Help House price de-valued by 30% in 3 months!!!

marty4sh

Hello

I re-mortgaged with a well known high street bank 3 months ago and they valued my property at slightly more than The house was valued 3 years ago. We spent around 15000 refurbishing but because of the market drop only gained around 5000 which we understood....

We approached the bank requesting a secured loan as we had 30000 equity when they surveyed the property 3 months ago and they were happy as we have no adverse credit etc..

At the last moment they wobbled and said they would now require a re-valuation but it was not a problem as it was only valued 3 months ago. Guess what...they valued the property at 30000 less than 3 months ago????

Bearing in mind the firt valuation was 105K thats 30% or so less but the property is just the same as it was and I am lucky that I live in part of the country that Property valuations have only dropped by 1.2% since before the last valuation.

I have contacted the bank but they say they have to take the word of the surveyor but do find it a large drop and have spoken to the company who did both valuations and they gave me the Surveyors ombudsman phone number and said I had no complaint with them and take it to the ombudsman. I called the ombudsman who say they can not help as I did not directly employ them the bank did, so I have lost £30000 in 3 months or......they overvalued the property to get my business with the mortgage and then valued it correctly so they did not take any risks in lending more than the property is worth.

Each time the surveyor asked what the valuation was for and how much we paid etc... If I can not go to the ombudsman or to the company direct who can I go to?

I don't know what to do now as we just bought this place 3 years ago as a first step on the property ladder and when we bought it we had a 40% discount on the original local valuers valuation have spent 15K on it and now it is worth less than we paid for it after 40% discount!!!

PaulW1965

OP, if you are not at a troll, I think you are on the wrong board.

adam1982

and i think unfotunatley it will be worth even less next year. You paid what YOU thought it was worth at the time.

PasturesNew

Houses are places to live, to make homes. You bought somewhere you liked, you did stuff to it that'd make you happy and enjoy your home more. I don't see the problem.

Oh ... and STOP BORROWING MONEY !!!!!!.

marty4sh

adam1982 wrote: »

and i think unfotunatley it will be worth even less next year. You paid what YOU thought it was worth at the time.

I paid what the district valuer said it was worth which is not really the issue, The issue is how a property can lose 30% in 3 months:eek:

carolt

I don't think they are a troll, but may not meet with the most welcoming reception here.

OP - surveyors do change valuations according to who is going to sue them if they get it wrong - they're just covering their backs in the most recent calculations.

If you must borrow 30K, maybe an unsecured loan is the way to go.

olly300

marty4sh wrote: »

I paid what the district valuer said it was worth which is not really the issue, The issue is how a property can lose 30% in 3 months:eek:

The value of a house is as long as a piece of string.

In short they don't want you to borrow money against your house.

I think you need to go to the Debt Free Wannabee board and see how you can cut your outgoings.

marty4sh

PasturesNew wrote: »

Houses are places to live, to make homes. You bought somewhere you liked, you did stuff to it that'd make you happy and enjoy your home more. I don't see the problem.

Oh ... and STOP BORROWING MONEY !!!!!!.

I can afford my repayments and have never missed a credit card payment or mortgage repayment.....why don't we all just stop borrowing? the only industry we have left on this baron rock will come to a grinding halt! My point is my property was valued 30% less in 3 months and this is what I was asking for help with not whether I could afford my repayments. what a helpful lot you are on here! let me guess.....un-employed or bankers? or both?

System

2 years ago my parent's bungalow was valued at £300,000 for probate purposes when my father died. Now my mother wants to move and the same estate agents value it at £225,000.

That's life. But anywhere she might move to will also be falling in value.

Errata

marty4sh wrote: »

I paid what the district valuer said it was worth which is not really the issue, The issue is how a property can lose 30% in 3 months:eek:

District Valuer? Is this an ex social housing property? If it is, the valuation for the secured loan may have taken into account how much you would have to repay if you sold the property within a specified period.

ultrawomble

marty4sh wrote: »

My point is my property was valued 30% less in 3 months and this is what I was asking for help with

How do you know that 3 months ago it wasn't overvalued by 30%?