If somebody wants to pay over the odds for your house ....

NannyV

Hi, just wondered if this happens often and what happens...

If we have had our house valued at say £250,000 but think we could actually get £270,000 so put it up at that, and someone wants to pay £270,000 for it, but the mortgage company they are going with also value it at £250,000 ...... and the buyers don't have the extra money to top up the cost, is there any way around it?

Does it happen often?

We did have one agent value it at £250,000 and have another coming Saturday but from what I have seen locally I think it would sell for £270,00 but worried about the above scenario

ACG

Short answer is no there is no way around it if they cant stump up anything more. Could try another lender but it comes down to the valuer again.

It doesnt happen often although may have happened more pre 2007.

hcb42

it sounds like it is worth £250K.

You have another EA valuing it at that. they tend to overvalue.

If one buyer has had a survey valuing at £250K then the chances are the next buyer will get the same valuation.

I think you might need to adjust your expectations in light of this survey.

Poppy9

What did the EA that came out base his/her valuation on. Is this the only EA valuation you have had?

Valuers for BS are not EA so the EA valuation is only a guide price. The valuer will weigh up many facts to arrive at their evaluation. They will look at what similar properties have sold for recently.

Why do you think you could achieve £270k? Is this what similar houses are selling for?

SG27

It's very unlikely that an EA will undervalue by £20k they not what houses are selling for and will value above this as an asking price.

Any agent undervaluing by £20k will soon be out of business as they will have no instructions.

bloolagoon

It does happen, I have been outbid at the asking price for my last 3 I tried to buy (so much for a buyers market) but they have all needed work and so the true value is in the land/potential and therefore it is harder to judge.

ognum

I sold a house in 2008 after a bidding war. It sold at well over the asking price to a cash buyer who didn't even get a survey!

It does happen!

NannyV

Well with the first estate agent, I probably led them straight into the £250 but saying we bough for £240 and have spent £10k on it, so I hope we would sell for £250k but doubt anyone would pay over the 250 because of stamp duty ......
so then I started looking at other properties that have sold for 250 and realised ours offers a lot more space, 2 brand new bathrooms/en-suites, good sized garden, and an extension providing a large master room with en-suite and dressing room.

So on reflection Ive asked another agent to value it but am not leading in with the 'I don't think people will go over the stamp duty barrier'!

Im not being biased with our house, it genuinely does seem as good as, or if not better and more spacious than others that have sold for £265/£270k

mrsmchapman

I recently sold our house prices at £250k for £245k, our house the size etc made it worth more, sadly our area had a price cap and this was going to be it, also no-one would have been willing to go over the stamp duty price. If you price at £265-£270 do be prepared for offers around £249k.

moneyistooshorttomention

Wasn't there a thread on here about this recently? - and I seem to recall there were suggestions about if the buyer went to a different mortgage company then they might well have a different valuer giving their verdict and it might get valued differently.

I'm also pretty sure I spotted something on here about if a couple of different nearby houses had paying prices at around this level then the original valuer might correct their valuation to reflect that?

Dan-Dan

NannyV wrote: »

Hi, just wondered if this happens often and what happens...

If we have had our house valued at say £250,000 but think we could actually get £270,000 so put it up at that, and someone wants to pay £270,000 for it, but the mortgage company they are going with also value it at £250,000 ...... and the buyers don't have the extra money to top up the cost, is there any way around it?

Does it happen often?

We did have one agent value it at £250,000 and have another coming Saturday but from what I have seen locally I think it would sell for £270,00 but worried about the above scenario

One way or the other if your house doesnt stand out in some way , markedly , from the others , you`ll do well to get someone to pay over the SD threshold