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  • FIRST POST
    • class2ldn
    • By class2ldn 30th Nov 17, 8:28 PM
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    class2ldn
    Yet another house downvalued by countrywide surveyors
    • #1
    • 30th Nov 17, 8:28 PM
    Yet another house downvalued by countrywide surveyors 30th Nov 17 at 8:28 PM
    What is with these clowns? We've been going through nationwide to try and remortgage so they had countrywide doing the survey.
    Our current mortgage lender valued our house at 285k, 2 estate agents came round and valued it at exactly the same price.
    Now been told we've been accepted for the mortgage but they've downvalued it by 20k.
    Now that's not a small amount so I'd like to know how they've got this valuation.
    There's even a house which is virtually identical just sold for 285k.
    It's obviously put our payments up and now I'm at the point where I'd like to tell them to shove it.
    Has anyone ever appealed with these and had success?
    Also they've obviously done credit checks so I'm guessing that may have an impact of we go to a different lender.
    Any advice please?
Page 3
    • class2ldn
    • By class2ldn 2nd Dec 17, 12:27 AM
    • 316 Posts
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    class2ldn
    No I haven't asked why they've downvalued it, my question was about the impacts of the valuation in the future. Plenty of you are trying to justify their actions, well I'm not asking for that and why they gave that, I'm asking what impact could it have.
    Not much apparently so no more needs to be said
    • getmore4less
    • By getmore4less 2nd Dec 17, 7:34 AM
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    getmore4less
    Well as I've said the payments go up by £5.43 a month to be exact and that's from being at 79% for 285k or back to 85% ltv for the 265 valuation.
    Quite surprised it hasn't jumped more then that.
    I don't think anyone owes me anything but I do know this area well and the rate house prices go up is staggering. It's not just me wanting more money it's a fact which is why I'm surprised at that valuation.
    Originally posted by class2ldn
    What's your current lenders 80% deal if they have valued at 285?
    • class2ldn
    • By class2ldn 2nd Dec 17, 8:44 AM
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    class2ldn
    Well it was around £100 more a month and was for a fixed mortgage which we don't want.
    Halifax don't do trackers I believe now.
    • getmore4less
    • By getmore4less 2nd Dec 17, 9:26 AM
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    getmore4less
    You need to talk in rates £pm difference is not appropriate.
    • class2ldn
    • By class2ldn 2nd Dec 17, 10:38 AM
    • 316 Posts
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    class2ldn
    Off tge top of my head I'm not sure what the Halifax rate was, I think it was 2.34. Nationwide is 1.89 for the 265 valuation
    • brit1234
    • By brit1234 2nd Dec 17, 3:56 PM
    • 5,173 Posts
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    brit1234
    It wouldn't trust me, we are about 10 minutes from Gatwick where house prices haven't dropped in years.
    Originally posted by class2ldn
    However house prices can go up and down. We had a housing bubble in London and the South East which has ended, prices are falling. The transactions levels have collapsed. Wages are falling and we have a whole market bumped up on cheap credit to stop it crashing.

    The survey is to protect the lender not you. They think the price is lower and they have the right to protect their investment. Don't like it remortgage else where.

    Follow the housing expert Henry Prior a house buying agent for 30 years, he recognises when the down turns are coming as he has seen them before.

    https://twitter.com/HenryPryor
    Scams - Shared Equity, Shared Ownership, Newbuy, Firstbuy and Help to Buy.

    Save our Savers
    • class2ldn
    • By class2ldn 2nd Dec 17, 4:18 PM
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    class2ldn
    Well seeing as it doesn't have any real financial impact on us it's not such a big deal now especially if the monthly payment is only £5.43 a month more.
    I just wasn't sure if the survey was something that could be used against us in future.
    • getmore4less
    • By getmore4less 2nd Dec 17, 5:09 PM
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    getmore4less
    Tomorrow is another day, your last valuation only really decides a lender that indexes next time.

    If going variable you can switch to a new deal as soon as the lender is happy you LTV has improved.

    If you were tight on a LTV boundary there is always a risk with a valuation would fall the wrong side.

