What Are the Risks of Buying a House Without a House Survey?

Buying a home is one of the most significant investments many people will make in their lives, and it’s often an emotional process. However, in the rush to finalise the deal, some buyers consider skipping a crucial step: the house survey. While it may seem like a way to save money upfront, bypassing this process can result in unexpected and costly problems down the road.

A house survey, carried out by a RICS Chartered Surveyor, is an essential part of the home-buying process in the UK. It assesses the property’s condition and can help you avoid potential pitfalls, especially when buying an older or non-standard home. In this article, we’ll explore the risks of buying a house without a survey and answer some of the most commonly asked questions on this topic.

What is a House Survey?

A house survey is an inspection carried out by a surveyor to evaluate the condition of a property.

Here are some of the most common types of surveys:

• RICS Level 1 (Condition Report): A basic survey that gives an overview of the property’s condition, identifying any visible defects or potential concerns.
• RICS Level 2 (HomeBuyer Report): A more detailed survey suited for conventional properties in good condition, offering guidance on defects, necessary repairs, and ongoing maintenance.
• RICS Level 3 (Building Survey): The most in-depth survey, ideal for older or unconventional properties, providing a thorough analysis of the property’s condition and structural soundness.
• Valuation Survey: Assesses the market value of the property, often required for mortgage or insurance purposes.
• Specialist Surveys: Targeted surveys focusing on specific aspects such as energy efficiency, accessibility, or environmental issues.

At Novello Chartered Surveyors, we offer standalone HomeBuyer Reports and Building Surveys. However, our Private Client Surveying Service goes beyond the standard Building Survey Report, offering comprehensive support and advice. Acting as your strategic personal surveyor, we work directly with you throughout the entire process. Each of our surveyors manages only 3-4 clients per week, ensuring the attention and care you deserve.

Why Do People Skip a House Survey?

There are several reasons why home buyers might choose to skip a survey:

• Cost: Surveys can be costly, depending on the type and complexity of the property.
• Time constraints: In competitive markets, some buyers rush the process to close deals faster.
• Misunderstanding of the mortgage valuation: Some buyers mistakenly believe that the mortgage valuation is the same as a survey, but a valuation only assesses the property’s worth, not its condition.

At first glance, these reasons might seem plausible but skipping a house survey can result in significant financial risks and headaches.

The Risks of Buying a House Without a Survey

Undetected Structural Issues

The most severe risk of skipping a house survey is that you could end up purchasing a property with significant structural issues, such as subsidence, damp, or rot. A Building Survey (Level 3) or HomeBuyer Report (Level 2) would typically highlight these issues, giving you a chance to renegotiate or walk away. Without this information, you could end up facing repair bills that run into tens of thousands of pounds after you’ve purchased the property.

Hidden Damp and Rot

Damp and rot can be hidden within walls, ceilings, or floors and may not be immediately visible during a casual inspection. A qualified RICS Chartered Surveyor can identify the warning signs of moisture or rot that the average buyer might miss. Without a survey, you could unknowingly purchase a home with severe damp issues that could lead to structural damage over time.

Electrical and Plumbing Issues

Older properties, in particular, may have outdated or faulty electrical and plumbing systems that are expensive to fix. A survey will assess the condition of these systems and highlight any immediate concerns. If these issues are missed, they could pose not only financial costs but also safety hazards.

Boundary Disputes and Legal Issues

Surveys often reveal discrepancies with property boundaries, rights of way, or other legal issues that could affect your ownership rights. By skipping a survey, you might unknowingly buy a house with an unresolved boundary dispute or other legal encumbrances, which could lead to expensive legal battles or restrictions on how you can use the property.

Overpaying for the Property

When you skip conducting a comprehensive survey before purchasing a property, there’s a significant risk of overestimating its true value. Without detailed information about the property’s condition, you might be unaware of critical repairs, structural issues, or maintenance needs that could be costly to address in the future. This lack of insight can lead to overpaying, as you’re basing your decision on surface-level observations rather than an informed understanding of potential problems.

Unexpected Future Costs

Even if a property looks perfect on the surface, it could be harbouring defects that will require expensive repairs later on. A comprehensive survey can alert you to issues that might not need immediate attention but could become costly problems in the future. By forgoing a survey, you’re essentially buying the house “as-is,” with no insight into what repairs or maintenance will be required down the road.

Common Questions About House Surveys

Q: Do I need a survey if the property is new?

A: While new-build homes tend to have fewer problems than older properties, it’s still worth getting a snagging survey. This type of survey checks for defects or incomplete work that may need rectifying by the developer.

Q: How is a mortgage valuation different from a survey?

A: A mortgage valuation is purely for the lender’s benefit to ensure that the property is worth the amount they’re lending. It doesn’t assess the property’s condition, so it’s not a substitute for a comprehensive survey such as a building survey.

You can read more about the differences between a mortgage and a house survey in our blog “Understanding the Difference Between a House Survey and a Mortgage Valuation”.

Q: What happens if a survey reveals serious issues?

A: If a survey uncovers significant problems, you have several options. You can:

• Renegotiate the price to reflect the cost of necessary repairs.
• Request the seller to make the repairs before finalising the sale.
• Walk away from the deal if the issues are too severe or costly to address.

Q: Can I rely on the seller’s survey report?

A: It’s not advisable to rely solely on the seller’s survey. Their survey may not be as comprehensive as the one you’d commission independently, and it may not fully address your specific concerns. It’s best to arrange your own survey with a RICS Chartered Surveyor to ensure you have an impartial and detailed report.

Conclusion

While skipping a house survey might seem like a way to save money and speed up the home-buying process, the risks far outweigh the benefits. A house survey, particularly one conducted by an RICS Chartered Surveyor, is your best defence against unexpected repair costs, legal disputes, and safety hazards. Whether you’re buying an older home, a new build, or something in between, getting a comprehensive survey will give you peace of mind and potentially save you thousands of pounds in the long run.

Our survey reports provide you with all the essential information potentially saving you thousands. For reliable, unbiased, and precise advice from a trusted team of innovative and responsive experts, contact Novello Chartered Surveyors today.