The surveying industry currently faces a profound demographic challenge that threatens the smooth operation of the property market. Despite the introduction of the AssocRICS qualification, which has brought new blood into the industry, the workforce is ageing inexorably as the sector struggles to attract enough new talent to replace those approaching retirement.
We are witnessing the re-emergence of a structural shortage that will soon begin to affect the transaction chain – from initial valuations all the way through to final sales. If left unchecked, mounting pressure on existing professionals is set to lead to extended waiting times for valuations or possibly affect standards as surveying firms attempt to do more with less human resource. As a result, and with lending activity increasing rapidly, the summer could be a challenging one for the mortgage sector.
According to the Royal Institution of Chartered Surveyors (RICS), the average surveyor in the UK is approximately 55 years old, with a significant portion approaching pension age within the next five to ten years. Not only will this mean fewer surveyors, but it also means a less experienced profession as surveyors take decades of invaluable knowledge and practical expertise with them when they retire.
For mortgage borrowers and lenders (and indeed brokers) who rely on timely and accurate property assessments, the consequences have already become tangible at various points in recent years. Industry insiders report valuation delays extending in high-demand areas such as the North East, East Anglia and other property hotspots across the country. These bottlenecks threaten the entire lending process and can derail property transactions at crucial moments. The industry needs to find a solution to the problem.
Fortunately, technology, particularly in the form of automation and artificial intelligence, offers an answer to the question posed by the skills crisis. These tools can boost productivity significantly, allowing fewer surveyors to handle more cases without compromising the quality that clients expect – and that regulations demand.
Digital transformation represents the most viable path forward. Technology, particularly in the form of tablet-based reporting systems for on-site inspections, is already delivering remarkable efficiency gains for early adopters. These modern reporting systems have demonstrated their ability to reduce report preparation time compared to traditional methods, enabling surveyors to complete more valuations every day without working additional hours. Technology can be a powerful force multiplier.
We already know how powerful innovation can be in the sector: the industry has already seen it with automated valuation models (AVMs), which have streamlined property valuation by processing vast datasets quickly and accurately. Lenders continue to explore options that mean less reliance on physical valuations – but there will always be a need for them somewhere. The technological approach has significantly reduced the time needed for manual assessments of straightforward cases (such as remortgaging a flat, for instance), freeing human expertise for more complex cases. Hometrack’s pioneering AVM was introduced in the early 2000s. Since those early days, accuracy has improved substantially as property databases have grown more comprehensive and machine learning algorithms have become more sophisticated.
This technology has allowed surveyors to focus their expertise where it adds the most value: on complex cases requiring professional judgment that the algorithms cannot yet provide. Surveying firms can effectively do more with the same workforce through strategic deployment of human and technological resources.
Modern technology may also address some of the physical demands historically faced by more… mature surveyors. Traditionally, surveying could involve extensive manual measurements and physical activity, which can become increasingly taxing with age. Drone technology and laser scanning tools now enable remote data collection with unprecedented accuracy and reduce the need for multiple site visits in many circumstances. This technological advancement helps extend the productive working life of experienced professionals who possess invaluable knowledge but may prefer reduced physical demands.
Technology could support surveyors who might not have forty years’ worth of experience under their belts, too. For example, not only is AI helping our surveyors be faster and more productive, it may also improve the surveying process. Our tech insists that the i’s are dotted and the t’s are crossed during a survey by prompting surveyors to report accurately and consistently – and offering suggestions linked to their inputs. And we’re developing AI that will act as a professional guardrail for surveyors, who are only human after all. If a surveyor mentions a crack near the front door of a property, the AI will prompt her to check the roof, too. It will ensure surveyors don’t miss things. These contextual suggestions linked to surveyor inputs reduce the chance of human error while providing more consistent results across different valuers. It’s early days but it looks as though incorporating AI features like this will improve precision markedly.
Technology like this also speeds up the valuation process. Indeed, the average time it takes HouzeCheck to deliver a report is about two and three-quarter days – not bad considering a building survey takes a day to complete. For the mortgage industry, which relies heavily on timely valuations, the advantages of technological adoption are particularly significant. Faster valuations enable quicker mortgage approvals and improved customer satisfaction throughout the property buying journey. Everyone wins.
Despite these clear advantages, there are speed bumps on the road to widespread adoption. Barriers include the high initial costs of AI development and lack of technical expertise among smaller firms. Awareness of AI’s capabilities also remains surprisingly low among many practitioners and decision-makers. Additionally, numerous surveying firms struggle with legacy systems that hinder effective technology integration and data utilisation. This technological gap creates opportunities for property technology disruptors like us to enter the market with fresh approaches and modern systems.
By wholeheartedly embracing digital transformation, the surveying and mortgage valuation profession can continue to serve the property market effectively despite the significant demographic pressures it faces. Productivity improvements through technology represent the most realistic path to addressing the skills shortage while maintaining or even enhancing service quality. By embracing digital transformation, the industry can not only address the skills shortage but also pave the way for a more efficient and sustainable future.
