Archive for April, 2012

Green Deal

Tuesday, April 24th, 2012

The Energy Act 2011 includes provisions for the new ‘Green Deal’ which intends to reduce carbon emissions cost effectively, by revolutionising the energy efficiency of British properties.

The new innovative ‘Green Deal’ financial mechanism eliminates the need to pay upfront for energy efficiency measures and instead provides reassurances that the cost of the measures should be covered by savings on the home owner’s electricity bill.

The Government have a target to reduce carbon emissions by 34% of 1990 levels by 2020 and by 60% by 2050.

It is a current legal requirement that all residential dwellings for sale or to let must have an Energy Performance Certificate (EPC) carried out by a Domestic Energy Assessor (DEA).  This certificate details the information on your home’s energy use and typical energy costs as well as a recommendation report with suggestions to reduce energy use and save money.

As part of the new ‘Green Deal’ energy advice, a new EPC has been developed.  The EPC is now clearer to the home owner and details energy running costs within a more practical format.

The implications of this are that by April 2012, all DEA’s within England and Wales are required to undertake additional training in order to produce the new EPC in domestic properties.  This additional training will include technical elements as well as improved customer service.

Both partners of Edward Jackson Partnership have undergone the necessary training and passed the relevant exam.  They are now fully qualified to undertake updated Energy Performance Certificates.

For further information contact Alastair Sharman at  southport@edwardjackson.co.uk.

Why have a Survey?

Tuesday, April 10th, 2012

Purchasing a property is the biggest expense that most people ever commit to yet, on average, only 20% of the purchasing public commission the undertaking of a Condition Survey and Valuation of a property prior to purchase.

 Currently in the UK, the average price of a property is circa £165,000 yet 80% of the buying public are not prepared to pay a fraction percentage of that to find out the condition of the property they propose to live in for, on average, 7 years. Most people rely on a Mortgage Valuation carried out by the Lender. This is a flawed approach.

 Maintenance costs are ever-increasing, with the cost for a day’s work by a skilled man averaging £200 plus VAT per day. The price of a new window frame is circa £300 plus VAT, which is the cost of the average Survey.

What purchasers need to appreciate is that a property survey would help a buyer make a more informed decision on whether to proceed with the purchase before entering into a legal commitment. One of the main problems is confusion of the products on the market. A Mortgage Valuation Report is often referred to as a ‘survey’. It is not. It is a standardised brief inspection to give an indication of the property’s value for loan purposes. It is prepared for the Lender whose prime motive is, after all , lending the finance. Lenders are not concerned with maintenance management, repairs or the potential of a property. Whilst highlighting very serious repairs, the Mortgage Valuation Report  will not uncover any potential problems.

Commissioning a Chartered Surveyor to carry out an RICS Home Buyer Report or Building Survey, depending on the property type and condition, will involve a detailed inspection of the property, ultimately leading to providing an accurate valuation, having regard to the condition of the property market.

What purchasers also need to appreciate is that a survey often leads to a better price being achieved for the property, allowing the potential for re-negotiation on the purchase price. In uncertain economic times it makes sense to achieve the best possible value when considering a purchase.

Purchasing a property is an emotional experience. Instructing a Chartered Surveyor to carry out an arms-length survey will ensure the right decision is taken.

At Edward Jackson the Partners have the in-depth local knowledge of property types, ground conditions and land economics to help clients meet their needs.

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