A home is the most expensive purchase most of us will ever make. The vast majority of property sales rely on a pre-purchase property survey to provide essential information on the condition of the property in question. But with many different types of survey on offer, which is the right one for you? Should you get the RICS Level 2 Home Survey or the RICS Level 3 Home Survey?
Peter Barry Surveyors have many years’ experience in all aspects of residential property surveying and are regulated by the Royal Institution of Chartered Surveyors (RICS). Our specialist surveying team undertake numerous RICS Level 2 and Level 3 Home Survey reports every week and can provide professional advice on all surveying requirements.
What is a RICS Level 2 Home Survey?
The RICS Level 2 Home Survey report (formerly known as a Homebuyer Report) is a medium level survey, which we would recommend for flats and modern houses. It is a cost effective method of minimising risk by giving the buyer sufficient information to make a reasoned and informed decision regarding the property purchase.
The report is based on an in-depth visual inspection of the property and follows a set format designed by the RICS, aimed at clearly distinguishing the defects and issues noted during the surveyor’s inspection.
This is done by rating each defect via a traffic light system:
Condition rating 3 (red)
Defects that are serious and/or need to be repaired, replaced or investigated urgently.
Condition rating 2 (amber)
Defects that need repairing or replacing but are not considered to be either serious or urgent. The property must be maintained in the normal way.
Condition rating 1 (green)
No repair is currently needed. The property must be maintained in the normal way.
Most reports will contain a mixture of the above ratings, but it is the Condition 3 ratings that should be of greatest concern to the buyer. For instance, if the report recommended urgent repair or replacement of the roof covering, costs for an average size house could be in the region of £7,500 or more. This could have a substantial impact on the sale price, and the buyer may wish to reduce their offer accordingly.
Property valuation
As RICS Level 2 Home Survey (survey and valuation) option will include a market valuation of the property, typically determined by way of comparative research methods, and the cost of reinstatement.
The surveyor will visually inspect the property noting its age, type, construction and other characteristics. The findings will be compared to similar transacted properties and the figures adjusted until a considered and reasoned opinion of the market value has been arrived at.
A reinstatement valuation, which is included with the ‘survey and valuation’ option, will confirm the total rebuilding cost of the property. This will typically be for the benefit of obtaining adequate home insurance for the property.
When do you need a RICS Level 3 Home Survey?
A Level 3 Home Survey report, formerly known as a Full Structural Survey or Building Survey, is a high level survey. It is similar in content to the RICS Level 2 Home Survey report while providing a far more detailed analysis of the findings. It is highly recommended for converted flats or houses that require a lot of work, and particularly for larger and older properties. A RICS Level 3 Home Survey will not only describe visible defects but also consider potential issues caused by hidden flaws.
The benefit of a RICS Level 3 Home Survey is the detail that the report will go into when discussing a particular defect. As a general rule, where a defect is noted, the report will provide an in-depth analysis of the defect itself and its likely causes. It will then consider repair options, giving the buyer a comprehensive understanding of the issue as well as the steps needed to find a solution.
With an RICS Level 3 Home Survey, there is the option of including estimated costs for the more significant defects and repairs. A market valuation and reinstatement valuation are not offered as standard within the RICS format, but we can include this as part of the service within a separate report alongside if discussed with the surveyor in advance. We also offer the option of commissioning an outline feasibility report relating to any proposals you have to alter or extend the property.
Peter Barry Surveyors
If you have any particular concerns about a property you are planning to buy, Peter Barry Surveyors can carry out an RICS Level 2 or Level 3 Home Survey report to put your mind at ease. With vast surveying experience in and around London, our expert multidisciplinary team can provide comprehensive reports and in-depth analyses on the condition of any type of property. We are happy to advise on the best type of survey for your particular situation.
Once our report has been completed and you’ve had time to digest its recommendations, we encourage our clients to get in touch to discuss the findings with us direct. This provides an opportunity to ask further questions as they arise. It will also give us the chance to get to know you better so we can provide the best possible customer service, now and in any future matters that we assist you with.
Why Choose Peter Barry Chartered Surveyors?
At Peter Barry Surveyors, you can be assured of the highest quality of surveying expertise. Being RICS regulated means that we must follow strict rules of conduct and be fully insured to protect our clients’ interests. Our surveyors regularly update their professional skills and knowledge, meaning we are able to offer the highest quality service at all times.
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