Do I need a house survey for buying a flat I have already lived in for over 3 years?
Saturday, March 21st, 2009 at
4:06 am
I am buying the 1-bed flat that I have been renting for the last 3 1/2 years and confused about if I need to get a Home Buyers Survey.
Obviously, we will have the mortgage lenders survey, but as I understand they do not really check anything other than the house is valued correctly for what they are lending?
However, just what woudl the Home Buyers Survey cover?
As we have lived at the flat I know there are no real issues (slight damp, hairline crack in a wall) and I doubt we will stop buying the property unless anything major is found - which I assume would only be uncovered in a full survey?
Also, I thought that any major issues would be covered under the entire block of flats - rather than my individual flat.
Any advice - much appreciated.
Real Estate Professionals
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Tagged with: 3 Years • House Buying • Renting
Filed under: flat mortgage
You don’t NEED it, but you take a big chance. Suppose dry rot was developing or there was a structural fault developing.?
It seems a false economy, you’re going to spend all those thousands, why not have peace of mind for a couple of hundred.
Your mortgage lender is likely to insist upon one, so the only choice you have is which type you go for.
Even if you’ve lived in a place for 3 years, do you really think you know enough about the structural fabric of the building? Can you be 100% sure there’s no asbestos that may need (expensive) removal a few years from now, etc?
Nothing is “covered under the entire block” - if the block needs underpinning or a new roof, etc, you will have to wedge out your share of the costs.
Where does this “hairline crack” start and what’s caused it?
You seem a bit laissez faire about the whole thing and, considering it’s probably the most money you’ve spent in your life so far - Would you be as nonchalent about buying a second hand car? If so I have a little runabout you might be interested in :o)
you only need the survey if you are getting a mortgage so the bank know there money is safe, if you are buying for cash there should be no problem.
first of all forget the Home Buyers Pack survey - it’s currently optional and there’s plenty of confusion about how this scheme is going to run. At the moment all the seller needs to do is make sure you have a copy of the deeds and other relevant documents giving you title but a solicitor will help you through this.
Now with regard to the structural survey. This is OPTIONAL, it is not compulsory at all. However, it may be a wise investment because even though you have lived there with renting, you may not be aware of structural movement or possible future repairs that might need to be done (your landlord’s current responsibility). So I’d speak to other people in your block and see if they have any recent surveys - has someone bought there recently, if so their survey might be worth reading. however, for peace of mind a survey would do you good because if there’s anything that is specified as needing to be done, now or in the future, you could use that as a bargaining ploy with the seller on his price.
N ow remember also that your mortgage lender is going to send someone round to examine the house too, sometimes called a ‘building society survey’. The difference is - this is NOT a structural survey, it’s a visual inspection by the building society that is lending you the money to make sure that, if you don’t pay back, they could sell the flat and get the price of your loan back.
You might want to speak to the freeholder of the flat and find out about service charges and a ’sinking fund’ which is where every occupant pays a specific amount every year which is held for major works (such as a new lift, new roof). A service charge covers normal running of the block, such as a porter, window cleaning, etc., but to ensure that you don’t get a huge bill one year for a one-off expense such as new lift then the freeholders generally ask for an additional amount which is put aside and used when these large expenses come up. You should ask for details of this, and get your solicitor to look at them.
Good luck, confusing I know, but a good solicitor will advice you well. Come back and ask more questions if there’s anything else you need to know.
You don’t need it, and I think that not having a survey done is an acceptable risk in the circumstances. Ask yourself what you would do if the full structural survey found something which needed expensive work done on it ? Would you pull out of the sale and find somewhere else to live ? I don’t think so. As long as you’ve got good buildings insurance you should be OK (not getting insured - now that IS a risk)
Your point about major issues being covered by the entire block is a good one - my instinct in your shoes would be to save the money.
You are not obliged to get a homebuyers Survey although the mortgage company will carry out a survey on its own but this will not go into much detail and you won’t get a copy.
The mortgage survey is very basic and will not look for problems like dry rot, rising damp, significant issues like major roof repairs or other items that could become expensive to sort out.
As a rule of thumb, it is generally suggested that if a property if less than 20 years old, you won’t need a full survey but a homebuyers survey is recommended. It highlights potential problems which will at least let you go in with your eyes open.
Since you have noticed a crack, wouldn’t it be nice to know that it is not caused by subsidence (very expensive to remedy) and ensure that the damp you are aware about it not rising damp which is costly to repair and releases spores into the air which can be harmful to health?
If there are major repairs needed and the property is leasehold then they may be covered by all the residents but your solicitor should check the leasehold to confirm this. My friend recently found out that she was solely responsible for the upkeep of the roof since she was living on the top floor. She is now paying out £6k for new roof on her own!
In this case, the saying ‘buyer beware’ this definitely appropriate. Cover all your bases so that you go into a purchase knowing what work will be needed (if any) and how much it will cost.
Good luck.