Simply put a property surveyor provides professional advice to clients on an array of matters and for a variety of purposes concerning real estate. This can often be strategic advice for clients to act and rely upon and make informed decisions that work in the best interests for them. The main problem that surveyors solve for their clients is to provide the professional knowledge and understanding they possess that their clients may not usually have, that can then be utilised for a number of purposes concerning both commercial and residential property.
Commercial property surveyors don’t tend to do just one task or job function, they take on different roles and often for a number of clients. Surveyors can act for a client as an agent whereby they are involved with the sale or letting of commercial properties or even acquire properties on behalf of their clients. A surveyor’s objective as an agent is to achieve the best price or deal possible for their client and this usually involves publicly marketing their client’s property, conducting viewings with interested parties and negotiating a deal with either a willing buyer or tenant.
Properties don’t have to be placed on the open market and in some cases, surveyors will promote their client’s property off-market. This can have advantages for both sellers and buyers as it keeps the potential sale of the subject property confidential and keen buyers who are actively seeking opportunities are able to view details that are not offered to the open market.
When surveyors are purchasing properties on behalf of their clients, the same principles apply although typically the objective is to achieve the lowest price possible to be paid to the seller. If the client is seeking a property to rent, then it is up to the surveyor to advise on the appropriate lease terms and negotiate with the landlord or their agent to ensure terms that are favourable to the client are achieved. A property being sold on the open market is often the most common method of sale and this is known as private treaty however, properties can be sold through auctions and surveyors can therefore act as auctioneers with the aim of achieving the highest price possible on the day of the auction.
Commercial property surveyors acting as agents can take many forms although their role doesn’t necessarily stop there, they can act as managing agents or property managers as is commonly known. Surveyors acting as managing agents have a duty to ensure their client’s assets are managed thoroughly and professionally. The role of a managing agent typically involves collecting rent and/or service charge monies and ensuring the tenant is up-to-date with their payments but also ensuring the tenant is adhering to the obligations that are set out within the lease contract. This can involve routine property inspections to ensure the tenant is using the client’s property in the manner as agreed when the lease was signed but also to ensure the client’s obligations under the lease are fulfilled.
For example, if there are repairs required that the landlord must carry out, the surveyor will arrange for a contractor(s) to attend and sort on behalf of the client landlord. If the property has a service charge, the surveyor will be tasked with ensuring the services are carried out and within the estimated budget each year. This involves dialogue with both tenants and service operators for the property to ensure a professional service is delivered to the tenants on behalf of the landlord.
Surveyors can also act as consultants whereby offering strategic advice on leases, disposals or purchases and even on land that is yet to be acquired or developed on. Surveyors have a good understanding of property law and planning legislation that enables them to provide professional advice that clients can take forward and rely upon. When advising clients on commercial leases, surveyors can often be involved with rent reviews or lease renewals and as such they provide professional representation to ensure a favourable outcome is achieved for their client.
A core skill commercial property surveyors possess is an understanding of property valuation and what a property is worth in the current market. This skill is needed when acting as an agent but also when acting as a valuer and providing professional valuations. Surveyors acting as valuers are often instructed by mortgage lenders to undertake a professional valuation on a property that will be for secured lending purposes and therefore the value placed on the property and any advice provided by the surveyor, will be relied upon by the client typically a bank and other similar lending institutions.
A commercial property surveyor can take on many roles for clients when it comes to providing professional property advice. No one day is the same for a commercial surveyor which is why a career in commercial surveying provides both an exciting and varied role each day.
An estate agent as we are all familiar with, predominantly deals with the sale and letting of residential properties but can also be involved with commercial transactions as well. An estate agent can achieve professional recognition through various professional bodies that are widely recognised in the industry however anyone theoretically can become an estate agent and set up their own estate agency in their chosen area. Chartered surveyors achieve the status of becoming “chartered” by becoming a professional member of a recognised institution.
There are a few institutions surveyors can become a member of however the globally recognised body to become a professional member of is the Royal Institution of Chartered Surveyors (RICS). Chartered surveyors must adhere to professional practice standards as set out by their institution as they are deemed to be providing the highest level of professionalism in the area they practice in.
Chartered surveyors can be seen in many different areas and specialisms across the world and not just in the built environment however majority of chartered surveyors are practicing in the commercial property sector. Chartered surveyors can be seen practicing within the residential property sector through providing professional valuations usually on behalf of banks and other lending institutions.
When a client is needing professional advice that can be relied upon, this is where a chartered surveyor would be favoured over an estate agent. Chartered surveyors tend to have a greater understanding of matters beyond selling or leasing property and their professional experience and knowledge can provide the required advice and guidance that a client is seeking.
Estate agents of course have experience and knowledge especially in the residential property sector however when it comes to commercial property matters, their experience may not be as great as that of a chartered surveyor. When deciding on whether to use an estate agent or a chartered surveyor, you should ascertain the level of local knowledge and experience each has and compare to the level of fee structure that is to be set out. If you are selling a residential property then it is likely you would opt for an estate agent over a chartered surveyor however if the property is commercial then it would be vice versa.
At Barker Property Consultants we have in-depth knowledge and understanding on a wide variety of commercial property related matters including sales and lettings, property management, lease renewals, rent reviews and valuations. We offer general consultancy related advice on commercial leases and investment strategies as well as asset management services. To find out more and how we can help you, speak with one of our experts today.
A private valuation is when a person requires a professional valuation to be carried out on an interest in a specific property or properties if several valuations are required. The appointed surveyor will issue a report and provide an opinion on value of the subject property. The valuation report is private and for use by the named client within the report which the surveyor issues. No one else can rely on the details within the valuation report but why would someone require a private valuation to be carried out?
There may be several reasons why a private valuation is needed but often the purposes for having one is either the client is purchasing or selling a property and requires a valuation before the next steps are taken. This can occasionally be the case when a property is either being sold or acquired off-market and as such the client may require things to be kept confidential at this stage. Surveyors acting as agents can provide free valuation advice in terms of marketing a property however when it comes to private valuations, there is more work involved.
A valuation for agency purposes will tend to look at the current market and generally it’s the feel and opinion of the agency where the value currently lies and what price to place if the property is available on the open market. Whereas private valuations will require the valuer to thoroughly assess recent comparable data and any issues that may affect the valuation as a result of inspecting the subject property.
More time is required with producing a private valuation as the client may need to know more info on the subject property than simply what it is currently worth. This is why private valuations are often carried out for a fee as the surveyor will have spent time inspecting the property, compiling evidence and analysing the information to form an opinion on value and to produce a report for the client.
If you are needing a private valuation undertaking, get in touch with the team at Barker Property Consultants to discuss your requirements and our experts can offer guidance and details on the property to be valued.
When it comes to selling or leasing your property, you require local expertise and a modern proactive approach that delivers the highest level of professionalism. At Barker Property Consultants we deliver this to each and every client we work with.
If you have a commercial property you would like to sell or rent, please get in touch for a free valuation and see how we can promote your property to its fullest potential.
Avoid some of the most common mistakes people make when buying, selling and renting commercial property, and fast-track your way towards achieving commercial property success.
