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Valuation survey & retention of mortgage - advice please
newbie-house-buyer
Posts: 10 Forumite
Hi
We are in the process of buying a property and have just had the mortgage valuation survey report (for our HSBC mortgage) back. The valuer has recommended a retention of £5000 of the mortgage due to the need for:
HSBC have said that if we send them the above reports they will then advise if any retention will apply. They have also said that if we accept the £5000 retention (in other words, put up another £5k for the deposit or ask the seller to reduce the property by 5k) then they would not have to see any of the above reports.
We also paid for the more detailed Buildings Survey for which we are still waiting on the report. We hoped that some of the issues above would be discussed in more detail in the Buildings Survey but after finding out that this is carried out at the same time as the valuation survey and by the same surveyor, I'm not not so sure.
I suppose I'm wanting to know if anyone else has been in this situation and how common it is? I'm pretty certain that the house will need rewiring at some point. Is it likely that if we got a report saying that it did need rewiring, then HSBC would apply a retention anyway?
Any advice on what the best way forward is? And also, just out of interest, if we were to re-negotiate the price with the vendor now, would our solicitor do this on our behalf? Or would we need to go through the vendor's estate agent?
Many thanks in advance
We are in the process of buying a property and have just had the mortgage valuation survey report (for our HSBC mortgage) back. The valuer has recommended a retention of £5000 of the mortgage due to the need for:
- Check / estimate for electrical rewiring
- Roofing contractor report in respect of valley gutter
- Concrete specialist report for spawling concrete
HSBC have said that if we send them the above reports they will then advise if any retention will apply. They have also said that if we accept the £5000 retention (in other words, put up another £5k for the deposit or ask the seller to reduce the property by 5k) then they would not have to see any of the above reports.
We also paid for the more detailed Buildings Survey for which we are still waiting on the report. We hoped that some of the issues above would be discussed in more detail in the Buildings Survey but after finding out that this is carried out at the same time as the valuation survey and by the same surveyor, I'm not not so sure.
I suppose I'm wanting to know if anyone else has been in this situation and how common it is? I'm pretty certain that the house will need rewiring at some point. Is it likely that if we got a report saying that it did need rewiring, then HSBC would apply a retention anyway?
Any advice on what the best way forward is? And also, just out of interest, if we were to re-negotiate the price with the vendor now, would our solicitor do this on our behalf? Or would we need to go through the vendor's estate agent?
Many thanks in advance
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