90% of purchase price or not?

Mikeef

Hello,

Looking to move house later this year. Almost found a buyer for ours and porting existing (with NatWest) as we are still in a fixed deal.

NatWest have told us how much they will lend us and also that they will only lend up to 90% the value of the house we are buying.

My question is, is that 90% the purchase price or 90% the actual properties value following the lenders survey, as the 2 can differ and it will make a big difference to us.

Many Thanks

Mike

somethingcorporate

Whichever is the lower amount.

Mikeef

Oh !!!!!!!

harvey115

A good point in this would be.

If the survey comes out to be lower then the purchase price, you have an argument with the vendor and ask them to meet the surveyor valuation price. Although that may not be successful, at least you will have an evidence to show if you are being charged higher then the recommended market value.

PS - houses are in the market put up by the estate agents valuation, which is most of the times off the mark.

vectistim

harvey115 wrote: »

PS - houses are in the market put up by the estate agents valuation, which is most of the times off the mark.

Or they are put up at the owner's valuation, which is most of the time even more off the mark.