Homebuyer's report says house is overvalued

michaels

I had this on my sale, lenders surveyor happy with valuation but second survey for buyers came up with big down valuation. I had had offers very quickly when selling so stuck to my guns but said would accept slight reduction to reflect cost of 'faults' surveyor mentioned rather than entertain down valuation - buyer, I suspect told by agent of strong interest, accepted.

Eric1

Thrugelmir wrote: »

Most people don't obtain a second surveyors report further down the line for their own benefit.

Especially a homebuyer survey, which I think is not worth the money.
A full building survey before or with the valuation seems a better investment, but have not tried it yet.

Thrugelmir

michaels wrote: »

I had this on my sale, lenders surveyor happy with valuation but second survey for buyers came up with big down valuation.

What reason did your buyers give for the second survey? A deliberate attempt to renegotiate the price ?

Charliezoo

Funnily enough a similar thing happened to my sister and her husband only they had their flat surveyed/valued with a view to sell (they had to pay for this as it was something to do with the part-buy scheme they were part of). They were shocked when the valuation came back with a low price and questioned the surveyor. It transpired that the surveyor, having been paid for by my sister, assumed that they were having the flat valued for remortgaging purposes and so thought he was doing them a favour by undervaluing the flat!

Could this surveyor be thinking he's helping you out by stating a low value and thus giving you a good basis for negotiation? He has after all been paid by you so he's working for you.

Bekikia

Fire_Fox wrote: »

Is not having to move into rental accommodation worth £20K to you? Do you have a large enough deposit to find that extra £20K plus fun any work on the property? When you say your tenancy ends, do you mean you have served notice to quit or simply that the fixed term has expired?

Hia, our tenancy is running out because our landlords are moving back into what is, at the moment, our house, which is why we are trying to buy. Everything was running pretty much to schedule for completion in time until we got this survey.

john_white

Fire_Fox wrote: »

Is not having to move into rental accommodation worth £20K to you? Do you have a large enough deposit to find that extra £20K plus fun any work on the property? When you say your tenancy ends, do you mean you have served notice to quit or simply that the fixed term has expired?

Why do they need to find another 20k?

blindman

mcc100 wrote: »

Do you really believe that the seller has actually received another offer matching the asking price?

Has this been passed on to you via the estate agent?

Not for one minute would I believe this.

If I was in your situation I would withdraw your offer and walk away, advising the seller or estate agent that you can only afford the price that the surveyor has valued the property at.

This is the best advice.

This will focus the minds of the seller (and their [money grabbing] agent).

I would not be amazed to find they suddenly come back with your surveyors price.

NEH

john_white wrote: »

Why do they need to find another 20k?

Firefox means that if they were to stick witih this house at the crruent price then they could potentially be paying 20K over the odds for the house...

One thing strikes me, you say that the house is one of the higher priced for the area, is there something special about it, is it in mnt condition? If not it makes me wonder why you haven't checked land registry figures beforehand before making an offer as this would give you a good idea of what you should be paying...

I know surveyors valuation aren't exact but the only way you'll get an idea pf prices is to look at the area and what has sold for what...I think if I knew it was so overpriced I would negiotate down but be prepared to walk away as it does seem to me that the EA is pulling a fast one over you by saying they have the asking price...Think very carefully as you don't want to feel cheated for all the years you spend in the house...