RICS urges homebuyers to consider a survey.
Over a fifth of home buyers who did not take out a home survey are saddled with a property they would never have bought had they been aware of its true condition before purchase, according to new research by RICS.
Results from RICS’ survey of home buying consumers, released today, show that many homeowners who did not take out a home survey are left with a property they regret buying and an average of £5,750 in repair bills.
The survey of 1,017 buyers across theUK found that consumers are clearly aware of the need for independent advice, with 94% of respondents agreeing it is important to commission a survey. However, nearly a third failed to do so. This means buyers are left ignorant of issues with the property, such as structural defects, dry and wet rot, subsidence and many other faults, only for these to become serious matters at a later date. The new homeowner may then be unable to afford, or may lose the desire, to fix the faults and may be left with a property they may no longer want to live in but are unable to sell to recoup their losses.
- 89% of respondents who did not commission a survey now think it is important to take out independent advice.
- 73% of people who did commission a survey said it provided them with peace of mind and over 50% felt it was value for money.
Buying a home is one of the biggest decisions most people will ever make and yet many consumers are doing so blind to the facts. Serious faults are difficult to identify and costly to repair. By not being aware of them consumers are risking a potential home buying time bomb. This can cause extreme stress and financial strain on homeowners who are often stuck with a property they no longer want but cannot sell.
Results from the survey of home buying consumers also showed common misconceptions and lack of understanding amongst consumers. Nearly 60% of respondents incorrectly identified an estate agent’s primary responsibility with 1 in 10 mistakenly believing agent’s act for the buyer, whilst nearly 1 in 5 thinking they act equally for the buyer and seller.
The lack of understanding about the home buying process is putting consumers at increased risk as many fail to take out further independent, expert advice. Agents can and should offer advice to buyers, however, only a surveyor is trained to identify issues with a property. The cost of a survey is a small price to pay for this knowledge and peace of mind.
RICS Home Surveys
There is now a choice of three levels of RICS surveys available to suit the particular circumstances of the client and the property:
Level 1 – Condition Report
Provides an objective overview of the condition of the property, highlighting areas of major concern without extensive detail. This option is ideal for buyers purchasing a modern house in good condition and for sellers and owners.
Level 2 – HomeBuyer Report
Is most suitable for standard older and modern properties that are in an apparent reasonable condition. It provides a concise report with advice detailing any significant problems that could make a difference to the value of a property.
Level 3 – Building Survey
The ‘flagship’ service providing a detailed report on a property. It is particularly useful for older, larger or non-traditional properties, or one which is dilapidated and has been extensively altered or if the buyer is planning a major conversion or renovation.
RICS surveyors are closely regulated and are required to have professional indemnity insurance, which helps to protect buyers if the surveyor fails to detect a fault that later becomes apparent. Buyers can search for a residential surveyor on the RICS website at: www.rics.org/findasurveyor/.
About the consumer survey
The market research was conducted by ComRes, which interviewed online 1,017 people who had bought a property or gone through the process of obtaining a property valuation on a property they were looking to buy in the last five years. Field word was conducted between 9 and 15 August 2012. Respondents are broadly representative by region.
Borrowers continue to reap the rewards of falling mortgage rates
Adam Swalwell from Carver Financial Services comments on the continuing effects of the Funding for Lending Scheme on the mortgage market:
Despite the Bank of England’s recent decision to yet again hold the Base Rate at 0.5% and refrain from pumping further funding into the economy in the form of quantitative easing, the arguments in favour of a change are building momentum.
The minutes of their most recent meeting show that the Governor of the Bank of England himself voted for an increase in the quantitative easing programme. However, with the current total already standing at £375bn, adopting the cautious approach for the time being is certainly understandable.
It may only be a matter of time before something needs to change though, with recent news highlighting several significant economic indicators reporting continued weakness in the wider economy.
There is certainly some cause for optimism though as far as the mortgage market goes. Last month we continued to see further competitive pressure in the pricing of mortgage products. This is no doubt at least partly driven by the access to the Government’s Funding for Lending Scheme (FLS).
This scheme is allowing banks and building societies to access funding at below market rates provided they can evidence an increase in their net lending over the duration of the programme, boosting appetite for lending within the market.
At the beginning of March 2013 the average two year fixed rate had fallen below 4% for the first time, and is currently 3.90%. Average three and five year fixed rates have also fallen further in the last month to 4.25% and 4.05% respectively.
Borrowers remain firmly committed to fixed rate mortgage products with more than 90% of customers electing to fix in January and February.
Borrowers are set to continue to benefit from what are “all time low” interest rates and consumer choice is also improving slowly but surely with the number of mortgage products typically available to intermediaries now standing at a little under 6,400, the highest number in more than twelve months.
To see if you could take advantage of these low rates whether you are remortgaging or buying for the first time, or to discuss your circumstances in more detail, call Adam on 01325 380088 or email at adams@carvergroup.co.uk.
You can also visit www.carvergroup.co.uk for more information.
