According to analysis from Direct Line Home Insurance around 12% of all property transactions in the UK have taken place without any kind of survey.
It estimated, in the 2019/2020 tax year this represented 98,000 sales which completed without a survey, despite the fact taking the professional assessment of a potential home can uncover a raft of problems.
Indeed, Direct Line also found 42% of surveys uncovered issues with properties which might not otherwise have been noticed.
What’s more, a quarter of homebuyers who didn’t take one out were hit with unexpected bills of £3,676 on average later on.
Estate agents also revealed purchasers who found problems with their property through taking out a survey were able to negotiate a discount of £5,744 on the asking price.
The survey revealed other buyers were able to request the faults were rectified before they moved in. While others chose to press ahead with the sale anyway, without a discount, for one in seven (14%) the problem uncovered drove them to walk away from the purchase.
Indeed, Direct Line discovered, when it came to reasons for property sales falling through completely, estate agents name structural issues (56%), subsidence (23%) and roofing problems (14%) as the top three.
Almost a quarter of estate agents said buyers didn’t factor in the cost of repairs or improvements highlighted in a survey when thinking about the total cost of moving.
Dan Simson, head of Direct Line Home Insurance, said: “Investing in a survey before purchasing a property can save a huge amount of money and hassle in the long run.
“Surveys are there to protect the buyer, enabling them to get a better idea of any repairs that might be needed and any problems to look out for in the future.
“It is important people also research the types of survey available, they range from; basic traffic light reports with guidance on property condition, too detailed reports with advice on defects, repairs and maintenance.
“It is also important homeowners inform their insurer of any structural or subsidence issues, as well as any major building work taking place, to ensure the right cover is in place on the policy.”
