A VALUATION OR A SURVEY
– WHAT’S THE DIFFERENCE?
First up, valuation. A basic valuation is done to ensure the property is worth at least what we say it’s worth when we complete the application. This will be instructed by the lender in order to give them the information they need. It will not give you, the client, any indication about the property.
A Homebuyers Survey, on the other hand is much more thorough. This is when a qualified RICs surveyor does a visual inspection of the property and writes up a report about the standard/state of it and whether they can foresee any repairs or problems.
A step up from this is a full structural survey in which the surveyor will produce an in-depth report about the soundness of the property. This is the most expensive option and really only needed if you suspect the property may have underlying issues, to do with age or damp for instance.
It’s really important that you discuss the type of survey you need with your adviser, they will be able to help you understand which is best for the property you want to buy.
WHAT’S THE DIFFERENCE BETWEEN
BUYING A NEW BUILD AND A RESALE?
When you are choosing a property you will find that there are plenty of new builds to buy as well as homes that have been lived in already.
One of the main differences is that a new build will tend to come with a warranty issued by the National House Building Council or similar. This will protect you from the cost of repairs within the first 10 years. If you buy a resale home that is older than 10 years you wouldn’t be covered by this.
However, if you opt for a new build be prepared to get moving on your purchase. New builds have strict timetables that need to be adhered to. But don’t panic! As long as you have all your documents ready and to hand you shouldn’t have any problems with this.
HOW IMPORTANT IS IT TO REMORTGAGE?
When your agreed mortgage deal comes to an end, you could end up paying a higher rate, known as the standard variable rate, or SVR. This means you’ll end up paying a higher interest rate than you need to, so it's usually a good time to look into remortgaging.
You can start researching your remortgage options up to 3 months before your deal comes to an end, meaning we should have a new mortgage offer in place ready to start when your current deal finishes.