House valued lower by Surveyor

moonrakerz

Doozergirl wrote:

Also, do take some of the more negative comments above with a pinch of salt

Also, take some of the EA comments with a large pinch of salt ! The first trick in the EA's arsenal is to give you a higher valuation than the EA down the road so that you will put it on their books, not the other guy's! This gives many sellers a false, high, expectation of what the house is worth.

The bottom line is - your house is worth what someone is willing to pay you for it - not what some smart-suited EA tells you it's worth ! If you want the extra £10-15K, wait for it, unfortunately, no one can tell you how long you might have to wait.

Madjock

you should be getting comparables instead of forking out for another valuation. your ea should be able to advise you on how to go about doing this, or your buyer should certainly be doing it.

Herb

Madjock wrote:

or your buyer should certainly be doing it.

This valuation is £16k under the agreed price or 15% less- if I was the buyer I would want the seller to do all the work. After all that's why the buyer paid the valuer - to give an opinion on the value.

Doozergirl

I think madjock means that the buyer should be looking to get the evidence of comparable sales if they want the house, I don't think the work is a question.

Herb

BTW Barney - if you want any chance of getting this overturned you need to establish what the surveyor actually valued the house at. Is it £90k or £95K - 15% less or 10% less.

Mortgage surveyors will give a specific value - not a 'between X & Y ' value, which makes me think that you have not actually seen the report.

If so - is there any chance the buyers are bullshtg?

Madjock

the first thing we always do when a val comes back low is look for comparables. buyers cant and dont automatically expect the vendor to just drop thousands from their selling price on the say so of one surveyor. i can't believe the ea has not suggested this to you before you've forked out for another valuation. you need to check whether the buyers' mortgage lender will accept whatever new value is put on the property, and thats if its not valued at 90k again!!!!

mr.broderick

moonrakerz wrote:

Also, take some of the EA comments with a large pinch of salt ! The first trick in the EA's arsenal is to give you a higher valuation than the EA down the road so that you will put it on their books, not the other guy's! This gives many sellers a false, high, expectation of what the house is worth.

The bottom line is - your house is worth what someone is willing to pay you for it - not what some smart-suited EA tells you it's worth ! If you want the extra £10-15K, wait for it, unfortunately, no one can tell you how long you might have to wait.

Slightly agree with 1st paragraph.

2nd paragraph you say the house is worth what someone is prepared to pay for it, ok someone was prepared to pay £106k, the surveyor values it at 90-95k, we need more info about survey, is there a retention etc..with work done will it be worth the £106k..get my drift?

barney_1972

Just found out that buyer does NOT in fact require 100% mortgage and actually has a 10% deposit, so i guess that precludes the possibility of undervaluing due to high risk borrower.

However looked on hometrack for comparables to my property. There are three in my street. however the prices are for Right to buy so are prices after huge RTB discounts were given.

I wonder if the surveyor (who i'm told as used hometrack) as used these prices as guidelines?

btloptingout

Doozergirl wrote:

I think that's your explanation there barney_1972.
Also, do take some of the more negative comments above with a pinch of salt Yes interest ratees went up again this week and whilst it is a concern, similar comments would have been made last week too.

I think interest rates going from 4.5% to 5.25% in the space of 5 mths is a very valid, not negative, response to the assertion that he'll have no problem getting asking price offers.

I'm not suggesting he should take the offer, just that he shouldn't be under the false impression that another buyer is necessarily going to turn up quickly waving £106K.

Doozergirl

So what's your advice? Do you think the OP should accept a £10-15k drop or try for something better?

I did say pinch of salt, not dismiss, and I was referring more to another post which gave no help at all, but for which the OP still kindly thanked the person posting.