Your home may be repossessed if you do not keep up repayments on your mortgage.
There will be a fee for mortgageadvice. The actual amount you pay will depend upon your circumstances. The fee is up tp 1% but a typical fee is 0.3% of the amount borrowed.
SPOTLIGHT ON…
JACK BRALEY - Commercial Sales Negotiator
Jack is the newest member of staff to join the team at the Carver Group, so we thought it only right to include him within our Carver Group Blog.
Jack is based in our Head Office on St. Cuthbert’s Way within our Commercial Department and has taken the new role as Commercial Sales Negotiator in his stride. His constant enthusiasm is infectious and his dedication to his job is clear for all to see.
Jack has always been active in sport; however recent injuries have put a hold on competitive games. Nevertheless, he has recently bought a road bike to try and get fit; although his Jamie Oliver alter ego may hinder his progress.
Jack’s ideal weekend would be watching plenty of sport on the television and a BBQ with friends on a hot, sunny day! With plenty of good food and beer involved I’m sure!
Apart from a passion for food (and his job of course), Jack has a clear desire to become the next Olly Murs. After his performance at the staff Christmas party it is no secret that Jack is a born performer. X Factor watch this space!
“My time at the Carver Group so far has been really enjoyable. Everyone has been great and very approachable. It has been a massive learning curve and challenge, which I am thoroughly enjoying”.
Green Deal
The Green Deal was launched on the 28th January 2013, with the aim of allowing homes and businesses to make energy efficiency improvements with some or all of the cost paid for by the savings on their energy bills.
Carver Building Surveyor’s Graduate Surveyor, Henry Carver said, “With an increased need to save money at every opportunity, the homeowner could really benefit from the government’s new Green Deal scheme”
The idea is to make energy saving recommendations, which are stated on the Energy Performance Certificate with no upfront cost to the homeowner. The government has released funding of up to £125million to make this possible. Once the energy saving recommendations have been installed, the repayments will be taken from the savings in energy costs; therefore no extra cost to the homeowner.
Not all of the energy saving measures are supported within the Green Deal. To allow the homeowner to be eligible for the loan, the property must have a new Energy Performance Certificate (undertaken after 1st April 2012). The green tick to the side of the energy saving measures suggests that finance would be available.
If you would like an Energy Performance Certificate undertaken on your property to determine which energy saving measures may be possible on your home or any further information, please contact Carver Building Surveyors on 01325 370340.
Prominent Location For Newton Aycliffe Office
Nick & Gordon Carver Residential have noticed a significant increase in footfall following the construction of an Aldi supermarket opposite their Newton Aycliffe office. The office overlooks the supermarket car park and branch manager, David Tinkler, has noticed that the number of people visiting the office has increased dramatically. “The visibility of the office for the general public is much more prominent and as a result of which, I have registered a number of new potential home buyers onto our data base who have popped into the branch after or before they have visited the supermarket. Carol Blenkinsop, our resident independent mortgage advisor, has also seen an increase in appointments since the supermarket opened’’ The Newton Aycliffe office is open Monday – Friday, (9am – 5pm), and Saturday, (9.30am – 1.30pm).
New Head Office for Nick & Gordon Residential
Nick & Gordon Carver Residential recently moved into a brand new Head Office at 18 St Cuthberts Way, Darlington, adjacent and connecting to Carver Commercial office at 20 St Cuthberts Way.
Both Nick and Gordon Carver have relocated to the new office, which also accommodates the Sales Progression team, a meeting room and space for additional employees.
“The transfer of the Sales Progression team and myself” says Gordon Carver “has freed up space in our Duke Street office to enable us to expand our sales team.
The Duke Street office will continue to serve anyone interested in buying or selling a property in the Darlington area.
It currently has 440 properties available for sale ranging in price from £40,000 to £1,500,000 .
The office also provides independent mortgage advice to all of its customers.
The Head Office will handle the progression of sale once an offer is accepted and vendors of such properties can call to the office to discuss any matter with the sales progression team.
Increase demand from investors
With rents predicted to continue to rise and a strong demand from quality tenants, Buy to Let property is becoming a popular and attractive investment offering impressive returns in many cases. There are many mortgage deals available, making now an excellent time to add to your portfolio or to enter this growing market. We have a large selection of properties for sale suitable for Buy to let investing, together with properties that are already let with an AST ( assured shorthold tenancy agreement) in place and providing an immediate rental income.
Did you know ? The council of Mortgage lenders reported that in the first 9 months of 2012 Buy to let lending totalled £11.8 Billion, up 18% year on year.
David Buckle, Investment Manager said “We are seeing an increased demand from investors seeking better returns on their investments and buy to let property investing is rapidly becoming a viable option. Some of our investors are seeing impressive returns together with the attraction of capital growth over the long term. We have a number of quality properties available that would be ideal for the first time landlord or for the more experienced landlord to add to their portfolio.”
