C3 The Report is in a standard format arranged in the

following sequence: Introduction & Overall Opinion; The

Property & Location; The Building; The Services & Site;

Legal & Other Matters; Summary; Valuation. In the case of leaseholds, the Report is accompanied by a standard Annex

called Leasehold Properties.

D The Valuation and Reinstatement Cost

D1 The last section of the Report contains the Surveyor's

opinion both of the Market Value of the Property and of the

Reinstatement Cost, as defined below.

D2 "Market Value" is the estimated amount for which a

property should exchange on the date of Valuation between a willing buyer and a willing seller in an arm's-length transaction after proper marketing wherein the parties had each acted knowledgeably, prudently and without compulsion.

In arriving at the opinion of the Market Value, the Surveyor

also makes various assumptions covering, for example:

vacant possession; tenure and other legal considerations;

contamination and hazardous materials; the condition of

uninspected parts; the right to use mains services; and the

exclusion of curtains, carpets, etc, from the Valuation. (If

needed, the Surveyor can provide details.) Any additional

assumption, or any found not to apply, is reported.

FLATS: In the case of flats, the following further

assumptions are made:

• that there are rights of access and exit over all communal

roadways, corridors, stairways, etc. and to use the

communal grounds, parking areas and other facilities;

• that there are no particularly troublesome or unusual

legal restrictions;

• that there is no current dispute between the occupiers of

the flats, or any outstanding claims or lawsuits; and

• that the costs of repairs to the building are shared among

the tenants (in Scotland the co-proprietors) on an

equitable basis.

D3 "Reinstatement Cost" is an estimate for insurance

purposes of the current cost of rebuilding the Property in its present form, unless otherwise stated. This includes the cost of rebuilding the garage, boundary/retaining wall and

permanent outbuildings, site clearance and professional fees,

but excludes VAT (except on fees).

Standard Terms of Engagement

1 The Service. The standard HOMEBUYER Survey &

Valuation Service ('the Service') laid out in the preceding

Description of the HOMEBUYER Service ('the Description') applies unless an Addition to the Service is agreed in writing before the Inspection. (An example of such an Addition is reporting upon parts which are not normally

inspected, such as the opening of all windows.)

2 The Surveyor who provides the Service will be a

Member of the Royal Institution of Chartered Surveyors,

who is competent to survey, value and report upon the

Property which is the subject of these Terms.

3 Before the Inspection. The Client will inform the

Surveyor if there is already an agreed, or proposed, price

for the Property; and if there are any particular concerns

(such as plans for extension) which the Client may have

about the Property.

4 Terms of payment The Client agrees to pay the fee

and any other charges agreed in writing.

5 Cancellation. The Client will be entitled to cancel this

contract by notifying the Surveyor's office at any time

before the day of the Inspection. The Surveyor will not

proceed with the provision of the Service (and will so

report promptly to the Client) if, after arriving at the

Property, he or she concludes:

a) that it is of a type of construction of which he or she has

insufficient specialist knowledge to be able to provide

the Service satisfactorily; or

b) that it would be in the typical Client's best interests to

be provided with a Building Survey, plus Valuation,

rather than the HOMEBUYER Service.

In case of cancellation, the Surveyor will refund any money

paid by the Client for the Service, except for expenses

reasonably incurred. In the case of cancellation by the

Surveyor, the reason will be explained to the Client.

6 Liability. The Report provided is solely for the use of

the Client and the Client's professional advisers, and no

liability to anyone else is accepted. It may not be provided

to anyone else.

7 Complaints handling procedure. A copy of the

Surveyor's complaints handling procedure is available on

request.

PLEASE NOTE: These Standard Terms of

Engagement form part of the contract between the

Surveyor and the Client.