mortgage valuation below agreed price - tactics?

mdean

Any advice greatfully received.

I just got my valuation report from my building society and the figure is nearly £18k under the agreed price.

However there is a mortgage offer.

The property is in an unpopular area - although it is due for regeneration which the valuer does not seem to have taken into account.

Both the vendor and me have taken it into account

Do people think there is any leverage on the price?

lynzpower

Bascially your lender has valued it on what they believe the place is worth to them if they had to resell it after repossession. So is it what they are offering you

due fo regeneration, sadly doesnt mean scratch in my opinion, Im sure we can all think of areas that have been "regenerated" but it hasnt worked and the social problems still prevail.

I think you could go back to the vendor and ask for a reduction, although whether they will give it to you is down to them im afriad.

AndrewSmith

The valuer will be looking at the value as the property is right now, and in the current surroundings etc.

He will not take into account any future regeneration that may happen.

I think you have valid reason to attempt re-negotiation of the price.

Andy

Robert_Sterling

I think you are paying over the odds.
You have had a valuation so take note of it and act on it.

mdean

Thanks for your help
Negotiations reopened