Chartered surveyors must ask housing developer for 'disclosure of incentives' under changes in the 'Red Book'

New rules from the RICS intended to tighten standards for new build valuations come into force today.

The body has made changes to the 'Red Book', the rules used by chartered surveyors when making asset valuations.

From today, the organisation will make it mandatory for members to ask the seller, builder or developer on site, or their selling agent, for a copy of any ‘disclosure of incentives’ for the new home property under consideration.

The RICS hopes the change, which was announced in June, will help restore confidence in the new-build market as well as improve transparency in the new build valuation process.

The form, prepared in accordance with guidance from the Council of Mortgage Lenders (CML), will consist of 12 questions which disclose the full details of all financial and non-financial incentives and also details of any third party interest in the transaction.