Mortgage Valuation vs Chartered Surveyor Property Survey – What You Need to Know

The home buying process can be long and complicated, and to make things easier for themselves, many prospective buyers searching for a Chartered Surveyor East London will endeavor to simplify things wherever possible. In that pursuit, many decide that a mortgage valuation and property survey must be the same thing, and act accordingly.

But that’s not the case. A house buyer survey and mortgage valuation share some similarities, but they’re different things — and prospective buyers can save themselves the risk of many future headaches by understanding what those differences are. In this post, we’ll run the ins and outs of both, and outline why it can pay to get in touch with a property surveyor before you buy your next home.

What is a Mortgage Valuation?

A mortgage valuation is an important process that checks that the amount that the buyer is paying for a property is correct. Let’s say, for instance, that a buyer was readying themselves to pay £500,000 for an East London house. A mortgage valuation will check the value of surrounding homes and the condition of the property to ensure that the amount is more or less an accurate reflection of market value.

While there are benefits to the buyer for this process, mortgage valuations are actually there to protect the lender, who will want to know that they’ll be able to recoup the cost of the loan should the buyer fail to pay off the mortgage amount.

What is a Chartered Surveyor Property Survey?

If we consider mortgage valuations to benefit the lender, then a property survey is there for the benefit of the buyer. Indeed, a property survey is often called a home buyer survey. A professional property surveyor will provide a detailed report about the full condition of the property the buyer intends to buy, outlining any current or potential issues that may result in maintenance or repair costs. The buyer can then use this information to decide whether to proceed with the purchase, change their bid, or withdraw from the buying process.

A good property surveyor East London company will offer different types of surveys depending on the type of property being surveyed and the requirements of the buyer. These include:

  • Condition Reports
  • Home Buyer Reports
  • Building Surveys.

If you’re not sure which type of survey you require, get in touch with a chartered surveyor.

What Mortgage Valuations and Property Surveys Check

Mortgage valuations and property surveys are both important, but they serve different purposes and involve different processes. As mentioned above, mortgage valuations are there to help lenders and property surveys benefit home buyers. Let’s take a look at what each of these assessments check and how they do it.

Mortgage Valuation

Each mortgage lender has its own mortgage valuation requirements. In general, however, assessments tend to be relatively short, taking between fifteen and thirty minutes. During this time, the assessor will check that the property is as they expect it to be. Assessments tend to focus on superficial aspects of the property without diving any deeper. Most issues that a mortgage valuation assessor notices will also be visible to the prospective home buyer. 

The assessor will also research the local housing market, including the sale price of surrounding properties, before coming up with a property valuation. 

Property Survey

Property surveys deal exclusively with the condition of the property. Much more thorough than a mortgage valuation, a home buyer survey includes assessing various internal and external components of the property. For example, an assessor may look for signs of damp and timber damage and assess structural integrity, as well as any hidden damages. The end result will be a report that indicates any repairs that will be required as well as any issues that may present themselves further down the line.

Work With a Chartered Surveyor For Peace of Mind

As we’ve seen, there are some key differences between a mortgage valuation and a property survey. Home buyers considering buying a property should hire a chartered surveyor to perform a property survey, which will allow them to be fully informed about the condition of the property before deciding whether to buy. It offers peace of mind that the home buyer is investing in a worthwhile property, or whether it’s best to continue with their search for a property.

Get In Touch With A Chartered Surveyor East London Today

If you’re considering buying a property, then don’t hesitate to get in touch. Our expert RICs chartered surveyors can carry out thorough property surveys on your behalf, ensuring that you go into the long and complex home-buying process fully secure that you’re making the right decision. 

If you enjoyed this article, why not read our recent thoughts on why it’s good practice to use a chartered surveyor for your next home move, even if it’s not required by your mortgage provider.

Ronan's broad range of surveying skills and detailed knowledge of property types & construction have been developed working in the private, public and residential sectors. He is an RICS Chartered Building Surveyor with 20 years experience and holds a Diploma in Financial Management examined by the Association of Chartered Certified Accountants.