Valuation advice

bullzxi07

Hi all,

Need some advice on my mortgage application - and valuation in particular.

I applied for a buy to let mortgage through a broker and the lender (a well known bank) instructed the valuation ( only know this as this is what is says on the mortgage tracking website) on 03.04.2013.

Now last week Thursday, the broker got back to me saying that they had rejected my application due to them believing that I will not be renting but will go live there after.

However, they have charged me £400 for the valuation. When asking for a copy of this (which I believe I should be entitled to), they are saying that the valuation they done was a 'undisclosed type' and they would not give me a copy - I was never made aware that the valuation was a 'undisclosed type' by the lender nor the broker.

Now, if they had accepted my application, surely I would have been given a copy of this? Secondly, just because the application has been unsuccessful, does not mean I should not be entitled to the copy of the valuation. As far as I'm concerned, (i) I've paid £400 for a valuation for which I have no proof has even been carried out (ii) received no product/service for my money.

I desperately require a copy of this valuation as I am planning to get a private lender to lend me the money now and they want to see a recent valuation.

Could someone with knowledge in this area advice me if they are correct in doing this or if I should be taking this further.

All your comments are welcome.

Thank you

GMS

Which lender?

Valuations are done for the lender so they don't always give a copy of the report to the applicant.

Why do they think you will be living there? Could the broker not have held off the valuation until the application had been agreed?

bullzxi07

Lender was Barclays - Woolwich.

The lender arranged the valuation directly on 3rd April 2013 but since then have asked me many questions + additional paperwork in support of the application, which I have provided all accordingly.

They should have done the valuation after the application was agreed in my opinion but apparently this is not uncommon to do the valuation first nowadays.

No idea why they think I would be living there, perhaps because the property is a few doors down from my current address where I live with my parents.

Are you saying that that even if the application was successful, I would not have got a copy of the valuation?

Just seems very unfair that I do not anything for my £400 or even proof that the valuation was carried out.

Jimbo1976

Your broker should have disclosed the fact that it was non disclosed to you. I would have expected it to be on the mortgage quote (which would have summarised all costs, fees, monthly payments etc)

If you look here and click on valuation

http://www.woolwichintermediaries.co.uk/BuytoLet/BuytoLetlendingcriteria/IP1242620533015

http://www.woolwichintermediaries.co.uk/WoolwichMortgages/Feescharges/IP1242622395342

kingstreet

If it was my case, I'd ask my BDM if they could get hold of a copy for me on the QT. Especially if I'd allowed the valuation to proceed without establishing the case was solid.

This property is close to where you live, with your parents? Do you own that property, or do they? Do you own any other residential property?

Do you have sufficient income to purchase this property using a residential mortgage, ie within 5x gross annual income, net of credit commitments?

kingstreet

The reason for my questions is this;-

Acceptable borrowers

Private individuals. (For non-UK residents only those who already hold a Barclays BTL mortgage). At least 1 applicant must own and be occupying a UK residential property*

Existing Woolwich Special Purpose Vehicle (SPV) Limited Company customers

Existing Woolwich Limited Liability Partnership (LLP) customers

Unacceptable borrowers

Where no applicant owns and occupies a UK residential property*

This is taken from Woolwich BTL criteria. If you are not eligible, did the broker establish Woolwich would look at the case before proceeding?

bullzxi07

kingstreet wrote: »

If it was my case, I'd ask my BDM if they could get hold of a copy for me on the QT. Especially if I'd allowed the valuation to proceed without establishing the case was solid.

This property is close to where you live, with your parents? Do you own that property, or do they? Do you own any other residential property?

Do you have sufficient income to purchase this property using a residential mortgage, ie within 5x gross annual income, net of credit commitments?

kingstreet wrote: »

The reason for my questions is this;-


This is taken from Woolwich BTL criteria. If you are not eligible, did the broker establish Woolwich would look at the case before proceeding?

Hi King Street.

Yep one of the applicants (my mother) is currently a home owner so we should have been eligible for a BTL from Woolwich.

Apologies for my lack of knowledge but could you explain what you mean by 'asking my BDM if they could get hold of a copy for me on the QT. Especially if I'd allowed the valuation to proceed without establishing the case was solid'?

Look forward to hearing from you.

Thank you

bullzxi07

any further advice from anyone?

much appreciated

GMS

BDM is a Business Development Manager who brokers can use to check criteria, refer cases, get pre agreement etc.

Have you asked your broker what they suggest?

Why did you apply with your mother? Was your income needed?

Where is the deposit coming from? What is the purchase price? Loan amount? Rental income per month? Your income? Mother's income?

bullzxi07

Thanks GMS.. and QT is?

Applied with mother as she is a current home owner and for the income.

my income is PAYE £18000 + dividends £6000 (for 2012- 2013)
my income of 2013 - 2014 is PAYE £15,000 + dividends £15,000

mothers income is £12000 PAYE

Purchase price is £318,000

Deposit is from mine and mothers savings of £95,400

Loan amount = £222,600

Rental income is £1500/month

Broker seems reluctant to help saying the valuation was a undisclosed type, but they never told me this and this was not in the key facts illustration document.

Fact is, I would have obviously paid £15 more for a woolwich valuation if this meant it is disclosed to me...

Quite stuck now really as my private lender wants a valuation report!

GMS

QT - on the quiet.

Who is the lender you are going with? Do they not have a panel of valuers you could choose from?

The lender valuation is theirs and as a result the valuer would not do a re-type for another lender. Ask your broker to see if he can manage to get a copy and go from there.

If you can find the surveyor who did the original then you could see what they would do for you. Ask the vendor/estate agents who valued it.