Underestimation on Mortgage Valuation?

ferry

Just wondering if this is worth following up.
We're in the process of remortgaging with C&G and on their application form we have put our property value as £240000.

This is based on an EA valuation when we were thinking of selling earlier this year.
When we had our offer through yesterday it states value of our property as only £210000.

Now this is ok as we're only remortgaging for £115k,but thinking ahead I'm concerned about if I need to take out some additional borrowing from C&G how the LTV figures may work against us based on their valuation figure?

Worth getting this figure changed/reviewed in view of this?

Also,how do they arrive at their estimate as we never had a visit from one of their valuers at any time?

Thanks for any advice
T.

homer_j_3

An EA valuation can be as accurate as a 20 year old map. They will use comparables to work out what the value of a property should be marketed at but some EA's will over value because it makes you feel good and gets them the business.

Actual surveyors will also look at comparables and give what they think it is worth and they can be so frustrating to people because you see it as undervaluing when in fact it may just have been the EA overvaluing to get the business.

There is no reason why you should get concerned at this point about the future impact of this valuation because there will be none - the house will be valued on the actual current market not against the fact it was worth X 3 years ago.

[Deleted User]

Its fairly common for this too happen as the EA valuation is the try it on price ie if the right buyer comes along this is what it could go for. The mortgage valuation is a much more level headed, this is what its worth and what we can auction it for.