Help to Buy RICS Valuation: Redemption, Sale, or Remortgage
Key Takeaways
- You'll need a Help to Buy Valuation Report whether you are repaying the loan in part or in full, or selling the property.
- The report must be provided using the correct format by a RICS surveyor.
- The Help to Buy RICS Valuation Report lasts for 3 months. After that, you will need another in-person valuation or a Desktop Valuation.
- The Help to Buy administrator has now changed; please liaise with Homes England for customer services on your Help to Buy loan.
Do I need a RICS valuation for Help to Buy?
If you have an existing Help to Buy loan on your home, you will need a RICS valuation, otherwise known as a current market valuation, when you're repaying any of the loan; whether by cash, remortgage, or sale of the property.
What is a Help to Buy survey?
- Getting a Help to Buy valuation report (a current market valuation) determines the current value of the loan to be repaid as a proportion of the current property value.
- The equity loan administrator requires you to get a RICS surveyor as they are registered and regulated for reliable and accurate valuation reports.
- The report needs to be drafted in a specific way to meet their strict criteria and you must pay for the Help to Buy survey yourself.
What survey do I need for Help to Buy?
You need a RICS Help to Buy Survey, also known as a RICS Help to Buy Valuation Report, when you're valuing your property for sale, repayment, or remortgage.
It is a current market valuation but must meet additional criteria to comply with the Help to Buy administrator's requirements. SAM's market valuations include everything that's required.
- The Help to Buy surveyor must be registered with the recognised qualification of RICS.
- The Help to Buy surveyor must be independent of an estate agent.
- The report must be on headed paper, signed by the RICS surveyor and addressed to Help to Buy customer services.
- The Help to Buy surveyor MUST provide at least 3 comparable properties and sale prices.
- The comparables provided must be like for like in terms of property type, size, and age and within a 2-mile radius of the property that is being inspected.
- The Help to Buy surveyor must not be related or known to you.
- The Help to Buy surveyor must inspect the interior of the property and provide a full valuation report.
Help to Buy valuation cost
Our Help to Buy RICS valuation cost starts at £250 EXC VAT. Get a tailored quote for your Help to Buy Valuation from our nationwide panel of experienced, local RICS Valuers.
What happens at a RICS Help to Buy valuation?
A Help to Buy surveyor will visit your property and inspect the inside and outside to assess the age, condition and size of the home, taking note of features such as off-road parking, garden and development potential.
It will normally take about one hour, after which, they'll prepare a report and give a current market valuation based on other comparable properties in the area.
Desktop valuation price - is it required?
A desktop valuation can be used only when the 3 months have expired following the in-person RICS valuation. You cannot get a desktop valuation to replace a current market valuation.
They are generally less expensive than a physical inspection and can be completed more quickly, but may not be as accurate as a physical inspection and could be too reliant on public information.
The surveyor reviews the following for a desktop independent valuation:
- Information from land registries, council records, and other public sources.
- Data on similar properties sold recently in the same area.
- Information about the property's size, age, condition, and location.
We offer desktop valuations from £180 INC VAT for one of our chartered RICS surveyors to provide a property valuation without inspecting it physically. Get in touch with us if you're interested in this service.
Understanding the property valuation report
Overview:
Location, type, size, age, and tenure of the property; standard or non-standard construction; and available data on sales history.Comparables:
Up to 10 similar properties in the area with their details, sold price and date, and differences so that the surveyor can determine whether the property would be expected to have a higher or lower value than yours.
Local property market assessment:
Rising, falling or static.Current market value:
Estimated value of your property, with notes, evidence, and an explanation of the valuation approach used (e.g., comparable sales method). Included is also a general assessment of the property's condition.
The report might include a disclaimer stating that the valuation is an estimate and subject to change.
Curious about your Help to Buy loan repayments?
Check out our handy calculator.
All we need is: how many years you've owned the property, the current market value, and your equity loan percentage.
Your Help to Buy mortgage payments differ from the Help to Buy equity loan repayments. You can use our calculator to estimate the interest repayments, but we also have a mortgage payments calculator available.
What happens after you get the RICS Help to Buy valuation report?
Once your surveyor sends you the Help to Buy valuation report, you have 3 months to complete the repayment. If those 3 months expire, you'll need another market valuation or a desktop valuation to extend it for another 3 months.
The process is known as either Help to Buy Repayment or Help to Buy Staircasing - they both mean the same thing. You'll need to:
- Complete your Help to Buy application form (see below).
- Provide your solicitor's contact details (we can help with this).
- Send your completed form and valuation report to Homes England.
- Pay your administration fee (cheque or by card over the phone).
This form can only be used for a Help to Buy Repayment Transaction.
Read the full Help to Buy repayment process, which differs whether you are selling, staircasing or remortgaging.
Our experienced conveyancing solicitors can help you staircase your Help to Buy equity loan.
Get a free, no-obligation online quote today.
Caragh is an excellent writer and copy editor of books, news articles and editorials. She has written extensively for SAM for a variety of conveyancing, survey, property law and mortgage-related articles.
