MacRoberts Private Client Law e-update 16/10/08

HOME REPORTS: OUR SURVEY SAYS…

Despite the current state of the housing market and the numerous concerns which
have been voiced by property professionals, the Scottish Executive has insisted that
the Home Report will be introduced on 1st December and all properties marketed for
sale after that date must have a Home Report.

The Home Report, (previously described as "the Single Survey" and the "Purchaser's
Information Pack") consists of three elements; A single survey, an
energy performance certificate and a property questionnaire.

The Single Survey
The single survey is prepared by a chartered surveyor and is a detailed survey of the
property at a level similar to the existing Scheme 2 survey. The purpose is to ensure
that sellers and buyers of houses in Scotland have detailed information about the
condition and value of a home before any offers are submitted. The single survey
will provide a detailed report on the condition of the house, information on the type of
accommodation, age and construction of the house and information about the
neighbourhood. If any repairs are necessary the surveyor will allocate the repairs to
one of three categories according to their urgency.

Energy Performance Certificate
The Energy Performance Certificate will be prepared by the surveyor who prepares
the single survey and will provide a purchaser with an energy efficiency rating of the
property together with advice for reducing fuel bills and increasing the home's energy
efficiency.

Property Questionnaire
The Property questionnaire must be completed by the seller of the property and
contains additional information which may be useful to prospective purchasers such
as the property's council tax banding and factoring costs if applicable.
The Home Report must be made available within 9 days of the seller or the seller's
agent receiving a request for the report, however there are certain circumstances in
which a seller can justifiably refuse to provide a report, for example
where he/she believes that the prospective purchaser is unlikely to have sufficient
means to buy the property. There are also various properties which will be exempt
from the general requirement to provide a Home Report, for example newly built
properties and properties which are to be demolished. If a purchaser believes they
have been unlawfully denied a Home Report he/she can raise the matter with
the local Trading Standards Officer who will have power to enforce the Home Report
legislation.

The impact that Home Reports will have remains to be seen and notwithstanding the
fact that purchasers will receive a copy of the Home Report they may nevertheless
wish the comfort of instructing their own surveyor to carry out a further independent
survey. It appears, however, that the Home Report will be introduced on 1st
December and we will all have to become accustomed to the changes they will
bring.

If you require any further information or assistance please contact Steven
Crommie or Claire Reid on 0141 332 9988

© MacRoberts LLP 2008