Openwork has launched an online solution to give clients access to specialist surveyors focused on undertaking HomeBuyer Reports and building surveys.
The move has come in response to the increasing number of lenders choosing solely to undertake a valuation on properties, leaving borrowers to organise their own survey or take the risk of proceeding with their purchase without one.
Advisers have a duty to ensure clients are aware that the lender’s valuation is not undertaken for their benefit, but simply provides the lender with an understanding of the property’s value in the event of repossession.
Paul Shearman, proposition director at Openwork, said the solution – delivered in partnership with Legal & General Surveying Services and providing access to surveyors across England, Wales and Northern Ireland – will help to ensure clients know exactly what they are getting for their money.
Mr Shearman said: “An increasing number of major lenders and surveying firms are choosing to focus on valuation work, and this leaves purchasers to either self-select a surveyor or take the risk of purchasing without understanding potential issues with the property.
“Openwork Surveying will give our advisers access to a network of high quality, vetted surveyors who are keen to go beyond simply valuing properties, and provide the detailed property assessment that they are qualified and trained to do.
“We are always looking at new ways to support our advisers. Openwork Surveying is an additional service to offer clients and, more importantly, enables clients to save potentially considerable sums of money by providing them with the information they need before finalising the purchase of their property.”
Matthew Bird, investment and mortgage adviser at Newport-based Seer Green, said the service would boost client choice but could lead to them paying more in some circumstances.
He said: “Even if you get your own valuation done, the lender is still going to do their own and sometimes they want to charge, so you may be paying twice.
“Usually lenders let you upgrade to a Homebuyers Report, and that can work out cheaper than going independent.
“If you do pay extra for a Homebuyers Report and they do find something amiss but not serious, they can put a retention on the property, so you won’t get a full mortgage amount until it is sorted.
“It is quite good to have easy access to an independent surveyor, but it is a more expensive option than doing it on a valuation from the lender.”
simon.allin@ft.com
