A mortgage lender will require a valuation of the property that you intend to buy in order to ensure that they are happy to lend against it. There are three different types of survey that can be carried out and as follows:
A basic valuation
As the description indicates-this is a basic report prepared by the Royal Institute of Chartered Surveyors (RICS) on the request of the lender. It is based on a short inspection of the property whereby some defects may be found. Please note that it may be that there are other problems with the property that is not picked up on a basic valuation and a buyer cannot then make a comeback against the surveyor who did the valuation. This is because the surveyor is not there to carry out a detailed report. For a more detailed account of the state of the property you will need to look at obtaining a Home buyers Report or a Building survey.
This is a more expensive and detailed report looking at the viability of the property being purchased. This is approved by RICS and will look to see if there are any major defects in the property. It can also involve a roof inspection. With this type of report, there is a possibility of action being taken against the surveyor if something is not spotted or something is found to be incorrect on the report.
Whilst it is a thorough report, it is still not as detailed and comprehensive as a Building Survey which is the ultimate survey to be carried out if you require that extra peace of mind.
The most detailed survey you can conduct. It provides a full analysis of the property. The report will detail every kind of defect but will also make recommendations for remedial works to be carried out unlike the other two surveys. It is the most expensive kind of survey but especially useful for those properties which may need a lot of work or are older. In addition, if there is any kind of error in the report, the buyer will have full recourse to take action against the surveyor who carried out the report.
If a serious problem is found with the property that has been extracted from a survey being carried out, then you can either withdraw the offer or negotiate a reduction in the sale price.