Posts Tagged ‘Building Survey’

Is it worth surveying a brand new home?

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I complete many surveys for Building Companies; Part Exchange cases mainly. Often I am asked by a home owner “Should I have a survey on a brand new home? Would it be worth it?”.

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This is one of the hardest questions to answer. Yes? No? Maybe?

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The way I handle such a question is to first ask why they are asking – often a clue develops in that conversation. Others handle this differently and I so-called SNAGGING REPORTS that say that a door is non-compliant due to some obscure Regulation breach and that it has a small scratch by one hinge etc….

Has a solicitor advised a report? Has what I have been doing in their own/current second-hand (old) home frightened them into action? Have they been watching too much TV? Have they had a Lender Valuation report copy and something has upset them?

Often potential purchasers see the Environmental Report and are frighten so much that they google Surveyors and ring to get free advice on that report – this is common.

Sometimes purchasers see something closeby to their new home, eg: an electrical sub-station, and ask if they could get cancer if they moved in – I am not joking!

Sometimes purchasers see that the local sub-soils are predominantly of shrinkable clay and ask me to complete a full Building Survey (on a new home) to ensure them that subsidence is not affecting their potential purchase.

I suppose that what drives many of these types of comment is the fact that purchasers often feel out of their depth: they need and seek re-assurance and asking for the most expensive form of survey fulfills that inner need.

In some cases they ask for a full building survey but when I ask if they also require a market valuation they say “no – I have had a Lenders Report and they say the price is ok”, or they say “I don’t need a Rebuild Cost Assessment because I have insured it for the purchase price”! Rational?

So, how do I answer this question – Is a new home survey really worth it?

First – discover why they are asking. What drives the request? MOTIVATION?

Second – ask what type of home it is and where it is; what is its value? QUALITY? SCALE?

Third – ask at what stage of construction is it at? PRACTICALITIES?

My answer then falls into place.

If it is part built then I report that to ensure a good build-quality they could employ me to check, weekly, during the remaining build-period and to then snag and de-snag the final structure. Obviously this is expensive but would deliver the best build quality and finish possible.

I often refer to the fact that defects often need time to manifest themselves: a missing internal door lintel may not show any distress until months or even years later. A survey after snagging would probably not reveal that problem or risk. This is not negligence.

Is performance of a snagging list the best form of survey? I have seen “specialist contractor” snagging reports and they stagger me. They have merit but are usually filled up with comments such as “the top edge of the bedroom door is not finished in accordance with the British Internal Joinery Association Code of Practice No XYZ/123 and the fire-stop is 1mm too narrow to door head corner area etc….

The surveyor may be right in making such comments but the effect of his/her remarks is generally inconsequential in terms of reduced/increased fire risks. The fact is that if you buy a new car, it is not perfect and it will de-value immediately. The same is true of housing.

We are rapidly becoming American’ised and expect perfection and he-who-shouts-loudest often can succeed in getting works done because of such snagging reports. The “reasonableness test” of whether something not right is actually “wrong” is a moving target depending on circumstances:-

Referring to a part of the building element –

• Does it fulfill its designed performance?
• Has it been installed/built correctly?
• Will it be liable to age more rapidly?
• Does it look reasonable?
• Is it safe?
• Can it be repaired without disproportionate cost?
• Does the problem affect value or saleability? Etc…….

A case can be made to say that some “defects” do not need to be rectified. All things are in a state of imperfection and so why change them? A reason must exist.

My own approach is one of common-sense: is a repair needed? My thought processes will be influenced by the calibre and quality of the building, its weather exposure and if a problem affects value and saleability. My actions on site should not reflect the whims of my client.

“Do you need a survey” also depends on the reputation of the Developer: if they have a good after-sales regime then you can expect to rely upon that service, as well as the limited cover provided by the NHBC 10 or 15 year insurance policy on the home.

So – is a new home survey worth it? Well, yes. Yes, but the type of inspection(s) or report are open to opinion and that is determined by budgetary constraints and personal attitudes. Some clients say “as detailed as possible so I can screw the builder, please”.

So, I DO FIND IT DIFFICULT TO ANSWER THIS QUESTION. I do not like to see clients pay good fee money for less-than-practical-reports and so a certain definition of terms is always needed so I can define the right survey product for any particular client. Any mis-match of expectations will inevitably result in hassle for all parties concerned.

Once (years ago) a repeat client of mine asked for a “full survey” on a new home: when I began my questioning it transpired that the client had a very inflated opinion of the quality of her purchase and the builders ability to set right all faults. In that particular instance I decided to not quote or act for the client. Ducking out? Perhaps I did, but perhaps somebody else didn’t and I hope the client got what she wanted but, to remain professional, I do not report “to order”.

