ARE PROPERTY SEARCHES WORTH PAYING FOR?
Released On 19th Dec 2023
We quite often get asked whether it is really necessary to have property searches carried out on a property before you buy it. If you are buying the property with a mortgage, these searches are a mandatory requirement for the lender. If you aren’t having a mortgage, you may think you could save a few hundred pounds by not having searches done, but is this wise?
Environmental Search: This search will look at aspects such as whether the property lies on contaminated land, what the flood risk to the property is, whether it lies in a Radon affected area, whether there is any ground instability, what energy installations are existing or planned near the property and what planning constraints and applications there are in the surrounding area. Some of these aspects (such as the flooding risk) could affect insurance premiums on the property and clearly nobody wants to be underinsured if the worst happens. Other aspects (for example, a planned wind farm on the open field opposite the property) could be off-putting enough to cause you to withdraw from the purchase.
Drainage and Water Search: This search will identify if the property is connected to mains sewage and mains water, as well as whether there is a water meter. It will also show if public sewage pipes or public water pipes lie within the property’s boundaries. If there are sewage or water pipes crossing the property, the ability to carry out any building work on the property could be severely restricted as you can’t generally build over or close to the pipes. Regarding surface water, it will identify if this drains into the public sewer or not. If it doesn’t drain into the public sewer, where surface water does go is something a purchaser would want to ensure they understand. Occasionally, a property will be identified as being at risk of internal flooding through overload of the public sewers, which is definitely something you would want to be warned about!
Local Authority Search: This report will tell you if the road the property is on is a publicly maintained road. If it’s a private road, you will be liable for the cost to maintain it (shared with other properties on the road). You will get a full list of all charges, planning and building regulations entries. If an extension has been built (for example) and it isn’t listed on this report, then there is a risk it isn’t safe or that the Local Authority could require it to be taken down. You will learn if the land risks being the subject of a compulsory purchase order for public purposes or road works. It will also highlight things such as any Community Infrastructure Levy, conservation area restrictions, whether the building is listed or if there are tree preservation orders in place. All of these elements could affect your plans for the property and it is no defence to say you didn’t know about the restrictions if you do any work that breaks the law. Ultimately, whether you choose to have searches done is entirely up to you (unless you’re having a mortgage). Buying a property is one of the biggest purchases most people will ever make, though, so spending a few hundred pounds to be sure there are no hidden surprises that could affect the house price and / or your enjoyment of the property does appear to be well worth it.
