Are RICS valuers over-valuing in your area?

justjohn

Are RICS valuers over-valuing in your area?

And surely the valuation of a house should be based on previous sold and current asking prices of properties on the market?

Pimperne1

From my point of view, and I've met quite a few of them, the Surveyors who come round to do the valuation are pretty clueless. I often say to tenants the likes of "If they ask you what rent you are paying in rent (for a remortgage) then tell them £750" (when it is probably more like £675).

They are in a position of strength as you are unable to challenge them and some of them are like little Hitlers (but in answer to your question I suspect they are more likely to be under-valuing rather than over-valuing in the current climate).

Paying for a valuation is one of the times when you pay out the most money to a professional for the least effort on their behalf.

Graham_Devon

So you urge your tenants to lie for you?

daveyjp

Do you mean over valuing prior to being put on the market? If so you will find most estate agents aren't RICS members. The seller can have as much influence over the asking price as the agent.

RICS members do the valuation for mortgage purposes once an offer is received and consider far more than what properties have recently sold for and assess if the offer is realistic in terms of risk for the mortgagee.

Pimperne1

Graham_Devon wrote: »

So you urge your tenants to lie for you?

Only if they want to stay (seriously though, if its not £750 by the time the Surveyor comes round it soon will be).

justjohn

daveyjp wrote: »

Do you mean over valuing prior to being put on the market? If so you will find most estate agents aren't RICS members. The seller can have as much influence over the asking price as the agent.

RICS members do the valuation for mortgage purposes once an offer is received and consider far more than what properties have recently sold for and assess if the offer is realistic in terms of risk for the mortgagee.

i am in scotland and we have home reports. Most are done by RICS members.

Since the home report is done before marketing starts. The asking price is based on the report valuation.

However many house's are put on for a few months at the initial valuation then reduced after a few months.

Some if not most of these properties are never going to go for the initial valuation. Thus the vendor is much more reluctant to go down to a realistic price.