    Looks like 5k would have got you anyway.
    Last edited by getmore4less; 02-12-2017 at 5:15 PM.
    • class2ldn
    • By class2ldn 2nd Dec 17, 5:39 PM
    • 316 Posts
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    class2ldn
    Well the difference is 6% with tge difference in valuations. However it's only £5.43 a month which I'm surprised about.
    • Malc00
    • By Malc00 3rd Dec 17, 1:18 PM
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    Malc00
    I'm glad the difference is less than the £10 per month you originally mentioned.
    As others have suggested if you are on a tracker, keep in touch with what Nationwide value your home or if you overpay and you can jump from one tracker to another once you are in the lower LTV banding.
    • getmore4less
    • By getmore4less 3rd Dec 17, 4:54 PM
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    getmore4less
    Well the difference is 6% with tge difference in valuations. However it's only £5.43 a month which I'm surprised about.
    Originally posted by class2ldn
    The difference in payment is not the real difference,
    • class2ldn
    • By class2ldn 4th Dec 17, 12:39 AM
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    class2ldn
    Well what do you suggest then?
    If their value could have a negative impact in the future then I'd rather look elsewhere but the broker doesn't think it will.
    I'm just surprised how jumping from 79% to 85% had only raised it £5.43.
    Just trying to find out what implications the valuation could have?
    • getmore4less
    • By getmore4less 4th Dec 17, 9:00 AM
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    getmore4less
    the real difference is how much you owe in the future the higher the rate the payment goes up but you owe more at the end of the same period.

    the important thing is the rate.

    different lenders have different break point where there rates get much better

    With Nationwide(2y fix no fee rates),
    95% 4.04%
    90% 2.39%
    85% 1.89%
    80% 1.84%
    75% 1.75%
    70% 1.74%
    65% 1.74%

    you got lucky NW have a small differential at 80%-85%

    on £225k over 25years after 2 years

    £225k @ 1.89% £941.67pm £210,646
    £225k @ 1.84% £936.24pm £210,557

    make them both the same at £942 and see what's left.

    £225k @ 1.89% £942pm £210,639
    £225k @ 1.84% £942pm £210,416

    this is costing you £223 over 2 years.

    Although you should be taking the 1.49% rate with the £999 fee


    Not sure why all the fuss Halifax don't do 80% rates, theirs are 75% and 85%
    • class2ldn
    • By class2ldn 4th Dec 17, 9:11 AM
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    class2ldn
    Well our current rate is 3.99 as we are now on Halifax's variable rate, you're right we are lucky with nationwide being only a very small jump at our ltv, even with the lower valuation we are still saving money each month.
    So you think take the 1.49% rate, what would it cost if we added the fee to the mortgage?
    On this tracker we also get £500 cashback.
    Our current monthly payments are 1108 so to drop to 859 is still a very big saving each month.
    We are doing it over 28 years
    According to the mse calculator we would save £20 each year with the 1.49% and I believe with the 265 valuation it's costing us £70 a year extra
    Last edited by class2ldn; 04-12-2017 at 9:20 AM.
    • getmore4less
    • By getmore4less 4th Dec 17, 9:38 AM
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    getmore4less
    Fee no fee. both come with the same cash back so can ignore that.

    I think you are looking at 2 options
    1.49%+£999
    1.89%+£0

    If you are paying £859pm on £225k you break even after adding the fee and taking the lower rate at 14 months.
    • class2ldn
    • By class2ldn 4th Dec 17, 9:47 AM
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    class2ldn
    224k we are doing it on
    • getmore4less
    • By getmore4less 4th Dec 17, 10:46 AM
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    getmore4less
    Close enough, makes no difference to break even period.

    what breakeven means is that for the same payment you will have paid off the fee and owe a bit less than the higher rate with no fee, every month after there is a saving, on your mortgage about £70pm
    • class2ldn
    • By class2ldn 4th Dec 17, 1:21 PM
    • 316 Posts
    • 71 Thanks
    class2ldn
    Well we will be looking to move within the next 12 months anyway I think, very unlikely we'd be here after 14 months tbh
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