Homebuyer Report: What It Covers and Why You Need One

The RICS Level 2 Home Survey, commonly known as a Homebuyer Report, is Britain's most popular property survey. At Hampstead Surveyors, we conduct hundreds of these surveys annually across Hampstead, Belsize Park, and North London, helping buyers make informed decisions about their property purchases.

When buying a property in Hampstead, where many homes date from the Victorian and Edwardian eras, understanding exactly what you're purchasing is crucial. A Homebuyer Report provides that essential insight, potentially saving you thousands of pounds in unexpected repair costs.

What is a Homebuyer Report?

A Homebuyer Report (officially called a RICS Level 2 Home Survey) provides a professional assessment of a property's condition using a simple traffic light system. It's designed for conventional properties in reasonable condition – typically houses and flats built within the last 150 years using standard construction methods.

The survey strikes an excellent balance between thoroughness and affordability. While not as comprehensive as a Level 3 Building Survey, it covers all the key aspects that most homebuyers need to know about their prospective property.

Who Should Get a Homebuyer Report?

This survey is ideal for:

• First-time buyers purchasing standard properties
• Properties in reasonable condition without obvious major issues
• Homes built after 1900 using conventional construction
• Buyers on a budget who want professional insight without Level 3 costs
• Standard flats and houses that aren't listed buildings

In Hampstead, we frequently recommend Homebuyer Reports for well-maintained Victorian terraces, Edwardian conversions, and post-war properties that don't show signs of significant structural problems.

What Does a Homebuyer Report Cover?

Our RICS chartered surveyors conduct a thorough visual inspection of all accessible areas of the property. Here's what's included:

External Inspection

• Roofs: Main roof, flat roofs, chimneys, and roof structures (viewed from ground level with binoculars)
• Exterior walls: Brickwork, rendering, paintwork, cladding
• Windows and doors: Frames, glazing, condition
• Gutters and downpipes: Rainwater disposal systems
• External decorations: Paint, render condition
• Boundaries: Walls, fences, gates

Internal Inspection

• Ceilings: Condition, cracks, water staining
• Walls: Plasterwork, dampness, structural movement
• Floors: Levelness, condition, signs of movement
• Windows and doors: Operation, condition, security
• Bathrooms and kitchens: Fittings, plumbing, ventilation
• Built-in fittings: Wardrobes, cupboards

Services Assessment

• Heating: Boiler type, age, condition (visual inspection only)
• Electrics: Consumer unit, visible wiring, obvious safety concerns
• Plumbing: Water supply, drainage, visible pipework
• Insulation: Visible insulation in loft spaces

Additional Features

• Market valuation: Optional professional property valuation
• Insurance reinstatement figure: Rebuild cost for insurance purposes
• Legal matters: Issues that require legal investigation
• Risks: Identification of potential problems requiring further investigation

Understanding the Traffic Light System

The Homebuyer Report uses a color-coded rating system that makes it easy to understand the urgency of different issues:

Green (Condition Rating 1)

No repair currently needed. The element inspected is in satisfactory condition and performing its function. Normal maintenance should keep it in this condition. The majority of a well-maintained property should rate green.

Examples in Hampstead properties: Recently repointed brickwork, new double glazing installed within 5 years, modern roof covering in good condition, well-maintained timber sash windows.

Amber (Condition Rating 2)

Repairs or replacement needed, but not urgent. Defects that need repairing or replacing but are not considered serious or urgent. Budget for these repairs in the near to medium term.

Common amber ratings we see: Older boilers approaching 15 years, gutters showing signs of wear, minor cracks in masonry, dated electrics that work but may need updating soon, worn roof coverings with 3-5 years life remaining.

Amber ratings don't necessarily mean you shouldn't buy the property, but you should factor repair costs into your budget and potentially negotiate on price.

Red (Condition Rating 3)

Urgent repairs or serious defects. Defects that are serious and/or need urgent repair or replacement. This work should be carried out soon and you should obtain quotes before exchange of contracts.

Red flags we identify: Active roof leaks, significant structural movement, failed damp-proof courses, dangerous electrical installations, collapsed drains, serious woodworm or rot, unsafe chimneys.

Red ratings require immediate attention. We recommend obtaining specialist reports and firm quotes for repairs before proceeding with your purchase.

What's NOT Included?

It's important to understand the limitations of a Homebuyer Report:

• No invasive investigation: Carpets aren't lifted, floorboards aren't raised, walls aren't opened
• Inaccessible areas: Roof spaces requiring ladders over 3m aren't accessed
• Services testing: Boilers aren't operated, drains aren't tested, electrics aren't comprehensively tested
• Concealed areas: Areas behind furniture, stored items, or built-in units aren't inspected
• Specialist investigations: Asbestos surveys, Japanese knotweed surveys, environmental reports aren't included

If your surveyor identifies concerns requiring further investigation, they'll recommend specialist surveys in these areas.

