Do valuations take account of improvements ?

Dick_here

The Nationwide house price calculator doesn't naturally take account of the fact that the price we paid two years ago was in line with the state of the place then, and we've improved things since - double glazing, new kitchen, rewiring etc. I know prices have fallen, but can I get our improvements taken into account for a current valuation ? If not, despite all that and overpaying the mortgage each month, we'll have a smaller ltv (under 90%) than we had at the start !

sammyjammy

If you bought your house well under market value at the time because of the work that needed doing then put the value it would have been at the time if it had been in good condition, I bought my house in 1999 for £28950 but other houses in the street identical but "done up" they were going for £36000 ish so I always use that. Try houseprices.net for other prices at the time.

Robert_Sterling_3

SammyJammy I think that is an excellent way of arriving at what your house is worth.
i.e. It is worth what a comparable house is now worth.

Dick_here

Yes that makes sense, but will the Nationwide accept that approach or will they simply go with what we paid at the time when it comes to working out our current ltv for a new fixed rate offer ?

Robert_Sterling_3

If they do use their own calculator to get a starting point valuation and then you get a chance to talk to them about it they might suggest that you pay for a "real" building society type valuation for which you would have to pay.
Any real valuation must take account of the values of comparable houses.

opinions4u

If they physically value the property, yes.

If they use their own calculations no.

Ask them what they will do!!

Don't assume that what you've spent on improvements will have added significantly to value though. Home improvements may add to saleability, but spending £10k on double glazing will only add about 40% of this amount to value.

Some improvements can actually reduce your home's value!