Mortgage Valuation lower than property worth

scheming_gypsy

tell them you're not prepared to sell to them at that price. You got it valued at x amount and that's what you want. if they won't pay it then keep it on the market and wait for other byers

Mark_petty

TEDDYRUKSPIN wrote:

Basically the ball is on the customer who is buying your flat/house. Every bank/building society use a special broker of surveyors who come to your house and carry out the survey.

Being honest, if you don't want to budge on the new valuation price, just don't sell it at that price? No sell equal no loss!

Cheers, I have no choice about budging on price as its down to the housing association (they own the other 50%). As they deal with the sale of the property.
All they told me was to get an independant valuation done and give them a copy of it. They will then sell it for that amount no less and no more.

Mark_petty

scheming_gypsy wrote:

tell them you're not prepared to sell to them at that price. You got it valued at x amount and that's what you want. if they won't pay it then keep it on the market and wait for other byers

Thats what i will be doing, as its not just me making up the value it was valued at that price so its staying at that price. There were 2 others who wanted the property so it could always go to one of them.
I've had nothing but stress selling this property as well as buying my new one, I just wish it go through

MarkyMarkD

Mark_petty wrote:

Cheers, I have no choice about budging on price as its down to the housing association (they own the other 50%). As they deal with the sale of the property.
All they told me was to get an independant valuation done and give them a copy of it. They will then sell it for that amount no less and no more.

Frankly, the HA's alleged attitude makes no sense.

No house sells for exactly what any particular valuer thinks it's worth - it sells for what the buyer thinks it's worth.

The HA care if you sell out their share at an under-value to a related party (like a friend or relative) but they shouldn't care one jot if you sell for MORE than the valuation.

MortgageMamma

I still think it should be challenged, TBH I've challenged with lenders that use colley's before (Intelligent Finance) and got the result wanted

Mark_petty

MortgageMamma wrote:

I still think it should be challenged, TBH I've challenged with lenders that use colley's before (Intelligent Finance) and got the result wanted

Thanks, fingers crossed they will go by our independant suveyors valuation. The Housing Association said they are going to contact the Portman and argue the case.

MarkyMarkD the reason why they only go by one figure is because otherwise some people may want to accept a lot less than its worth just for a quick sale making the HA loose money. Or the seller may think its worth more and not except anything. So the HA have a policy that you must get an independant surveyor to value it. What ever they value it for is the price it goes for.
In our case our 2 bed flat was valued at £173k but the Portman valued it at £166500
I can't see the HA dropping the price and I won't be either, the new buyer will have to go to a different lender or we will sell it someone else

UK007BullDog

Mark_petty wrote:

MarkyMarkD the reason why they only go by one figure is because otherwise some people may want to accept a lot less than its worth just for a quick sale making the HA loose money. Or the seller may think its worth more and not except anything. So the HA have a policy that you must get an independent surveyor to value it. What ever they value it for is the price it goes for.
In our case our 2 bed flat was valued at £173k but the Portman valued it at £166500
I can't see the HA dropping the price and I won't be either, the new buyer will have to go to a different lender or we will sell it someone else

Is that not a bit risky? What if your surveyor would have undervalued it to lets say £160K as an example, that would make you out of pocket? Should the HA not have also a general idea what the property is realistically worth?

We usually also have a very good success rate when it comes to challenging surveys, however the Mortgage Works will not budge. I think it is even on their application forms that they will not accept any survey queries.

Anyway, I wish you good luck in your move and the sale of your flat.

Mark_petty

The portman are sending the valuation report to our buyers, the buyers seem fairly hopeful. They said they have been on the phone to them today, so there is hope as they haven't actually said 'No' about adjusting the valuation.

Mark_petty

Right I have an update.

Portman would not budge on the price even though there are identical flats selling for 30-50k more along our road. They still insisted that it was worth £13k less. No reasons given at all. Our flat is a really modern newly decorate property as well but nevermind.

I said to the buyers that they either go with a new lender or we get new buyers.
They decided to get a new lender. This time it was nationwide
The valuer came out and we asked him if he thought there would be an issue on the price and he said No (bit of luck at last). We gave him the valuation certificate we got from our surveyor as well.
A couple of days later we received the call to say everything is fine and the mortgage is going through and it will be signed of by friday.
So we are happy now and we know never to go to the portman for anything.

Thanks for your help everyone