Home Valuation - issue

w3llus

Recently we put our home up for sale after having 3 valuations. We ended up going with the middle valuation, we had lots of interest very quickly and it sold 4 days later at 2k below the asking price. We have since found a home we love and a survey has been done on our home and the house we found.

We found out Thursday that the Surveyor has de-valued our home by £10,000, the estate agent quickly put a case together showing 7 other properties like ours including 1 which sold for £5,000 more than what ours did round the corner.

The surveyor seems to be digging their heels in and isnt budging on the valuation (bear in mind that we sold our home only for it to fall through at the final second last year for £5,000 less than what we sold it now and they had a survey done and didn't have any problems with the price).

What can we do?
Has anyone else had this issue?

Further up the chain someone is purchasing a reposition and there for the time line needs to be very swift, but i cant help but think that its all going to come crushing down. The buyers of our home have since contacted me that they are happy to pay the price they agreed still, but with the easter break we have lost 2 working days.

Can we get a counter valuation done by an independent surveyor?

The people buying are FTB


Thanks

brit1234

You could get a second surveyor but he is likely to lower value as well. Getting an estate agents to quote prices of other properties isn't going to cut the mustard as they have a vested interest.

Surveyors are bringing valuations down as they are now being sued for years of overvaluing to customers. Todays prices are well known for being very overvalued so the surveyors are just trying to get prices back to true levels and reduce risk for lender.

olias

w3llus wrote: »

The buyers of our home have since contacted me that they are happy to pay the price they agreed still

Thanks

Bit confused here. If the buyers are happy to pay the agreed price despite the surveyor quoting £10000 less, then whats the problem. It will presumably only affect their LTV, and if they have sufficient deposit for their lender to still offer a mortgage, just with a higher LTV, then what exactly is the issue? You still sell the house for the agreed price, the FTB still gets the house they want, the only issue as far as I can see is that the FTB will end up with less equity in the house and a higher LTV mortgage, but that would be their problem and not yours and they seem to be happy to accept that, or am I missing something?

Olias

Milliewilly

brit1234 wrote: »

You could get a second surveyor but he is likely to lower value as well. Getting an estate agents to quote prices of other properties isn't going to cut the mustard as they have a vested interest.

Surveyors are bringing valuations down as they are now being sued for years of overvaluing to customers. Todays prices are well known for being very overvalued so the surveyors are just trying to get prices back to true levels and reduce risk for lender.

Are there any actual examples of residential surveyors being sued for overvaluing as that means pretty much anyone who bought between 2002 - 2007 and are still living there can now sue their valuation surveyor for the market turning?

Milliewilly

w3llus wrote: »

Recently we put our home up for sale after having 3 valuations. We ended up going with the middle valuation, we had lots of interest very quickly and it sold 4 days later at 2k below the asking price. We have since found a home we love and a survey has been done on our home and the house we found.

We found out Thursday that the Surveyor has de-valued our home by £10,000, the estate agent quickly put a case together showing 7 other properties like ours including 1 which sold for £5,000 more than what ours did round the corner.

The surveyor seems to be digging their heels in and isnt budging on the valuation (bear in mind that we sold our home only for it to fall through at the final second last year for £5,000 less than what we sold it now and they had a survey done and didn't have any problems with the price).

What can we do?
Has anyone else had this issue?

Further up the chain someone is purchasing a reposition and there for the time line needs to be very swift, but i cant help but think that its all going to come crushing down. The buyers of our home have since contacted me that they are happy to pay the price they agreed still, but with the easter break we have lost 2 working days.

Can we get a counter valuation done by an independent surveyor?

The people buying are FTB


Thanks

If your buyers are happy to proceed do you mean they can't afford to at the banks valuation?

brit1234

Milliewilly wrote: »

Are there any actual examples of residential surveyors being sued for overvaluing as that means pretty much anyone who bought between 2002 - 2007 and are still living there can now sue their valuation surveyor for the market turning?

Mostly in the new build and buy to let companies. The ones where the property company would say to the investor you have to use this survey company so they can over value it and not need a deposit. Lots of civil claims in that field from burnt investors at moment.

The problem was these overvaluations were registered with the landregistry and thus were used as a bench mark for other valuations in the area pushing prices higher. There has been a lot of fraud in housing this decade and it needs to be worked out of the system hence the lower valuations today.