Re mortgaging a property

ventjoran

Not sure if this is right part of forum, but maybe someone can direct me to right place if not:
We are a buisness who owns two buildings (houses) we would like to buy a flat for residential use and approached the bank to find out if we could obtain a loan against current property to finance new property.

Bank insists we must first have valuation done (fine) but they want us to use their own choice of valuation company - is this normal and OK.

This valuation company will charge £575 for each property but the report will be property of bank - is this normal practice? Are we allowed to go to another valuation company?

thanks for your help?

Evilm

Yes, it is usual. And yes, you do normally end up paying fees for it if its commercial lending.

Whilst you can easily instruct another company to do a valuation for you the bank will insist that their choice also does it and that you will have to pay for both. It may give you some ground to work with if you don't like the valuation figure the bank's company suggests but there is no way I am aware of that you avoid paying for the report from the bank's choice.