4 New Tips for Conducting Surveys and Valuations before Property Auctions

Before buying a UK home, you must do your homework. This is true whether you purchase the home through an estate agent, or at a property auction. If you choose property sales auctions, the extra footwork that you must do can ultimately result in huge savings-making it worthwhile. One of the most important steps when planning to purchase a home through a property auction is to have a survey or valuation conducted. Here are some top tips for mortgage surveys and valuations:

1. Know when surveys and valuations are needed

What is the difference between surveys and valuations? Surveys determine if a property is worth a stated value, while valuations determine the value of a property based on similar properties. When applying for a mortgage, lenders require a "mortgage valuation" on the house that you put up as security for the mortgage.

Regarding the house itself that you intend to buy at a property auction, you can have a variety of surveys and valuations performed on it. One option is to have a professional conduct a full building survey on the property. This option is very thorough (and somewhat pricey). Another option is to get a homebuyer\'s survey and valuation done on the property. This less thorough type of survey provides important information:

• The general condition of the building

• Major defects and needed repairs of the property

• Any (material) factors that could impact the property\'s value

2. Work with the lender

If you are applying for a loan and want a survey and/or valuation performed on the potential property, then you should communicate with the lender before having them conducted. It is possible that the survey or valuation you have performed would not meet the lender\'s acceptable standards. For instance, it may demand that its own surveyors conduct them. Typically, the lender will require a surveyor to visit the house only once.

3. Understand that pre-completed valuations are often rejected

If you request that a lender accept a mortgage valuation has already been conducted, then be aware that the lender will be naturally skeptical. This is understandable, as the likelihood of fraud increases, and the lender loses control of an important part of the mortgage process. Thus, a lender may not be 100% confident about the survey and valuation conducted.

4. Leave no stone unturned

It is important for a surveyor\'s report to be complete and truthful. If this is not the case, then the survey could be liable to the customer or the lender. Thus, the selection of the surveyor is extremely important, to ensure that all of the information collected is proper.

Prior to starting his or her work, the surveyor should accept (in writing), the terms through which they are accepting instructions. For this reason, it is vital that you have clearly stated (in writing) what you require.

Before you make your first bid at a UK property auction, it is important to have surveys and valuations performed. Before you find a surveyor, survey what the process involves!

Before buying a UK home, you must do your homework. This is true whether you purchase the home through an estate agent, or at a property auction. If you choose property sales auctions, the extra footwork that you must do can result in savings.