Buying a house is one of the most significant investments we make in our lifetimes, and it’s a process filled with excitement, anticipation, and a fair share of complexity. Before we can call ourselves homeowners, there are numerous steps to tackle, one of which includes the critical phase of house surveys. Understanding what a house survey is and its importance could save us from future headaches and unexpected repair costs.
House surveys are detailed inspections of a property’s condition. They are carried out by accredited surveyors who assess the house you intend to purchase. The survey will identify any structural issues or necessary repairs, which can affect your buying decision or allow you to negotiate the price accordingly. It’s essential for you to be aware of what the survey involves and which type of survey best suits the property you are looking at.
Selecting the right survey depends on the age, type, and condition of the property you’re interested in. There are typically three types of house surveys available in the UK: a Condition Report (Level 1 Home Survey), a HomeBuyer Report (Level 2 Home Survey), and a Building Survey (Level 3 Home Survey). Each comes with a different level of detail and is catered to varying needs. We should consider these options carefully, as they provide an insight into any potential issues that could cost us down the line.
Understanding House Surveys
Before we explore the specifics, it’s vital for us to understand that house surveys are assessments that provide insight into the condition of a property.
Purpose of House Surveys
House surveys serve as a crucial step in the house buying process. They are conducted to:
- Identify any structural problems or repairs needed.
- Flag up any potential issues with damp.
- Inform our decision on whether to proceed with the purchase.
Types of House Surveys
There are several types of house surveys we might consider, each offering different levels of detail:
1. Condition Report (Level 1 Home Survey)
- Basic overview of the property’s condition.
- Highlights urgent defects.
- Best suited for newer and conventional homes.
- More detailed than a Condition Report.
- Includes all the features of Level 1 plus advice on repairs and maintenance.
- Often accompanied by a valuation.
- The most comprehensive survey.
- Detailed analysis of the property’s condition.
- Advises on repairs, maintenance, and potential costs.
- Suitable for older or unusual properties, or those planning major works.
Preparing for the Purchase
When you’re buying a house, it’s crucial that you start with a solid plan focused on your budget and the characteristics of the property you’re aiming for.
Budgeting and Financing
Before anything else, you need to assess your financial situation. Crafting a budget helps you understand what you can afford, factoring in not just the purchase price but associated costs too.
- Here’s how to budget effectively:
1. Income Assessment: Calculate your total monthly income.
2. Expense Analysis: List all your current expenses to determine how much you can realistically allocate towards the purchase.
3. Savings Review: Review your savings for the deposit, bearing in mind that a larger deposit typically means a more favourable mortgage deal.
4. Additional Costs: Remember to include stamp duty, solicitor fees, moving costs, and any immediate home improvements.
- Acquire a ‘Mortgage in Principle‘ – this gives you an idea of the mortgage amount you’re likely to get, showing sellers you are a serious buyer.
- Compare Mortgages: Look at different types of mortgages, interest rates, and lenders. A fixed-rate mortgage will give you the certainty of knowing your monthly repayments.
Choosing the Right Property
You must also be clear on your property requirements to ensure it meets your long-term needs.
Consider these factors:
- Location: Seek a balance between affordability and convenience, such as access to work, schools, and amenities.
- Size: Think about the number of bedrooms and living space you need.
- Type of Property: Whether a flat, terraced, semi-detached or detached house.
- Future Value: Consider potential for increase in value, whether through expansion or local development.
The Purchasing Process
When you’re looking to buy a home, understanding the steps you need to take is critical for a smooth transaction. Let’s walk through the essentials of making an offer, enlisting a solicitor, and finally, exchanging contracts.
Making an Offer
After you’ve found the property you wish to call your new home, the first step is to make a formal offer. You do this through the estate agent handling the sale. Your offer should be based on:
- Market analysis: Comparable property prices in the area.
- Property condition: Adjustments for any repairs or renovations needed.
Hiring a Solicitor
Once your offer is accepted, it’s paramount to instruct a solicitor or a conveyancer to handle the legal aspects. They will perform tasks like:
- Conducting searches: Your solicitor will check local authority records and other details to make sure there are no issues you should know about.
- Drafting contracts: They’ll prepare the necessary documents that outline the terms of the sale.
Exchanging Contracts
This is the moment when the transaction becomes legally binding for both you and the seller. Before the exchange, you’ll need to:
- Agree on a completion date: The day you officially take ownership of the property.
- Transfer deposit: Typically, this is 10% or more of the property’s purchase price.
Once these steps are completed, your solicitor will exchange contracts with the seller’s solicitor.
Upon completion of the sale, we must ensure that all the legal and financial obligations are met. Take care of the following:
- Transfer of Funds: Ensure the mortgage lender releases the funds to the seller’s solicitor.
- Deeds and Legal Documents: Your solicitor will register the change of ownership with the Land Registry.
- Utilities and Services: You’ll need to set up gas, electricity, water, internet, and other services in your name.
After the Purchase
Once you’ve successfully navigated the house-buying process, the next steps involve planning your move-in.
Moving In
Moving day is exciting, but it requires careful planning. Here’s what you need to do:
- Removal Company: Book a trusted removal company early on. Ensure they’re available on your chosen moving day.
- Packing: Label our boxes clearly by room and contents.
- Essentials Box: Pack a box with necessities for the first night such as toiletries, a change of clothes, and basic kitchen items.
- Home Insurance: Activate your home insurance policy from the day we move in to protect our new home.
By focusing on each task methodically, we’ll enjoy a smooth transition into our new house!
Get in touch with Survey Hut today for a comprehensive Level 2 or Level 3 Home Survey. We are held to the highest professional standards by the RICS, so you know that you’ll get a high-quality report. Make sure your perfect home, is perfect.