Why You Need a Homebuyer Report

1. Your Mortgage Valuation Isn't a Survey

Many buyers mistakenly believe their mortgage lender's valuation report tells them about the property's condition. It doesn't. The valuation simply confirms to the lender that the property is adequate security for the loan. It's not designed to identify defects or advise you on the property's condition.

2. Identify Hidden Problems Early

Properties in Hampstead often look beautiful externally but can hide expensive problems. We regularly identify issues like:

• Hidden roof leaks that could cost £8,000-£15,000 to repair
• Electrical systems needing complete rewiring (£5,000-£12,000)
• Rising damp requiring new damp-proof courses (£3,000-£8,000)
• Structural movement needing underpinning (£15,000-£50,000+)

3. Negotiate Based on Facts

If your survey identifies significant issues, you have options:

• Renegotiate the purchase price to reflect repair costs
• Request the seller carries out essential repairs before completion
• Walk away if problems are too serious
• Budget appropriately for repairs after purchase

In the Hampstead market, where property prices are significant, even a 2-3% price reduction based on survey findings can save you tens of thousands of pounds.

4. Plan Your Maintenance Budget

The report helps you budget for future maintenance. If your surveyor identifies that the roof has 3-5 years life remaining, you can start saving for its replacement rather than facing an unexpected £15,000 bill.

5. Peace of Mind

Buying a property is the biggest financial decision most people make. A Homebuyer Report provides professional reassurance that you're making a sound investment.

How Much Does a Homebuyer Report Cost?

In Hampstead and North London, Homebuyer Report costs typically range from:

• Flats: £450-£600
• Terraced houses: £550-£750
• Semi-detached houses: £600-£850
• Detached houses: £700-£1,000+

The exact cost depends on property value, size, age, and accessibility. Market valuations typically add £100-£150 to the cost.

While this might seem expensive, it's tiny compared to potential hidden repair costs. We've identified issues worth tens of thousands of pounds that buyers would never have known about without a survey.

How Long Does It Take?

Inspection time: 2-4 hours depending on property size and complexity
Report delivery: 5-7 working days from inspection date

We can often accommodate urgent requests if you're facing tight exchange deadlines, though rush fees may apply.

Common Issues We Find in Hampstead Properties

After conducting hundreds of surveys in the area, these are the most frequent problems we identify:

Victorian and Edwardian Properties:

• Original single-glazed sash windows causing heat loss
• Solid wall construction lacking insulation
• Aging roof coverings needing replacement
• Historical structural movement (often stabilized but worth monitoring)
• Outdated electrical systems installed in the 1960s-1980s

Modern Properties:

• Boilers approaching the end of their 15-year lifespan
• Flat roof coverings needing renewal
• Inadequate ventilation causing condensation
• Render defects on modern exterior walls

Frequently Asked Questions

Do I really need a survey?

While not legally required, a survey is essential for an informed purchase decision. The cost is minimal compared to the property price and potential hidden repair costs.

Can I attend the inspection?

Yes, and we encourage it. Meeting your surveyor allows you to ask questions and gain immediate insights about the property.

What happens if the survey finds major problems?

You'll have options: renegotiate the price, request repairs, obtain specialist reports for further investigation, or withdraw from the purchase.

How long is the report valid?

Reports are valid for 3-6 months, but conditions can change. If your purchase is delayed, we may recommend a brief re-inspection.

Can I use someone else's survey?

Sellers sometimes offer existing surveys, but these belong to them, and you have no legal recourse if they're inaccurate. Always commission your own survey.

Choosing Your Surveyor

When selecting a surveyor for your Homebuyer Report, consider:

• RICS accreditation: Only use RICS chartered surveyors
• Local knowledge: Surveyors familiar with Hampstead property types
• Professional indemnity insurance: Typically £10 million cover
• Clear communication: Surveyors who explain findings in plain English
• Quick turnaround: Reports delivered within agreed timeframes

At Hampstead Surveyors, our team has surveyed properties across Hampstead, Belsize Park, Primrose Hill, and surrounding areas for over two decades. We understand local property construction, common issues, and market conditions.

Next Steps

If you're buying a property in Hampstead or North London, don't skip the survey. A Homebuyer Report provides essential information, protects your investment, and gives you the confidence to proceed with your purchase.

Contact us today for a free quote and to discuss your survey requirements. Our experienced RICS chartered surveyors are ready to help you make an informed property decision.