We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
How accurate is a valuation?
Options

FTB-FTW
Posts: 115 Forumite

Hi all. Saw the other question about how much to 'trust' surveyors, so thought I'd ask a similar question based on some conversations I've been having this week.
When our mortgage valuation came back with the same figure as the price we'd offered, I was thrilled: it seemed to confirm that we had not bid too high or two low, and meant that we could progress with our move.
My other half, however, was disappointed. He's been concerned all along that we offered too high, and was expecting/hoping that the valuation would come back around 5k above what we offered.
His view is that it's 'weird' that the report came back the same and that this could suggest it was actually a little below what we'd offered, but that it's easier for the surveyor just to sign it off at the same amount. A bit of research suggests that this isn't the case, since the surveyor gets paid either way, but it did make me wonder.
Now I don't know what to think! I can sort of see both views.
Which of us has the "right" attitude here?
When our mortgage valuation came back with the same figure as the price we'd offered, I was thrilled: it seemed to confirm that we had not bid too high or two low, and meant that we could progress with our move.
My other half, however, was disappointed. He's been concerned all along that we offered too high, and was expecting/hoping that the valuation would come back around 5k above what we offered.
His view is that it's 'weird' that the report came back the same and that this could suggest it was actually a little below what we'd offered, but that it's easier for the surveyor just to sign it off at the same amount. A bit of research suggests that this isn't the case, since the surveyor gets paid either way, but it did make me wonder.
Now I don't know what to think! I can sort of see both views.
Which of us has the "right" attitude here?
0
Comments
-
What is something 'worth'? It's worth what someone is willing to pay for it.
Surveyors have a leeway, £5k here or there on the value of a property is not much really. They look at comparable properties in the area and what they have sold for and if the agreed price of the one they're valuing is within 'acceptable tolerance' then they'll agree with the price/value. Usually, it's only if they find work that needs to be done that could affect the value they'll downvalue it.Are the words 'I have a cunning plan' marching with ill-deserved confidence in the direction of this conversation? :cool:0 -
When our mortgage valuation came back with the same figure as the price we'd offered, I was thrilled: it seemed to confirm that we had not bid too high or two low, and meant that we could progress with our move.
My other half, however, was disappointed. He's been concerned all along that we offered too high, and was expecting/hoping that the valuation would come back around 5k above what we offered.
His view is that it's 'weird' that the report came back the same and that this could suggest it was actually a little below what we'd offered, but that it's easier for the surveyor just to sign it off at the same amount. A bit of research suggests that this isn't the case, since the surveyor gets paid either way, but it did make me wonder.
It can't be worth more, because if it was, then the seller would have rejected your offer and either squeezed more out of you or found another buyer who would have paid more.Hi, we’ve had to remove your signature. If you’re not sure why please read the forum rules or email the forum team if you’re still unsure - MSE ForumTeam0 -
No survey will EVER come back valuing a property higher than the amount of your accepted offer.I'm an estate agent. :j0
-
My valuation came back with the exact same price I had offered. It's little more than a box ticking exercise and easy money for the surveyor0
-
SimonMrGreenWard wrote: »No survey will EVER come back valuing a property higher than the amount of your accepted offer.
Wrong. From personal experience, I had a survey come back valuing a property at 13K more than the accepted offer.Hi, we’ve had to remove your signature. If you’re not sure why please read the forum rules or email the forum team if you’re still unsure - MSE ForumTeam0 -
Doshwaster wrote: »My valuation came back with the exact same price I had offered.
This used to happen a lot. Now many valuations are coming in considerably lower.Doshwaster wrote: »It's little more than a box ticking exercise and easy money for the surveyor
Alternatively the surveyor could be a qualified professional who has a duty, chiefly to the mortgage lender, to give a realistic valuation in order for the lender to understand the risk.
Surveyors are qualified to value houses. Estate agents are not qualified and do not give valuations, they give market appraisals.Hi, we’ve had to remove your signature. If you’re not sure why please read the forum rules or email the forum team if you’re still unsure - MSE ForumTeam0 -
The valuation is intended to confirm to the lender that they are not lending too much on the property. So it is frequently the same as the purchase price. In effect the valuer is saying, "yes, it's OK to lend that much on this property".
Where there is a concern, the valuation might be lower, effectively "Don't lend that much to the buyer on this house".
Valuing the property above the purchase price gives no useful additional information to the lender.0 -
Valuing the property above the purchase price gives no useful additional information to the lender.
Other than to indicate that there is likely, upon completion, to be equity above the buyer's deposit. It is unusual, but it happens. Lenders like equity, especially in today's market, it means that they are less likely to make a loss if they need to repossess.Hi, we’ve had to remove your signature. If you’re not sure why please read the forum rules or email the forum team if you’re still unsure - MSE ForumTeam0 -
Other than to indicate that there is likely, upon completion, to be equity above the buyer's deposit. It is unusual, but it happens. Lenders like equity, especially in today's market, it means that they are less likely to make a loss if they need to repossess.
As I said - this adds no useful additional information. Yes lenders like equity, but since they will already have approved the mortgage at the sale price, they will have already decided that there is sufficient equity... at that price. More equity makes no difference - they'll still lend on the property. Less equity and they'll withdraw their mortgage approval.
Hence valuers rarely bother to value above sale price unless there is a very clear, and large, difference between price and valuation.0 -
As I said - this adds no useful additional information. Yes lenders like equity, but since they will already have approved the mortgage at the sale price, they will have already decided that there is sufficient equity... at that price. More equity makes no difference - they'll still lend on the property. Less equity and they'll withdraw their mortgage approval.
Hence valuers rarely bother to value above sale price unless there is a very clear, and large, difference between price and valuation.
No. at this point the lender will have given an acceptance in principle. The mortgage offer follows the survey and valuation. I agree that this will likely make little difference if the potential mortagee has come this far, but it is not superfluous information. I say likely because in recent times a some mortgages have been withdrawn even after this stage, some even after exchange. If you are underwriting a loan, every nugget of information that potentially lowers your risk is taken into consideration.Hi, we’ve had to remove your signature. If you’re not sure why please read the forum rules or email the forum team if you’re still unsure - MSE ForumTeam0
This discussion has been closed.
Confirm your email address to Create Threads and Reply

Categories
- All Categories
- 350.9K Banking & Borrowing
- 253.1K Reduce Debt & Boost Income
- 453.5K Spending & Discounts
- 243.8K Work, Benefits & Business
- 598.7K Mortgages, Homes & Bills
- 176.8K Life & Family
- 257.1K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.6K Read-Only Boards