What to Do if Your Survey Flags a Problem
Your survey has come back and there's an issue, maybe it's damp, maybe it's structural movement, maybe it's something you've never heard of. Whatever it is, your stomach has just dropped and you're not sure what to do next.
The first thing to know is that most surveys flag at least something, a perfect report almost never happens, particularly for older properties. The question isn't whether your survey will identify any issues, but how serious those issues are and what your options are. Here's how to think about it.
Read the report carefully and understand the rating system
RICS surveys use a helpful traffic light rating system to highlight issues;
· green means no immediate concern
· amber means defects that need attention but aren't urgent
· red means serious defects requiring immediate attention or further investigation
Focus your attention on the red and amber findings first, don't panic at amber issues. Many older homes have amber-rated items that are entirely normal and manageable. Red findings are the ones that need a closer look.
If you're not sure exactly what level of survey you need or what the ratings mean, our guide to the three levels of house survey explains the differences.
Talk to your surveyor
Most surveyors will offer a follow-up phone call to discuss findings, sometimes included in the cost of the survey, sometimes for an additional fee. This is well worth the cost if it isn't already included. The written report is necessarily formal and cautious, but a conversation with the surveyor can help you understand what's actually serious, what's normal for the age of the property and what you should prioritise.
Ask specific questions; How urgent is this? What would it cost to address? Is this likely to get worse if it isn't dealt with? Would you proceed with the purchase if this was your home?
Get specialist quotes for any significant findings
For any red-rated issue, the next step is to get a specialist to look at it. A damp specialist for damp issues, a structural engineer for movement or subsidence, a roofer for roof issues and an electrician for outdated wiring.
Specialists provide a more detailed assessment and importantly, a quote for the work involved. This is what you need to make a properly informed decision about whether to proceed, renegotiate, or walk away.
Quotes for major works can take a week or two to obtain, so factor this into your timeline. It's worth telling your solicitor and the seller that you're awaiting specialist quotes so the process doesn't appear to stall. Your solicitor might also need to ask the seller for access to the property for the specialists to conduct their review, which gives you a more accurate quote based on actually inspecting the issue rather than estimating from the survey alone.
Decide what to do
Once you have the specialist quotes, you generally have four options.
You can proceed without renegotiating, accepting that the work needs doing and budgeting for it. This makes sense for smaller issues or where you knew the property would need work.
You can renegotiate the price based on the specialist quotes. A request to reduce the price by the cost of the works is reasonable and often successful, particularly if you have written quotes to support the figure. Read our guide to how to negotiate on a house price for the full approach.
You can ask the seller to address the issues before exchange. This works for things that are relatively quick to resolve, like a missing building regulations completion certificate or a piece of damp work. It's less practical for major structural issues that would take months to rectify.
You can walk away. If the issues are too significant, the costs too high, or the seller won't engage, the right answer may be to step back. Walking away is always an option until you've exchanged contracts.
What to do if the seller refuses to engage
If the seller refuses to negotiate or address the issues, you need to make a clear-eyed decision about whether to proceed, don't let sunk costs drive you forward. The fees you've already paid are gone whether you proceed or not, but the real question is whether the property is the right purchase at this price given what you now know.
Walking away is always painful but it's almost always less painful than proceeding with a property that will cost you significantly more than you budgeted in future.
The full checklist
The Home Truths Guide includes 100+ essential questions to ask your surveyor and solicitor at every stage of buying a home, including specific questions about how to handle survey findings and renegotiate when necessary.
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