When selling a property in Scotland, there are several legal obligations that must be met before the property can be marketed. Chief among these is the preparation of a Home Report, a comprehensive document designed to provide prospective buyers with vital information about a property. At d and h, we are frequently asked about the role of the Home Report, and why it is a legal necessity. In this article, we’ll explain what a Home Report is, why it matters, and how you can ensure your property sale complies fully with Scottish legislation.
What Is a Home Report?
A Home Report is a legal requirement for almost all residential properties marketed for sale in Scotland. It must be compiled and made available to potential buyers before your property is advertised in any way - whether online, in an estate agent’s window, or even by word of mouth.
The Home Report consists of four main documents:
Single Survey - This includes an assessment of the property’s condition, a valuation, and information about accessibility.
Mortgage Valuation – This is a professional valuation of the property carried out by a Chartered Surveyor that can be given to a lender for mortgage purposes. Occasionally, a lender will instruct their own valuation instead of accepting the valuation attached to the home report.
Energy Report - This provides an Energy Performance Certificate (EPC) rating and advice on improving energy efficiency.
Property Questionnaire - Completed by the seller, this gives details such as council tax band, alterations made to the property, parking arrangements, and other practical matters.
These documents help ensure transparency, reduce the risk of unexpected costs post-sale, and promote fairer negotiation.
Why Is a Home Report Important?
The Home Report plays a crucial role in protecting both the seller and the buyer. Here are several reasons why it matters:
Legal Compliance: It is a statutory obligation under the Housing (Scotland) Act 2006. Marketing a property without one may result in penalties and may delay your sale.
Buyer Confidence: Buyers are better equipped to make informed decisions when all relevant information is disclosed up front.
Fewer Surprises: Surveys conducted after an offer can sometimes derail a transaction. The Home Report reduces this risk by providing condition and valuation information early on.
Enhanced Transparency: The report ensures a consistent and honest representation of the property, fostering trust throughout the process.
When Must You Obtain a Home Report?
The Home Report must be obtained before a property is placed on the market. Instructing a solicitor or estate agent without one can result in breaches of the regulations. It must also be no more than 12 weeks old when the property is first advertised for sale
Exceptions are rare but do exist. These include:
- Newly built homes being sold for the first time.
- Certain types of private sales.
- Properties marketed purely for demolition.
- Newly converted homes that haven't been used in their converted state yet
- Dual-use homes used for both residential and non-residential purposes
- Seasonal holiday homes that can only be used at certain times of the year (not second or holiday homes you could use all year if you wanted)
It’s important to note that if a home doesn't need a Home Report, the seller must still give you an Energy Performance Certificate.
If you’re unsure whether your property qualifies for an exemption, it’s vital to seek legal advice before proceeding.
How d and h Can Help
At d and h, our property law team are well-versed in Scottish conveyancing requirements, including Home Report obligations. We offer clear guidance from the outset to help you navigate the process efficiently and legally. From recommending trusted surveyors to reviewing the completed report and ensuring your marketing complies with all regulations, we are here to support every step of your property sale.
The Home Report is far more than a formality - it is a legal requirement designed to protect all parties involved in a property transaction. Failing to obtain one can result in delays, fines, and lost opportunities. If you’re considering selling your home in Scotland, speak to our team today to ensure your property is fully compliant and sale-ready.
Contact us today to discuss your Home Report obligations. We’re here to make your property journey seamless and secure.