I consider the above a truly professional stance; others may say differently but I like to think my stance is both modern and appropriate to today. I would like to hear others’ views on this conundrum – got a view?

At the end of the day do you think it is wise to spend a massive sum and not take true, independent opinion on whether faults or defects exist? Talk to me BEFORE you let anybody else convince  you otherwise. Stuart Parrett +44 (0)1489 896 174 or use the CONTACT FORM above.

I have inserted this reference page as much confusion reigns in the marketplace about what is, and who does, a detailed house valuation or survey.

Need a detailed House Inspection Survey? A Structural Survey?

It is easy to lapse into jargon that not everybody can understand. Also some clients ask for the wrong survey option EG: Many clients ask for a Structural Survey (a Level 3 product) but in fact they mean something else.

What the client wants is a Building Survey (a Level 3 product), perhaps with a Market Valuation (a Level 1 inspection product): somebody has told them that they need a full Structural Survey and so that is what is requested.

The key is to know what drives the need for a survey. This is why PROinspect place such high emphasis on one-to-one talking to all clients. If we understand why you need a report and what that report is going to be used for then we can recommend the best and most relevant survey product.

Many years ago House Surveyors did basically three services – Valuations (level 1), Homebuyer Reports (level 2) and top-of-the-range Structural Surveys (level 3). This became very confusing because Structural Surveys were also being completed by Structural Engineers, Chartered Surveyors, Chartered Building Surveyors, various differing forms of Engineer etc….. Often each version of a Structural Survey was completely different and the Public were highly confused.

The main Controlling Bodies eventually came together and decided enough-was-enough with the result that nowadays these Professionals offer the following services (related to House selling/purchase):-

Structural Engineers – Forsenic diagnostic reports on structural movement including load-bearing calculations. Often described as “you know you have a problem, now let’s analysis it”.

Chartered Surveyors (PROinspect) – House Building Surveys (condition reports) on the very large majority of UK housing. Can include Market Valuations.

Chartered Building Surveyors – Usually highly detailed Building Surveys but in circumstances where exposure of foundations etc… may be required (or other “further investigations”). Can include repair costings but generally cannot provide Market Valuations.

Various differing forms of Engineer – Without wishing to be too elitist such persons usually offer only a diluted or partial service.

Home Inspectors – Most cannot or could not complete a Building Survey or Valuation. These complete Level 2 survey products alone.

Most UK Buyers, Owners and/or Sellers use Chartered Surveyors for survey requirements.

By the way, don’t get confused about qualifications: the professional heavyweights have FRICS after their name. AssocRICS and MRICS are valid qualifications also but these persons may have limited experience compared with FRICS members of the Royal Institution (RICS).

You can check Surveyor qualifications at this website RICS.

Don’t think that you get decent advice in a full Building Survey. A well crafted level 2 Survey Product will give you what you want to know about the presence of defects and the effect they have on property value; what a level 2 product may lack is some of the finer detail in terms of extensive explanatory comments. Don’t forget you can always call your PROinspect Surveyor if you want additional advice: we don’t charge extra for talking to you!

This, by a long long way, is the most popular form of home survey inspection product in England. It easily surpasses all other so-called bespoke Level 2 products and is the Industry leader.

The scheme has been designed and updated by the Royal Institution of Chartered Surveyors (RICS) in late 2009 and all member Surveyors must use this version as from 1st January 2010.

In essence this is an economy version survey designed with the layman in mind: it is non-technical but is very much a “proper survey” using “proper words” and will offer genuine advice on defects, hazards and premises value (and Insurance rebuild cost).

One new aspect is the introduction of CONDITION RATINGS: 1, 2 & 3 (like traffic lights – red is bad, green is good and, guess what, amber is OK but……..).

In the large majority of cases this survey product will suite purchasers buying mainstream, modern-to-fairly-modern homes. When homes become more complex, older, large or of non-traditional forms of construction then perhaps you should opt to commission the more extensive BUILDING SURVEY product. However, BEFORE you commission a Surveyor call us for a product recommendation as the new Homebuyer Report (HBR) is quite adaptable.

As the HBR is a National Reporting Scheme it has standardised contract documentation and terms and these are sent to the client in advance of attending on-site (together with our Standard Terms).

So … sometimes surveying can be as easy as 1 2 3.

Home Sweet Home OR House of Horrors? Let us take the guesswork out of your choices.