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What is the Difference Between a Mortgage Valuation and a Homebuyer Survey?

There are many different survey options available to you if you are looking to buy a property. With all the various options, it can be hard to know which one you need. From mortgage surveys to building surveys, each one has a different role and purpose. Where it often gets confusing is that many of these surveys overlap in some areas. According to Love Money, homebuyers are wasting up to £1.3billion per year on having the wrong surveys done on properties.

Mortgage valuations and homebuyer surveys are two of the most commonly talked about for people looking to purchase a property. So what is the difference between them, and which one do you need?


Mortgage valuation

A mortgage valuation survey is done mainly for the benefit of your lender. Especially in the current risky climate, lenders need to be sure that their investment is safe. In order to do this, they have to ascertain whether the property you are intending to buy is actually worth the amount you wish to borrow. A mortgage valuation will therefore give you an idea of the valuation of the property, which is vital for your lender, and very useful for you.


Homebuyer survey

A homebuyer survey begins to look at the actual condition of the home. It views the property as something that will need to be lived in, so it assesses the main areas and rates them according to their condition. Areas rated a three need to be repaired urgently, whilst areas rated one require no action to be taken. The homebuyer survey therefore allows you to assess how suitable the property actually is as a potential home.


How much does a mortgage valuation cost?

The cost of a mortgage valuation will vary. Some lenders may even cover the cost of it themselves, as a way of enticing you into getting your mortgage with them. If not, you will have to pay for this upfront, although some lenders may allow you to add the cost of this fee to your overall mortgage balance. How much you will have to pay for your mortgage valuation will vary. Each lender will have its own pricelist of valuation charges, which usually rise along with the estimated value of the property to be surveyed.


RICS valuations by Allcott Associates

Allcott Associates provide surveying and structural services in Milton Keynes, Nottingham, Leamington Spa, Birmingham, Oxford and Bristol. We are regulated by the Royal Institute of Chartered Surveyors, and always provide the highest level of service to all our clients. We can provide a range of building surveys for homebuyers, including valuations, homebuyer surveys and structural surveys.

Our surveying services allow you to be a hundred per cent certain that the property you wish to buy is suitable for your needs. We can provide valuations, spot underlying problems, and help you avoid costly work in the future. Visit us today for more information on our RICS valuations.