If you would like any advice on properties suitable for investment, please contact David Buckle directly on 01325 341459 or email davidb@carvergroup.co.uk.
NEW CHANGES TO EPC REGULATIONS
It was announced on Wednesday and confirmed yesterday that the EPBD regulation updates due to be implemented from 9th January 2013 will include changes that affect Agents. These changes are:
1. The front page of the EPC will no longer need to be included in the particulars. Instead the EPC rating will need to be included in all advertising material. This should be in the form of the graph where there is room, for example in the particulars. Where there is not room, for example a newspaper advert, the rating itself should be given in the form of the letter (A-G).
2. Listed buildings will no longer be required to have an EPC done. Gordon Carver said’ The existing requirement to provide the front page of the EPC is ludicrous and the changes announced make sense. However , the need to place the rating letter on all press advertisements is unnecessary as the information is readily available on the sales brochure and website’ He also added ’The removal of the requirement to have EPCs on Listed buildings is long overdue .Such buildings are restricted on what works can be carried out and in the majority of cases are unable to install double glazing, etc to improve the energy efficiency’ More information on EPCs can be obtained by contacting our in house accredited domestic energy assessor ,Henry Carver at henryc@carvergroup.co.uk
Agent Lands Top Award
Carver Commercial Chartered Surveyors and Property Consultants in Darlington have been awarded the Estates Gazette North East Deal Maker of the Year 2012. Julie Wallin of Carver Commercial said we are delighted to receive this award which highlights us as one of the top three North East Agents with an individual Chartered Surveyor producing the most deals during the year. Carver Commercial are part of the Carver Group which also incorporates Carver Building Surveyors, Nick and Gordon Carver Residential and Carver Financial Services which provide a broad spectrum of services within the property industry throughout the region.
The group has continued to expand throughout 2012 with the opening of its new Head Office at 20 St Cuthberts Way, Darlington. The office adjoins and directly connects to Carver Commercial offices at 18 St Cuthberts Way.
Gordon Carver, director of the Carver Group, said “2012 has been a challenging year for everyone connected to the property industry worldwide. We as a group of companies recognize the importance of building relationships with clients and meeting their specific needs. We have strengthened our tem throughout the year with the recruitment of additional experienced and motivated personnel. We value our team immensely and will continue to invest in continued professional development throughout 2013. The professional services ranging from full structural surveys and valuations to party wall matters and boundary disputes has seen a significant increase in business in 2012 and I look forward to continued growth in 2013”.
For further information on their services please visit www.carvergroup.co.uk
Sam Turner’s buy Piercebridge garden centre
THE Carlbury Nurseries Garden Centre at Piercebridge, County Durham, has been sold to leading garden and agricultural suppliers Sam Turner & Sons, of Northallerton.
The 2.4-acre nursery, incorporating a showroom, glass houses and shop, has been sold on behalf of owner Mark Rennison, by North East Chartered Surveyors and Property Consultants Carver Commercial, of Darlington.
Carlbury Nurseries has been developed recently to incorporate the sale of garden furniture in addition to plants, pots and other garden centre retail products.
Julie Wallin, Director of Carver Commercial, said: “The business has been developed by the previous family owners over the past five years and offers terrific potential to Sam Turner’s, whose reputation for quality and service is unsurpassed.
“We were able to use our experience and knowledge of the commercial sector to bring together the vendor and buyer for a very successful outcome that guarantees the jobs of those employed in the garden centre and offers exciting prospects for further development.”
Mr Rennison, who also owns the security fencing company Rennyco, of Wessoe Road, Darlington, said: “We are very pleased to be selling on the garden centre to a highly reputable company that will be able to take it to the next stage. Carver Commercial did an excellent job in marketing the property and it was Julie Wallin herself who introduced Sam Turner’s to us.”
Charlie Turner, Director of Sam Turner & Sons, said: “Carlbury Nurseries occupies a super site between the towns of Darlington and Barnard Castle. It is also ideally placed to serve the rural villages and communities of South Durham and North Yorkshire.
“We plan to run the nursery very much as it is, pending some redevelopment. We will be expanding the range of products and introducing a larger range of water garden products, as well as developing the café. The existing staff will be retained, so it is very much business as usual.”
Sam Turner’s, which owns a large clothing, gardening and farming supplies centre at Darlington Road, Northallerton, also has an agricultural machinery outlet at Stokesley.
The firm celebrates its 80 anniversary this year, having been founded in 1931 by Sam Turner, who left the family firm of Charles Turner to set up his own business in Eston, near Middlesbrough. He relocated to Northallerton during the Second World War in order to base his agricultural business in a market town during petrol shortages. Today, the firm continues to be run by Sam Turner’s great grandsons, Charlie, Michael and John, and great great grandson, Sam.
Charlie said: “We are proud to have retained our family ownership of the business for 80 years and would like to pay tribute to the family who previously owned Carlbury Nurseries. They have created a very nice garden centre that already embraces our commitment to offering quality, excellent service and value for money.”
