Valuation lower than sale price

xyellowx

you put a offer in jan had it excepted then pulled out? now your going to tell E/a they will have to wait a few months as you cant cover the mortgage and dont have the funding?

if i was seller id have you down as a timewaster

AliceBanned

xyellowx wrote: »

you put a offer in jan had it excepted then pulled out? now your going to tell E/a they will have to wait a few months as you cant cover the mortgage and dont have the funding?

if i was seller id have you down as a timewaster

Thanks for your feedback, but no they don't have me down as a timewaster, because I'm not and I've made this clear through good and honest explanations and negotiation. I've not relayed everything in this thread, but obviously having changed my mind once I took great pains to emphasise my seriousness in the property. I'm also a first time buyer and buying on my own. This was the third flat that I saw, so I was inexperienced, but it just appeared at that time rather than after me trawling through and viewing many others before coming to the realisation that it was the one I wanted. It's not a crime to change my mind, no one lost any money but me (on homebuyer survey) by me pulling out.

It's a big commitment and I've learnt a lot from that experience. I've also had to renegotiate the price due to apparent other bidders (whether they exist or not I don't know), so I've not only apologised, I've also been willing (but due to the lender unable, via a mortgage anyway, to offer a higher price).

AliceBanned

They have come back with £1.5k over the valuation price.

Not a lot in property terms I guess, but I have to find it separately to the mortgage and deposit, and it won't be recognised on the official sale price. Lender has agreed any additional is up to me but as this will add to my debts it's difficult..:cool:

TrickyDicky101

AliceBanned wrote: »

They have come back with £1.5k over the valuation price.

Not a lot in property terms I guess, but I have to find it separately to the mortgage and deposit, and it won't be recognised on the official sale price. Lender has agreed any additional is up to me but as this will add to my debts it's difficult..:cool:

That's mortgage fraud if you really mean that? It has to be part of the sale price.

Lender will lend_______£xxx
Your deposit will be____£yyy (inc this £1.5k)
Total sale price________£zzz (the sum of the 2)

AliceBanned

Why is it fraud?! Halifax suggested it to me as an option so I doubt it. They said I make the payment via the solicitor. I didn't say anything about it being covert. I think people must do it all the time if the valuation price is lower than they are willing to pay.

holly_hobby

Where there is a mge reqd, the property has been downvalued on survey, and the vendor won't budge, some buyers will be happy to fund the difference between the max mge available to them, and the agreed pch price.

Agreeing to pay more than its been valued for (or even the original marketing price, as we see with bidding wars and gazumping), is your own choice, as Halifax have stated, albeit the lender won't fund it and its a decision which many (inc me) may not agree or feel comfortable with on your behalf.

But the choice is yours.

Hope this helps

Holly

_Andy_

Strange kind of money 'saving' forum when people want to pay thousands more for something than what it's worth.

dumpallhere

Following the money "saving" forum mantra - " a house is worth what you are willing to pay" - does the £1.5K premium justify your interest in this particular property?

You say this is the one you want and it is convenient for you. Look at it this way - £1.5K is the premium you'll need to pay for such. Can you save £1.5K in other ways (e.g. - commuting expenses). If you can, it is a no brainer!!

If people were to buy houses only at the price that they are worth (in monetary terms, as valued by a surveyor), new builds will stop selling! I would rather pay a (justifiable) premium to live in a home that I like instantly, than live in a place that I purchase at the "right" price but am unsure then whether I would love living there or not!

IMHO ....

cattie

Can't you just tell them that you just don't have any spare money to pay & it has to be the mortgage valuation or nothing? If they are as desperate to move as it sounds as if they are, then they will accept it. They run a risk if they don't accept it & you decide to pull out I don't think they would be very happy at losing a buyer this many months down the line. I know I wouldn't as a seller & would take the lower offer & be done with it.

If it were a stand alone property, then paying a bit over the valuation might not be foolhardy, but being a SO which appeal to a far, far smaller market, it's like being robbed. The ea was obviously stringing you along with tales of other offers & that makes me feel angry as you've been taken advantage of.

If you are of the mind to still pay over the valuation, don't accept the £1500 quoted, do some hard negotiating & get that figure reduced further. Every penny you can save will be a penny extra to spend on furnishing your new home.

AliceBanned

_Andy_ wrote: »

Strange kind of money 'saving' forum when people want to pay thousands more for something than what it's worth.

£1000 is as far as I'm going, not "thousands". And there are many factors, including saving on travel, getting some equity instead of renting forever. How you can just assume I'm not moneysaving just from this fact alone is beyond me.