New Home Valuation- Independant Valuer

skyjumper

hi there,

need some advice.

is it possible to get an independent valuation of a new built ( already built and wating for NHBC certificate). My mortgage lenders had valued it at the asking price few months back, but there is a few flats which has gone below the asking price recently.
I have requested my current mortgage lender to re-inspect and re-evaluate so that I could go back to the builders and try something. But they have said , as they had valuated it earlier, it will be hard to do it again.

My question is

1.Can I get an independant Home buyer valuation done
2. If yes , how to go about it - best way to get an independent surveyor?

thanks in advance

loofer

I'm sure somebody will be able to give you a more comprehensive answer soon but here is my numpty take on it.

• I suppose you would just pick up the Yellow Pages or yell.com and find a surveyor/valuer and pay them the fee.
• Are the flats you are referring to actually comparable to your new build? i.e same spec/area
• The valuation of the propert may have been about right at the time and prices have stagnated/dropped over last half year or so - though I wouldn't expect huge drops in a matter of months
• How are the developers/builders doing in terms of selling the properties on. Maybe they are in a bit of a desparate situation so have slashed cost of unsold property or have a short term promotion on to generate interest.

Just opinions really:o

Edit: I'm assuming you havn't quite bought the property yet but are in the process?
You say "there is a few flats which has gone below the asking price recently." Does that mean they sold for less than asking or are they being offered (by builder/developer) for less than original asking price? If it is the former then that's exactly the definition of 'value'. What buyers are prepared to pay at and sellers prepared to sell at.

skyjumper

thanks loofer for that fast reply

just to make things more clear.

yes i'm in the process of buying a new build flat.

the ones i mentioned are comparable as they are the same spec and in the same building as mine.

it's the builders who have slashed the price, i guess for quick sale. but they have more flats coming up in the same site which are still priced high.
the valuation was done more than 6 months back and that's why i need to know the possibility of a new survey

lincroft1710

There is nothing to stop you instructing a valuer, but you will have to pay his fee and a value is merely a matter of opinion based on (hopefully) knowledge and experience. There is also nothing to stop you asking builders to reduce price of flat you're intending to buy in line with those already reduced. But also there is nothing to stop them saying the price has already been agreed and that's what the price will be.

SouthCoast

Where I live prices are dropping by around [strike]£500 [/strike] £1,000 a week.

Are the valuers and solicitors in the pocket of the developers?

Sparky29

Just renegotiate armed with the information about the other properties. The developers have obviously got a lot of money tied up in the venture and will want to release some of the capital during the build, hence the price drops in a difficult market (for them). What is the point in paying a valuer for information that you already know for free

If you don't ask you don't get. Its a buyers market. Good luck

skyjumper

the deal was agreed and contracts already exchanged for a fixed price.

this is something someone in my same situation did.

got a mortgage offer agreed last year after a survey. did another mortgage application this year, for the same property as it was nearing completion and his previous mortgage offer was expired. the new lender needed another survey and it came back as 25k below the agreed price. he went back to the builders and showed the valuation report and the builders readily agreed to knock down 20k from the original agreed price last year.

in my situation, i'm in a position in which i had extended my mortgage deal and is in no position for applying for another mortgage deal at present. i did speak to the mortgage lenders who had initially agreed to lent me the asking price (75% mortgage and 25 % deposit). but now that i know the prices have dropped I would like to make another survey and get a report which the builders will accept. i have spoken to the builders and they have agreed that if I can show them some evidence that the mortgage lenders are prepared only to lend this much from because of the recent survey, they will try and knock down the price. they will not accept from an independeant surveyor, but only from someone appointed by the mortgage lender/building society.

i know it's long winding, i'm in hoping to save some £'s doing this.

and yes i'm prepared for paying from my pocket if they are ready to re-survey. just don't know how to go about

thanks for all who are reading this and hope to see some answers.

Richard_Webster

If you exchanged contracts you are stuck. Why should the builder agree anything with you? They will be more worried about the flats where they haven't yet exchanged.

If there was a delay between exchange and completion then given the present market did your solcitor warn you about the possibility of the value dropping?

loofer

I don't know how receptive the lender will be to your findings but surely it is of material interest to them.

Explain to them that based on what they are lending you, they are exposed even further through the reduced ratio of security/equity/collateral they are getting.

I don't know the numbers but say the initial proposal was to lend 75%LTV but because of the new valuation, that mortgage is now say 90%LTV but in this case there may still be time to correct that by renegotiating the price therefore reducing mortgage required.

Hope that makes sense.

Jo/e Lender might say "thank you very much for the info but we would rather enjoy the business of the original mortgage amount and profits that brings. Makes no financial sense to us to reduce the mortage amount especially as we have a contract in place now. Unless you are telling me that there is a risk you might default and if/when we repossess the house we won't get all our money back. "

rugbygirl27

Richard_Webster wrote: »

If you exchanged contracts you are stuck. Why should the builder agree anything with you? They will be more worried about the flats where they haven't yet exchanged.

If there was a delay between exchange and completion then given the present market did your solcitor warn you about the possibility of the value dropping?

Can I just pick up on something in your post? Should the solicitor warn the purchaser about this possibility? We're in the same situation and ours didn't warn us at all.

skyjumper

Jo/e Lender might say "thank you very much for the info but we would rather enjoy the business of the original mortgage amount and profits that brings. Makes no financial sense to us to reduce the mortage amount especially as we have a contract in place now. Unless you are telling me that there is a risk you might default and if/when we repossess the house we won't get all our money back. "

Exactly what was told to me. They are happy with the previous survey and is not ready to make another evaluation of the flat, even though i was ready for paying any expenses incured..

but they offered me that, as now the circumstances have changed, if i pay them £70 they will do a re-inspection, but I won't be able to get to see the results/reports. how nice right. it will entirely for their purpose only and will then come back to me if they find anything different from the last evaluation, but again will not be able to give me anything in writing for my benefit.

I'm tempted to go on with an Independent Survey and take the results to the builders.

rubygirl27, i don't thingk the solicitors have to tell/ warn us anything- it's a informed choice you make at the time when you commit to buy something.
i mean no would have complianed if the prices went up by few 1000 pounds while you were waiting for completion after exchange right - guys correct me if i'm wrong