Remortgaging the repossessed flat i bought

alexander23_2

Hi everyone,

I bought a repossessed flat 2 years ago at a far lower price than what other flats have been bought for in the area. The valuation was done by the lender and they valued it at the same price as the price I bought it for.

I am now wanting to re mortgage and try and get a better loan to value ratio. I had 10% before and am now wanting to get 15%.

My question is did the lender value it at the same price as I paid for it just because it was a repossession and matched my offer or because they actually thought it was worth that price?

Like I say other flats are going for at least 10,000 - 20,000 more and I believe that the flat I got is potentially better due to its positioning, size, patio etc. Would a another lender, now that it is not a possession, put a higher value on it despite knowing I got it for the low price?

Thanks for any advice in advance!!

Dave_Ham

Hi - they will value the property at what it is worth now, although they will be aware of the price you paid.

A lender never values the home at more than the agreed price when you bought originally, so do not worry about that..

Good luck