2 mins 23 seconds
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What is a Mortgage Valuation?
A mortgage valuation is carried out on behalf of the lender when you apply for a mortgage.
It helps the lender confirm the property’s value and assess how much risk is involved in lending against it. There are two ways this valuation can be done
A physical valuation involves a surveyor visiting the property in person. This is often used when the property has had significant work done or if there are features that make it harder to value remotely.
An automated valuation uses data from similar local properties to estimate the value online. While this is faster and often free through your lender, it may not reflect the true condition of the property.
Mortgage valuations are generally the least detailed and are intended to protect the lender, not the buyer.
They won’t identify repairs or structural issues, which is why many buyers choose to get an additional report of their own.
What is a Homebuyer Report?
A homebuyer report, also known as a Level 2 survey, offers a more detailed assessment of the property and is designed to help you make an informed purchase decision.
This type of report includes a full inspection of every accessible room in the home. It looks out for common issues such as damp, mould, leaks, or structural concerns.
It may also highlight anything that needs immediate attention or further investigation.
The report will flag up any legal concerns that could affect the purchase, such as building regulations or planning permissions that do not match the condition of the property.
Homebuyer reports are often recommended for newer properties or homes in reasonable condition that haven’t had major modifications.
They are not usually suitable for listed buildings, heavily altered properties, or homes in need of renovation.
Most homebuyer reports do not include a market valuation by default, though you may be able to request this for an additional cost.
Some lenders will allow you to upgrade your valuation to a homebuyer report for a fee, while others may ask you to arrange it separately with a qualified surveyor.
What is a Building Survey?
A building survey, previously called a structural survey, is the most detailed type of property report available.
Also known as a Level 3 survey, this is typically chosen by buyers who are purchasing an older property, a home in poor condition, or one that has been extensively altered.
The survey provides a full breakdown of the property’s condition. It highlights defects, structural issues, repairs that may be needed, and potential future maintenance.
It can also include commentary on materials used, how the property was built, and how energy efficient it is.
This level of report may include a suggested repair timeline, and in some cases, advice on the cost of carrying out that work.
Areas such as roof structures, floors, drainage, and services are also covered where accessible. Building surveys are more expensive than homebuyer reports due to the level of detail involved.
They are not offered by lenders as standard, but you may be able to ask your lender to arrange one through their own surveyor for an additional fee.
Like other private surveys, they usually do not include a market valuation unless requested.
What About Specialist Property Surveys?
Sometimes a homebuyer report or building survey will uncover issues that require more detailed investigation. This is where a specialist report can be useful.
Common types of specialist survey include:
- Damp and timber
- Drainage
- Roofing
- Gas and electrics
- Asbestos
- Central heating and boiler systems
If your surveyor recommends a specialist report, it’s worth following up before moving forward with the purchase. Addressing issues early on can help you renegotiate with the seller or plan for future costs.
If you’re unsure where to begin, our mortgage advisors can help you connect with local surveyors and specialists.
