In short
A valuation tells you what a property is worth. A survey tells you about its condition. When you sell, your estate agent values your home to set the asking price. When you buy, your lender carries out its own mortgage valuation, and it’s up to you whether to commission a survey – which is usually well worth doing.
The words are often used interchangeably, but they mean quite different things – and it matters when you’re buying or selling.
An estate agent’s valuation
When you’re thinking of selling, an estate agent will visit and give you their opinion of what your home is likely to sell for on the open market, and how best to market it. It’s sometimes called a market appraisal.
- Who it’s for: you, the seller.
- What it covers: price, local market conditions, marketing strategy.
- Cost: usually free.
- What it isn’t: a check of the building’s structure or condition.
A mortgage valuation
If a buyer needs a mortgage, their lender will want to know the property is worth what they’re lending against it. So the lender arranges its own valuation – sometimes a visit, sometimes a desktop check using data.
- Who it’s for: the lender, not the buyer.
- What it covers: whether the property is suitable security for the loan.
- What it isn’t: a survey. It won’t tell the buyer much about the condition.
A survey
A survey is an inspection of the property’s condition by a qualified surveyor, arranged and paid for by the buyer. In England, RICS surveyors offer three levels:
- Level 1 (condition report) – a basic report, best suited to newer homes in good condition.
- Level 2 (often called a HomeBuyer report) – the most popular choice for conventional homes in reasonable condition. It can include a valuation.
- Level 3 (building survey) – the most detailed, recommended for older, larger, altered or unusual properties, or those in poor condition.
Which do I need?
- Selling: an estate agent’s valuation, to help set the right asking price.
- Buying: your lender will arrange its mortgage valuation. We’d always suggest considering a survey as well – particularly for an older, rural or listed property, or anything that’s been significantly altered.
- Probate: a written valuation of the property as at the date of death. For most estates, an experienced estate agent’s valuation is suitable; some need a formal RICS valuation.
From experience
We’re estate agents, not surveyors – our valuations are for selling (and probate) purposes. If you need a survey, we’re happy to recommend a local RICS surveyor, and we never take referral fees for doing so.
Can a survey affect a sale?
Yes, sometimes. If a buyer’s survey finds something unexpected, they may ask for a price reduction or for work to be done before completion. That’s one reason to be upfront about any known issues when you market your home – surprises late in a sale are what cause most renegotiations.