FTB - Survey results received

drovers85

Hi all

Just after a bit of advice...

We have had the survey back on the property we wish to buy and the surveyor has recommended a value of £83000 although our accepted offer was £86000. How do we go about re-negotiating the price??? I know it's a stupid question but do we go through our solicitor or do we go through the estate agent ourselves??

Any help would be great.

Cannon_Fodder

You probably need to check with your Lender, if one is involved, what this does to your mortgage agreement. It might alter your LTV slightly. Which if borderline, might be inconvenient.

When you are sure of your figures/money being available, tell the vendor's Estate Agent you need them to drop the price to match the valuation.

drovers85

Cannon_Fodder wrote: »

You probably need to check with your Lender, if one is involved, what this does to your mortgage agreement. It might alter your LTV slightly. Which if borderline, might be inconvenient.

When you are sure of your figures/money being available, tell the vendor's Estate Agent you need them to drop the price to match the valuation.

Hi

Thanks for the reply.

They have asked us to get a damp report carried out or alternatively we can re-negotiate to £83000 or stump up more of a deposit. The latter is not an option as we haven't got the extra cash.

Does anyone know what the various outcomes might be after having the report carried out? I know that is a tough one to answer but would like to be prepared (if that is possible :rolleyes:)

Milliewilly

drovers85 wrote: »

Hi all

Just after a bit of advice...

We have had the survey back on the property we wish to buy and the surveyor has recommended a value of £83000 although our accepted offer was £86000. How do we go about re-negotiating the price??? I know it's a stupid question but do we go through our solicitor or do we go through the estate agent ourselves??

Any help would be great.

Tell the Estate Agent to let the vendors know the value for mortgage is £83K so thats your revised offer and see what they say. What was the original asking price?

drovers85

Milliewilly wrote: »

Tell the Estate Agent to let the vendors know the value for mortgage is £83K so thats your revised offer and see what they say. What was the original asking price?

Thanks.

The original asking price was £89950 and we've had an offer accepted of £86000.

Milliewilly

I don't think £83K with the survey to back it up is an unreasonable drop from £89950.

Alias_Omega

How are the electrics, did you have a NICEIC inspection.?

If not, then maybe another survey that can be carried out, and be another tool to batter some more cash off the price.

Doc_N

Go back to the agents with a suggested lower price of £83K. Be prepared, though, for the sellers to refuse to budge, and possibly with some justification.

Valuation of houses is a very imprecise science. It simply is not possible to say that a house is worth exactly £83K or £86K. It's worth what a buyer will pay, and that will vary from buyer to buyer. The best a valuer can do is to say that a house is worth, say, £85K plus or minus 10%.

Milliewilly

Doc_N wrote: »

Go back to the agents with a suggested lower price of £83K. Be prepared, though, for the sellers to refuse to budge, and possibly with some justification.

Valuation of houses is a very imprecise science. It simply is not possible to say that a house is worth exactly £83K or £86K. It's worth what a buyer will pay, and that will vary from buyer to buyer. The best a valuer can do is to say that a house is worth, say, £85K plus or minus 10%.

???? But this is the problem the valuers do put an exact figure for mortgage purposes, if they put in this example £83K +/- 10% you are talking about a 17K difference between the lowest and highest valuation ?????

Doc_N

Doc_N wrote: »

Go back to the agents with a suggested lower price of £83K. Be prepared, though, for the sellers to refuse to budge, and possibly with some justification.

Valuation of houses is a very imprecise science. It simply is not possible to say that a house is worth exactly £83K or £86K. It's worth what a buyer will pay, and that will vary from buyer to buyer. The best a valuer can do is to say that a house is worth, say, £85K plus or minus 10%.

Milliewilly wrote: »

???? But this is the problem the valuers do put an exact figure for mortgage purposes, if they put in this example £83K +/- 10% you are talking about a 17K difference between the lowest and highest valuation ?????

They can put as exact a figure as they like. In reality, though, there can never be any such thing as an exact valuation. Any valuer will confirm that. A property is worth what a buyer will pay for it - and that will vary according to circumstances.

brit1234

Haggle them down to the valuation. Prices are set to resume falling next year as unemployment rises, stimulus ends and rates increase. Last thing you want to be is in increased negative equitity as you wanted to overpay on your evaluation.