16th January 2020 | Super Administrator
A professional chartered surveyor should perform a survey before you buy a property. This is an assessment of the building’s condition and will highlight any potential issues. A survey is not just a check on the structural side of the building; it is also to make sure you are paying the correct amount for the property once defects are considered. If there are no problems unveiled from the survey, then you can continue with the purchase as planned. However, if issues are unearthed that were not previously mentioned, you are in a position to bargain. You will want to request that the price is reduced to reflect the value with these problems in mind. You are not legally bound to purchase the property at this stage as the value of it relies on the survey results.
Subject To Contract
STC, (subject to contract) means both the seller and the buyer of the property have agreed on a sale price, but the final contract has not been signed. The STC stage means that you can negotiate the sale price or even change your mind once you have reviewed the survey results. In the unlikely event that the survey uncovers several serious issues that are either dangerous or irreparable, you may wish to pull out of the sale entirely.
Honesty is the best policy. The best way to negotiate a property price with a seller or an agent is by being completely upfront. Reveal the results of the survey and the costs involved in rectifying the defects. Explain that you were not aware of these problems when your initial offer was made and that they need to be addressed before you proceed with the sale. The price of the property should now reflect the actual value now these issues have come to light. You will want to obtain quotes for fixing the problems and ask that these costs are reflected in a fairer price. Above all, you should not pay more than a property is worth. All aspects are to be carefully reviewed and considered, and you will want to be sure you are not buying into a problem that can not be solved.