The Intermediary – May 2025 - Flipbook - Page 61
Q&A
Surveying instructions often now involve more
detailed pre-valuation questioning to mitigate risk
early on – something we are encountering more.
Market fragmentation and regional focus has seen
a push towards regional expertise, with lenders
preferring local knowledge to inform decisions,
especially in uncertain, volatile markets.
How does London’s Surveyors
differentiate its services from other
surveying firms operating in the
market at the moment?
Communication and collaboration: We take
a tailored approach recognising that every
instruction has its own nuances, whether it’s a
short-term bridging loan, development appraisal,
commercial investment or a prime Central
London property.
Lender-led understanding: With a background
in specialist lending, we know how to present risk
and value in a way that credit teams, underwriters
and investment committees understand.
Our reports are more than just compliant – they
are useful.
Speed without sacrificing quality: We deliver
at pace, without compromising on diligence. Our
clients trust us because we are consistent and
responsive, especially on time sensitive deals.
Local expertise: We combine granular market
knowledge across London and the South East
ensuring accuracy and scale.
Clarity over complexity: Our reports are
clear and commercially aware. We don’t hide
behind jargon, we explain the ‘why’ behind our
conclusions, allowing clients to make informed
decisions. Our surveyors are always available to
discuss the reports that they have issued.
What are the main challenges
facing surveyors and valuers
in 2025?
As of 2025, chartered surveyors and valuers face
several challenges, shaped by economic shifts,
regulation and changing client expectations.
Market uncertainty, economic pressures,
and high interest rates continue to suppress
transaction volumes in residential and commercial
investment sectors. There is also reduced
development viability, due to increased build costs
and falling gross development values (GDVs).
The sector is seeing valuation volatility,
particularly in commercial real estate, with
yield shifts making accurate valuations and
risk analysis more complex. There’s increasing
scrutiny from lenders and regulators, with a
push for greater transparency and audit trails.
Professional indemnity premiums remain high,
with some insurers limiting cover or exiting the
market altogether.
There is a talent and skills shortage, and a
declining pipeline of newly qualified chartered
surveyors, with the Royal Institution of Chartered
Surveyors (RICS) reporting fewer Assessment
of Professional Competence (APC) candidates
year-on-year. There’s an ageing workforce in some
areas, and a difficulty in attracting younger talent.
Many buyers believe lender valuations offer
protection to applicants, when this is not
necessarily the position. A valuation report is
primarily for the lender’s benefit. Survey reports
provide detailed advice to purchasers as direct
clients, not mortgage applicants. Mortgage
brokers are in a unique position to influence how
buyers approach property transactions.
Looking forward, what can we expect
from London’s Surveyors?
As the London and South East market continues
to evolve, so too does the role of surveyors and
valuers. Looking forward, this year ahead promises
both change and opportunity across several
key areas.
There will be an increased focus on sustainability
and environmental social and corporate
governance (ESG) compliance. Lenders, investors
and developers are ramping up their focus on
environmental performance.
Surveyors will see growing demand for valuation
which takes into account retrofit potential –
especially as legislation tightens around minimum
energy standards, with an eye on immediate
compliance and long term asset resilience.
Expect more integration of proptech platforms,
artificial intelligence (AI) assisted valuation models
and automated data analysis tools. These are
already starting to help surveyors deliver faster,
more accurate reports.
RICS has rolled out further updates to Red Book
Global Standards, particularly around valuation
methodology and independence. Staying sharp
on compliance will be key for anyone involved in
secured lending valuations.
Projecting the year ahead at London’s
Surveyors and Valuers, we are committed to
helping clients navigate these shifts with clarity
and confidence, combining rigorous market
insight, local expertise and a proactive approach
to changing standards. ●
May 2025 | The Intermediary
59
