Natwest Mortgage Undervalue £30k!!

tara747

I will *never* understand why someone gets upset about a surveyor saving them thousands of pounds or preventing them from buying an overpriced house. Am I missing something?

Milliewilly

tara747 wrote: »

I will *never* understand why someone gets upset about a surveyor saving them thousands of pounds or preventing them from buying an overpriced house. Am I missing something?

This example is not a particularly good one as new builds do drop once they are no longer new but there is a trend now for Surveyors to deliberately undervalue (sometimes by upto 50%) to prevent the buyers from proceeding. This as I said before is not indicative of market rate which is what the buyer is paying a valuation for its indicative of worst case repo rate which is unfair on the buyer.

All the posts about why pay too much are missing the fact that often these valuations are so way out that they halt the sale. The fact that a deal has been struck says the property has reached market value. If over 25 years it goes up fine if it doesn't fine but the bank should only be concerned with value at the time of lending and not making future projections.

MobileSaver

Eric1 wrote: »

Why not?

Because a property valuation should be based on market rate not how much deposit someone may or may not have.

Do you seriously think it is right that if you have two buyers for your house but one has £30k less deposit than the other then it is fine for one bank to value your house at £30k less?!?