Survey Charges (Portman BS)

tigersfan_2

Hi There,

Re-mortgaged to the Portman BS last year and the same time had to have a survey with them to confirm price of house for them etc. This year we went back to them for a further advance to purchase a property abroad. Loan and everything approved but annoyingly they wanted to charge a further survey fee even though they had only done one 12months prior and I certainly believe that houses prices have not dropped in the last 12months and after checking several websites I felt I could prove this.

We could not reject the mortgage as we needed to get things moving on our second property and their rate was very good. My point is does anybody think I may have a case to get a refund on this charge as it was unnecessary certainly the survey company who came round were shocked as they did it the year before and could not understand that one was needed for a further advance and as the price of the house would not of dropped.

Any advice appreciated.

Cheers,

Steve Roberts

homer_j_3

I understand what you mean. The housing market as a whole has not seen any major slumps (maybe slight drops in some places down south).

The way you have to look at it is that lenders will always want to ensure that the property they are securing it against is an acceptable risk.They can only do this by professional valuation. Many things could have happened to the property to down value it over the 12 months since the last one.

You could of had a motorway built through your back garden, you could have been renovating the property and devalued it or it could be just the same as the last time the valuation took place. What I am saying is that there is no way a lender will rely on statistical data for property prices when they are lending money against collateral.

On this basis, I think your chances are somewhere between slim and impossible.

Sorry...

Vincenzo

Despite the fact that Portman may be confident the value of the house has not fallen, the reason they will want a survey is because it acts like a form of insurance.

Surveyors (They will usually be Chartered - ie members of the Royal Institution of Chartered Surveyors) carry professional indemnity insurance. Should it transpire that the property was not worth whatever the surveyor reported it to be, Portman will be able to claim damages.

So no, I do not think you stand a chance - sorry.