Standard Terms of Engagement for Home Condition Surveys (HCR)

A report on the condition of a property is in a standard format and is prepared by the Home Inspector (as defined in the appendix) licensed by (a scheme name yet to be agreed). The Home Inspector has a duty to provide impartial opinion that can be used and relied upon by you. ‘You’ means a prospective buyer (who actually purchases the property), the seller and by a mortgage lender only.

A report is commissioned on the basis of these Terms of Engagement by, or on behalf of, the seller of a property, and describes the condition of the property on the date of inspection. Parts of a property that are inspected and those parts where an inspection do not take place are set out on the HCR form and form part of the conditions.

These Terms of Engagement may not be amended by you or the Home Inspector. Any services the Home Inspector may agree to provide in addition to preparing this Home Condition Report must be by another contract. The terms of payment and fees payable for the Home Condition Report are as separately agreed between the Home Inspector and the Seller (or on the Seller's behalf).  

WHAT A HOME CONDITION REPORT TELLS YOU

A report tells you about the construction and condition of a property on the date when it was inspected, being the date shown at the top of each page. It also tells you whether and where further enquiries are needed.

It tells you about matters that are considered significant or in need of urgent attention. It also tells you about matters which require further investigation to prevent damage to the fabric of the building or which are a threat to personal safety.  

WHAT THIS REPORT DOES NOT TELL YOU

This report does not tell you the value of a property. You should commission independent advice if you require a valuation.

It does not tell you about any minor matters that would not ordinarily have any effect on a buyer's decision to purchase.

This report does not warn you about any Health and Safety Risks to occupiers or visitors to the property except where conditions affecting Health and Safety are such that repairs or building work are required.

 WHAT IS INSPECTED

Externally, a property is inspected from within its grounds and adjoining public and communal areas, from ground level with the help of binoculars. To assist in inspecting any flat roofs, the Home Inspector uses a ladder to look at roofs where the surface is no more than 3-metres from ground level, where it is safe and practical to do so.

Internally, the Home Inspector gains access to as many parts of the property as are safe and practical. To assist the inspection, a moisture detecting meter is used in selected locations. In the event that some part of the property is inaccessible, which would normally have been inspected, this is mentioned within the report.

Services The Home Inspector carries out a visual inspection of those parts of the services (electrics, gas, water, drainage), which can be generally seen on a day-to-day basis. The taps are turned on, and drainage inspection chambers are opened where they can be found and lifted safely by one person.

Flats The interior of a flat is inspected as described above. The roof space is only inspected where it has direct access from within the flat. The common parts that lead to and from the flat and the exterior of that part of the building containing the flat are inspected to identify if there are any urgent or significant defects, for which the cost of repair is likely to be shared by the flat owner and others.

Grounds The Home Inspector walks round those parts of the grounds where it was safe to do so, but only reports on matters of an urgent or significant nature.  

WHAT IS NOT INSPECTED

The Home Inspector does not carry out tests of services, or look at those parts of the property that are covered, unexposed and inaccessible. In particular the following are not inspected

Exterior, The parts of a property that can only be seen by entering somebody else's private grounds or property. Flat roofs that cannot be reached, other than from ground level with a 3 metre ladder. (The Home Inspector does not walk on flat roofs). Foundations and parts of the property covered by the ground

Interior Areas that are behind secured trap doors, behind furniture or filled cupboards. Floor surfaces and under floor areas that are beneath fitted carpets and other floor coverings. Roof voids, where there is no access or where the access is above 3 metres from the immediate floor level below, or where it would be unsafe. Insulation and other material in the roof space is not lifted or moved. The inside of chimneys, boiler and other flues.

  Services Where services are turned off at the time of the inspection and so can not be visually observed in operation by the Home Inspector, this is stated in Section F. No contractors' tests on services are carried out and the Home Inspector does not report on compliance with Regulations relating to such services to the property. Drainage inspection covers are not lifted where they are heavy, screwed down or otherwise sealed in. Any services in categories not listed in Section F are not inspected at all.

Flats Roof spaces that is not accessible from within the flat.

Grounds Leisure facilities including swimming pools, tennis courts together with temporary outbuildings such as timber sheds, all of which are expressly excluded from the scope of a report.

Contamination The Home Inspector does not test for the presence of harmful substances within the buildings or in the grounds but where in the course of inspection signs of contamination were seen that require testing or further investigation this is mentioned.

Planning The Home Inspector does not carry out any search of registers about planning, building regulation approvals and other statutory information held by local and other public authorities about the property. Where it is evident during inspection that there have been alterations or additions to the property for which statutory permissions or consents might have been required this is noted in Section C1.

Note The Home Inspector may recommend further investigation where a suspicion about defects is raised within a part of the property that has not been inspected.

The Home Inspector prepares a report in a standard format which includes condition ratings for various parts. Such parts will be rated as follows.

CONDITION RATING DEFINITION

1.    No repair is presently required. Normal maintenance must be undertaken.

2.    Repairs are required but the Home Inspector does not consider these to be either serious or urgent.

3.    Defects of a serious nature or defects requiring urgent repair.

RECOMMENDATION

Where in the report repairs or defects are noted, market estimates for repairs should be obtained.

COMPLAINTS

Should there be any complaint about a Home Condition Report or the Home Inspector, please follow the steps set out in the Appendix to these Terms of Engagement found at the end of the report. Alternatively ask the home Inspector for a written copy of the complaints procedure.