The start of 2024 has brought with it a sense of stability in the housing market, with house prices on the rise and an increase in people enquiring about conveyancing solicitors and removal companies. With this stability, we are seeing a huge increase in people looking for house surveys.

Compare My Move has seen an 88.7% increase in people looking for all survey types between December of 2023 and January of 2024. 

Although all survey types saw a significant increase, the Level 3 Building Survey saw the largest increase, almost doubling in enquiries at the start of 2024.

Many factors go into what survey you’ll need for your specific property, and it can be difficult to know what factors will influence the survey you need. Compare My Move’s Ultimate Survey Flowchart is designed to help you figure out what survey you need or whether you’ll need a survey at all. 

Different types of surveys

There are 4 different types of surveys that you may need when buying a property, a snagging survey, a level 1 condition report, a level 2 homebuyer report, and a level 3 building survey. Each report will cover different issues that will be surveyed in different ways and at different depths. 

Snagging Survey

If you’re buying a new build house, a professional snagging survey will provide you with a list of any “snags” to be passed on to the property developer before you move in.

These snags can range from small defects to major faults. Typical smaller issues include cracked tiles or loose door hinges, while larger issues could be structural problems like external brickwork.

Although you can create a new build snagging list yourself, hiring a surveyor is recommended as they’ll have more knowledge of what to look for. The surveyor will provide a thorough report with all issues listed.

Level 1 Condition Report

Previously known as Condition Report, the Level 1 Survey is the most basic and therefore cheapest RICS survey. All nearly new flats and homes will be best suited to the Level 1 Survey.

It’ll provide an overview of the property’s condition, but not in great detail. No surveyor’s opinion, advice or valuation is given, only obvious defects and the condition of the services like gas and water supply will be flagged.

Level 2 Homebuyer Report

Also referred to as a Home Buyers Survey or Home Buyer Report, the Level 2 Survey is suited for conventional properties built less than 50 years ago. It highlights any major issues with the property such as subsidence or damp and will look at defects both internally and externally.

The Level 2 Survey only looks at issues that are surface level and won’t check under floorboards or behind walls. Your surveyor will mark any major issues as a ‘3’ in the report and minor ones as ‘1’.

The report will also include an insurance reinstatement figure and a market value.

Level 3 Building Survey

Previously known as a Building Survey, a Level 3 Survey is best suited to older homes or non-standard construction houses. This could include thatched cottages, steel frame houses or PRC properties. It’ll look at the condition of the roof, the integrity and structure of the walls and the state of the floors.

Your report will detail each aspect inspected and will include any recommendations your surveyor has on repair work. If requested the report may also contain cost considerations for the elements included.

Is It Worth Getting a House Survey?

A property survey can save you £5,750 on average in repair work, research by RICS discovered. As a survey will highlight any repair work, this allows you to negotiate your original offer and the final cost of the property. This can ultimately save you thousands of pounds in repairs.

How Long Does a House Survey Take?

A Level 1 Survey will take between 2 and 4 hours as it is the most basic survey type. The Level 2 will also take 2-4 hours, but if the surveyor needs to gain access to certain areas, this can take longer. The Level 3 survey will take the longest with an average timescale of 4-8 hours, depending on condition and size.

What Survey Would I Need in Scotland?

In Scotland, it’s the seller’s responsibility to order the Home Report. It must be carried out before a sale is complete to ensure that buyers are aware of the property’s condition. The Home Report is made up of a single survey, an energy performance certificate and a property questionnaire. The single survey provided will produce reports like that of a Level 2, with similar issues and defects being recorded.

By Sarah Thompson, Managing Director, Mortgage Scout

Compared with a decade ago, today’s first-time buyers are older, more likely to buy with a partner and more likely to have dependent children. This highlights how getting on the property ladder is becoming increasingly hard for younger borrowers. However, lenders are always introducing new propositions to ensure solutions are in place to help prospective homeowners buy their first property. It could be you who helps them!

The 1980s, perhaps best known for its music and the invention of Super Mario, was a time when the average house price was £22,676 and the average deposit was £3,000. Fast forward to 2018, and we see a completely different picture: the average house price is £224,353, and the average deposit costs you £34,000. This shows a whopping growth of around 890% in house prices! However, wage growth hasn’t seen the same hike, so it is no surprise that borrowers are continuously finding it harder.

For many, the Bank of Mum and Dad seems like the only option. According to the Social Mobility Commission, over 30% of UK households with dependent children hold assets that could be used towards a deposit to purchase a home. This could lead to an increase in the number of first-time buyers turning to help from their family. The Social Mobility Commission’s research suggests this could rise to nearly 40% by 2039/40. Do you hold assets that could give your loved ones the gift of a lifetime?

Joint borrower, sole proprietor mortgages (JBSP)

JBSP mortgages are one solution that may help. They’re aimed at bridging the gap between salaries and house prices and are geared towards helping close family members get onto the property ladder or move home. Lend a helping hand to your children’s plans of purchasing their first home!

Joint borrower, sole proprietor mortgages allow you to support your family by adding your name to the mortgage, increasing income and increasing the maximum loan available. A JBSP mortgage is a financial arrangement where up to four individuals can jointly secure a mortgage, but only one person legally owns the property.

This type of mortgage is commonly chosen by parents who wish to help their children step onto the property ladder, but it’s also used by siblings or friends combining their incomes to buy a house with only one residing in it.

A key aspect of JBSP mortgages is that while all borrowers are jointly responsible for the mortgage repayments, reducing the risk for the lender, there’s also a collective liability. If one borrower fails to pay, the others must compensate for the shortfall. It’s, therefore, essential to enter into a JBSP mortgage with trusted individuals and clearly understand each other’s financial situations.

Only the sole owner of the property, the proprietor, is listed on the title deeds. This means other borrowers have no legal rights to the property or any increase in its value. Lenders usually stipulate that this individual must reside in the property. This arrangement is ideal for those who want to assist with a property purchase without retaining a long-term interest in it, allowing for an easy exit when the proprietor can take on the mortgage independently.

In terms of operation, JBSP mortgages are similar to standard mortgages. To evaluate affordability, lenders assess all borrowers’ financial circumstances, including income and outgoings. Borrowers must also meet the lender’s specific criteria, such as age limits and creditworthiness. The age limit for a JBSP mortgage typically caps at 70 or 80 years at the end of the mortgage term. When the initial fixed-rate or discount period ends, the sole owner has the option to remortgage solely in their name.

One of the advantages of a JBSP mortgage is its potential impact on Stamp Duty. Generally, purchasing a property with someone who already owns a home attracts a higher Stamp Duty rate. However, under a JBSP mortgage, the non-owning parties don’t trigger this additional charge.

Planning for unexpected scenarios, such as illness or unemployment, is prudent, like any mortgage. Income protection insurance can effectively ensure mortgage repayments and other bills are covered during such times.

Raising a deposit

Affordability is not the only challenge to first-time buyers and joint borrowers; sole proprietor mortgages may not be the best solution for everyone, so there are other options you may want to consider. If your loved ones cannot raise a deposit, you can still help. You can use your property or savings as security for their mortgage instead of gifting them a deposit. Many lenders are offering these types of products, too.