Do I need a property survey when buying a new home?

Getting a property survey when buying a new home seems like just another extra expense. But getting the right survey is crucial to make sure you are paying a fair price.

A survey shows that everything is up to scratch and alerts you of potential costs you might face further down the line. Without a survey, you risk overpaying for a house with a lot of problems.

With unpredictable house prices in the past year adding to uncertainty, surveys are also useful for clarifying what represents real value. But what is a property survey and do you really need one?

What is a property survey?

House surveys are an inspection of the condition of a property. It is carried out by experts, who are called surveyors, and they tell you if there are any issues with the property’s condition. Surveys highlight what repairs or alterations are needed: from addressing damp patches to indicating whether the roof needs replacing.

All the findings from the surveyor are highlighted in a report, which also provides expert opinions about the property. This includes anything from the types of walls to the glazing.

Home buyers organise and pay for a property survey as part of the buying process, which we’ve covered before. Buyers can arrange for a survey when their offer is accepted by the seller.

Do I need a property survey when buying a new home?

If you are buying a property, it is advisable to pay for a survey. It isn’t legally required, but without a survey you risk buying a property that could have expensive issues.

If a survey highlights a problem, it will help you renegotiate the price to rectify issues. For example, if the roof needs replacing at £12,000, it would be fair to offer a new price at £12,000 lower than your original offer. Alternatively, you could ask the seller to fix the problems before you buy.

Types of surveys

There are several types of property surveys because they each give a different depth of information. The price depends on how much information you want and your budget as well as the condition of the property. Here are the different types of survey:

RICS Home Survey Level 1

This is the most basic survey offered by RICS. If you’re buying a property that is conventionally built using common building materials and it looks in reasonable condition, this is a suitable survey for you. It provides a rating on the condition of the property using ‘traffic lights’. They allow the surveyor to simply highlight any problems depending on the degree of attention that is required. It isn’t very detailed and doesn’t including advice or a valuation.

RICS Home Survey Level 2

This mid-level surveys was commonly known as a Home Buyer Report. It is a popular for most people buying a conventional property in reasonable condition. It covers everything included in the Level 1 RICS survey but includes checking roof spaces and cellars. This survey includes recommendations for further investigations and also advice on budget for repairs and ongoing maintenance possibly required in future. You can also opt for a Level 2 survey with or without a valuation. If you choose a survey with a valuation, it includes the market value, a list of problems that the surveyor thinks may affect the value and a reinstatement figure. This is how much it would cost to rebuild the property should it be destroyed.

RPSA Home Condition Survey

This is the equivalent to a RICS Home Survey Level 2 and is offered by the Residential Property Surveyors Association rather than the Royal Institution of Chartered Surveyors (RICS). Home Condition Surveys are produced in a consumer friendly format and are independently checked to ensure consistency and quality. You get details such as damp assessments, boundary issues and broadband speed.

RICS Home Survey Level 3

Also known as a full structural survey, this is the most thorough RICS survey. If you’re buying a property over 50 years old, or it is an unusual design, is in poor condition or is listed this is the survey to choose. Also, if you’re considering renovations or have any concerns about the property, this survey is a wise option. It costs more but it includes more detail than the previous surveys. This includes identifiable risks, hidden defects and it also outlines the scope of any appropriate remedial work. These surveys also explain any consequences of not repairing any issues.

RPSA Building Survey

This is the RSPA’s highest level of non-invasive surveys. It includes everything mentioned in the Home Survey but goes further. These reports include descriptions of construction and any defects and explanations about how to carry out rectifying defects as well as the consequences of not rectifying issues.

How much do surveys cost?

• The RICS Home Survey Level 1 is usually between £300-£900.
• Its Level 2 Survey is around £400-£1,000.
• The RPSA Home Condition Survey typically cost between £400-£900.
• If you need the highest level surveys from RICS or RPSA, budget the cost to be around £650-£1,500. But they can cost more depending on the property!

What to do next

• You’ll need to choose a good surveyor. You should shop around and don’t just go with the surveyor recommend by your bank or estate agent.
• Check to make sure your surveyor is a member of RICS or RPSA. RICS members will have MRICS or FRICS after their name,
• Make sure you know what you are getting. Ask to see copies of past reports to help you understand what report your property requires.
• If you’re buying a new build property, a snagging survey should be carried out. These cost around £300-£600 and will highlight issues such as misaligned doors. Carry out snagging before you exchange or, if it’s off-plan, carry out a snagging survey before completion.