Survey results...please help a confused first time buyer!

Rickles

Hi all

I've just received the results of my Home Buyers Report on a 1 bed flat that I'm in the process of buying and I'm a bit confused.

My mortgage lender seemed to get the results of this before I did and verbally said that there were "no issues". Great I thought. But I've now seen the report and there is1 "urgent matter" (dampness and timber decay in a communal area skirting board and extensive wet rot timber decay to window frames which will need replacement ) plus 4 matters for "further investigation" (flat roof repairs, external joinery, fixed wiring inspection, gas safe inspection of boiler).

This has left me quite worried about what to do. The building is 100+ years old so I wasn't expecting perfection but it seemed in good condition to me. How much will it cost me to get all the above inspected/fixed? Am I being over-cautious - if the lender is happy then should I be? Will I be able to claim back any expenses from the current owners?

As a first time buyer I'm always concerned about being taken for a ride - does anyone have any advice about what to do?

Thanks all

Fire_Fox

Anything that is to the fabric of the building or communal areas is down the freeholder/ managment company to pay to fix, and then charged to the leaseholders as a group. Windows are a funny one, in some long leases they are the responsibility of the individual flat, some they are a communal responsibility. You need to get your conveyancing solicitor to check the long lease for each item. If the building seemed in good condition how did you miss the window frames? Maybe you need another viewing?

Rickles

Thank you for the advice, Fire Fox.

If repairs are required to communal areas then I suppose that at least splits the cost (6 ways in this case) but could I reasonably insist on 5 other flat owners to pay for the work when they may be happy with things as they are/short of cash etc? Or is it basically tough - the management company will do the work no matter what? Presumably I could get quotes and then ask the seller to contribute to the costs - isn't that part of the point of a survey?

Honestly don't know how I missed the window frames! Sounds really naive but I guess I was more interested in the inside...

Do you think I need to follow up everything - electricity and boiler for example? The boiler was new in 2008!

Thanks so much for the advice - feeling a bit better already!

jfed

Hi Rickles,
I think Firefox is pritty much correct. But the details of what each lease contains can vary. I think it is worth checking exactly what is covered by the Freeholder/management company. Obviously that needs taking care of before proceeding I would get this in writing. With regard to things like replacement of skirting boards etc you may have to cover those. In which case written quotes can be used as a tool to reduce your offer. It would also be worth trying to find out what the cause of the decay is as this will need addressing. Rentokill do a servay for about £95 when i last did one they give a good gaurentee and will knock the price of the survey off the final bill. Not the cheapest but a pritty good bet.

G_M

The '4 matters for "further investigation" 'basically means the surveyor did not inspect these. He's not an electrician or GasSafe engineer so can't do the electrics or boiler, and he probobly couldn't/didn't get on the roof to see the external joinery/flat roof.

He's covering himself by suggesting further investigation.

So - you say the boiler is (nearly) new, the electrics are prob OK (did you notice if the fusebox/switches etc were modern or old-fashioned - 30 year-old switches might indicate 30 year old wiring)
And as Firefox says the other stuff is down to the freeholder/management company (though ultimately you will be contributing to these costs)

anselld

Surveyors write "further investigation" to cover themselves for any items they are not qualified to inspect themselves (gas, electric) or if they cant be bothered to go up a ladder (timber, etc). Doesn't necessarily imply a problem, it just means "dont know".

Up to you if you want to pay out any more for specialist inspections or take the risk.

Personally, I would budget for the windows and leave it at that.

Fire_Fox

Rickles wrote: »

Thank you for the advice, Fire Fox.

If repairs are required to communal areas then I suppose that at least splits the cost (6 ways in this case) but could I reasonably insist on 5 other flat owners to pay for the work when they may be happy with things as they are/short of cash etc? Or is it basically tough - the management company will do the work no matter what? Presumably I could get quotes and then ask the seller to contribute to the costs - isn't that part of the point of a survey?

Honestly don't know how I missed the window frames! Sounds really naive but I guess I was more interested in the inside...

Do you think I need to follow up everything - electricity and boiler for example? The boiler was new in 2008!

Thanks so much for the advice - feeling a bit better already!

The other leaseholders have already agreed to pay their share by signing the long lease. Being short of cash is NO excuse for not contributing to repairs and maintenance, costs can be converted to a CCJ and added to your mortgage. The freeholder has already agreed to organise and charge for all repairs and maintenance when they granted each long lease. All you need to do is bring the contents of your survey to the attention of the management company as soon as the sale completes.

As far as renegotiations go, you need to find out which items you are solely responsible for and which are part of the service charges. Speak to your solicitor as already advised: I would get a few quotes from reputable firms for the windows, especially if they are sash style or in a conservation area as good copies are very expensive. You should chase up everything the surveyor recommends, otherwise what was the point in paying for a Homebuyers Report? A gas boiler in a communal property should be serviced annually, if one flat goes up the whole block goes up.

I would suggest you spend some serious time reading this website and getting a full understanding of your rights and responsibilities as a leaseholder: http://www.lease-advice.org/publications/

Rickles

Thanks everyone. Surveyors are good at scaring the inexperienced aren't they?!

So basically I need to get my solicitor on the case and find out just how much I am responsible for. Again, I'm possibly being naive here (please shout at me if so) but I don't intend to be in this property beyond say 3-4 years so I guess this limits the risks slightly.

Fire_Fox

You are hoping to get away with not replacing the windows/ fixing the flat roof and just moving on in a few years?? Not the best way to handle your investment: the quicker it's done the more benefit you will get in terms of insulation (heat and sound). If you avoid the work the next buyer may be put off by the shabbiness, the disruption or want to reduce the price accordingly. If you don't want to contribute to any work, buy a new build or carry on renting!

anselld

Rickles wrote: »

Thanks everyone. Surveyors are good at scaring the inexperienced aren't they?!

Yes!

Rickles wrote: »

So basically I need to get my solicitor on the case and find out just how much I am responsible for. Again, I'm possibly being naive here (please shout at me if so) but I don't intend to be in this property beyond say 3-4 years so I guess this limits the risks slightly.

Certainly worth asking the solicitor. But regardless of the survey you should also budget for some repair/maintenance bills over that time. It comes with the territory Im afraid.

Rickles

not the best way to handle your investment

When you put it like that you are obviously quite correct.

I'm saying the obvious here but the whole property buying game is just so expensive. I can afford it (in the sense that I'm not overborrowing) but all these extras really scare me. But it's clearly a better use of my money than renting so I need to keep reminding myself of that.