2 low valuations on dream house!

Zoe-Chloe71

Thrugelmir wrote: »

The surveyor is representing the lender, and will value in accordance with the instructions given.

He of course represents the lender, but then why did a second surveyor (from a different firm) value so differently? He was also instructed by the (same) lender...

opinions4u

So you want to borrow more on a property with limited future sale potential.

Why do you want £40k in negative equity the day you move in? Some people take years to achieve that!

Zoe-Chloe71

opinions4u wrote: »

So you want to borrow more on a property with limited future sale potential.

Why do you want £40k in negative equity the day you move in? Some people take years to achieve that!

I don't. But especially since there is a big difference between the valuations, I am wondering if valuers ever get it wrong/scared of being sued? Still, thanks for replies, they are a good reminder to take the emotion out of a big purchase. Fell in love with the house...

opinions4u

take the emotion out of a big purchase

Absolutely spot on. That will save you tens of thousands over a lifetime!

poppy10_2

_Andy_ wrote: »

Why on earth would you want to 'contest' it and pay more than what its worth?

"Please sir, can I pay some more?"

Really can't figure out the mentality of people who try to "fight" low valuations for the property they are trying to buy.

DannyboyMidlands

Sounds like you've had a lucky escape and the first surveyor has stopped you overpaying by £40k. I'm not sure why you got the second valuation. How does increasing what you pay to £140k help you out? Why are you so keen to overpay?

If you so keen to throw your money away you can give some to me if you like.

Zoe-Chloe71

DannyboyMidlands wrote: »

Sounds like you've had a lucky escape and the first surveyor has stopped you overpaying by £40k. I'm not sure why you got the second valuation. How does increasing what you pay to £140k help you out? Why are you so keen to overpay?

When our broker got in touch with the 1st surveyor to check out his reasons for the down valuation he said there was 'nothing structural, it was because he hadn't seen evidence of similar properties selling at that price in the area.'

We've been watching the market in this area for the last year, and I'd done quite a bit of research into Land Registry Sold Prices. I knew of 3 comparable (I'd viewed them) that had sold at over £165,000 very recently. Two of them in a far worse state of repair. This house has a new kitchen, bathroom, utility room built, lots of work done to it recently. Besides loving it, practically it ticked all the boxes for our family, and we just hadn't found anything as attractive and large with the huge garden for around this price. So we decided to contest it, with the evidence, as the vendor wouldn't sell at £125,000.

The surveyor wouldn't budge, and so we decided to go for another opinion as the first valuation was free. We also knew from the seller that this had been almost a drive-by valuation - he'd popped in for 5 minutes. Apparently the 2nd was far more thorough, so we await the report...

Zoe-Chloe71

P.S I don't want to overpay, but the £125,000 didn't appear consistent with the evidence we've seen. In this area, you cannot buy a large 4 bed house with a big garden for £125,000, (unless there is something structural), even after the price drop. (is there anywhere you can, yet?) So it was lose the sale or a 2nd opinion. The noises we are hearing means that seller I think, will still want to try another buyer to see if she can get the £162,000. What do you think her chances are??

Wh05apk

I must admit, it is quite unusual for purchases (except new builds) to be down valued, from your description, it almost sounds like the first valuer had thought it was a remortgage valuation, a purchase valuation should have been more thorough.

As the second valuer increased the value, I feel you have cause for complaint to get your valuation fee refunded? although that still leaves you £25k short.

I did have a similar situation with a client recently who was selling, and her agent successfully appealled the valuation by supplying comparables, perhaps, you should go back offer the £140k, stating that is the second valuation and that you cannot/will not pay more than that, as you cannot get the mortgage, the seller/agent may then either accept your offer (unlikely) or contest it?

Zoe-Chloe71

Thanks for last post; yes our broker did double check it hadn't been treated as a remortage valuation, and apparently not...The surveyor would not accept the comparables as two of them, although recent, were over 3 months old, and he said it had to be 3 within that 3 month period. Which is tricky to find in a rural area! So it doesn't look as if they'd have much luck contesting it. For the seller, I can see that it's tempting to try someone else in case another valuation comes up to the purchase price...