Mortgage valuation report _ should i be worried ?

harvey1964

Just got my Mortgage Valuation Report from the Mortgage Company.
on the condition of the property the rating says 3 - which is "Essential repairs needed"

Then the notes states " THERE IS EVIDENCE OF DIFFERENTIAL SETTLEMENT TO THE FRONT OF THE HOUSE BETWEEN THE GROUND AND FIRST FLOOR WINDOWS BUT IT DOES NOT APPEAR TO BE OF A SERIOUS NATURE AS IT ONLY FOLLOWS UP THE POINTING. THE JOINTS SHOULD BE RAKED OUT AND RE-POINTED. AS A PRECAUTION THE APPLICANT MAY WISH TO HAVE IT INSPECTED NY A STRUCTURAL ENGINEER"

Help.....can anyone advise ?

hcb42

It sounds fairly straightforward.

G_M

Has the valuation been accepted and mortgage confirmed for full amount?

Sounds like you need to get the pointing raked out where there is a crack, and re-pointed. Depending how extensive the area required: £50 - £200

You could put your mind at ease by getting a structural engineer o confirm whether the crack is anything more serious. as the surveyor says "MAY WISH TO"

ps - just a suggestion but in future posts avoid all capitals as it comes over as SHOUTING.

harvey1964

G_M wrote: »

Has the valuation been accepted and mortgage confirmed for full amount?

Sounds like you need to get the pointing raked out where there is a crack, and re-pointed. Depending how extensive the area required: £50 - £200

You could put your mind at ease by getting a structural engineer o confirm whether the crack is anything more serious. as the surveyor says "MAY WISH TO"

ps - just a suggestion but in future posts avoid all capitals as it comes over as SHOUTING.

Ooops...just trying to state what he actually wrote.
The mortgage amount was for £85,000 and house price £99,000. this is the valuation that was done for the bank.
Not sure what to do, i am due to sign my Mortgage acceptance forms and return them to the bank

G_M

harvey1964 wrote: »

...The mortgage amount was for £85,000 and house price £99,000. this is the valuation that was done for the bank.
...

I repeat the Q:

Has the valuation been accepted and mortgage confirmed for full amount?

harvey1964

G_M wrote: »

I repeat the Q:

sorry I dont know what that means.....that valuation was sent to me from the bank I am getting the mortgage with....so I assume they are aware of the contents of the valuation.
yes they have given me the full amount of mortgage

G_M

harvey1964 wrote: »

yes they have given me the full amount of mortgage

That's what I was getting at. If the bank was worried by this report they would have declined the mortgage, or reduced the amount, or witheld a proportion until repairs were completed.

harvey1964

Who is liable to put this right before i move in ?

joerugby

harvey1964 wrote: »

Who is liable to put this right before i move in ?

Nobody is. If you want to get the vendor to cover the cost of raking out and repointing you need to get a cost estimate and ask for a reduction in the purchase price.

If you want a structural engineer's report the cost is down to you. Personally if I was spending £100,000 I would get one

harvey1964

can anyone explain what this is ?
saleability

10. Insurance £85,000
11. market value £99,000
market value after works £99,000 ? anyone ?
why is the insurance amount less than the value at £99,000

hcb42

insurance amount is cost for rebuilding purposes...that can be more than or less than the actual value, depending on whether brick/stone, and where the house is of course.

what he is saying is the work is insignificant, it does not add to the house value, but equally, to answer the question you were asked earlier, the house is worth what you were paying for it.

For an insignificant bit of pointing, I would just get a builder out and get it assessed/fixed when you move in.