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What happens if... (valuation today!)

I am a FTB. What happens if the valuer values the property less than the asking price offer, but you are only asking to borrow 66% of the purchase price?


In other words, you are borrowing quite a bit less than you COULD borrow with the deposit you have.


Will the lender still be willing to offer the 66%, and it is then on you to decide whether you are happy paying more than the property is worth (according to that valuer)?

Comments

  • Foxy-Stoat_3
    Foxy-Stoat_3 Posts: 2,980 Forumite
    Your LTV% goes up.

    Has it been valued yet?
    "Dream World" by The B Sharps....describes a lot of the posts in the Loans and Mortgage sections !!!
  • May1987
    May1987 Posts: 8 Forumite
    No, it's today. We really loved the property and we are buying in London commuter belt, so we offered asking price (which was happily below our budget). But nearby recently sold prices are a bit less.
  • Foxy-Stoat_3
    Foxy-Stoat_3 Posts: 2,980 Forumite
    Wait for the valuation then decide what to do if it is well over priced.

    As long as the value doesn't put you over the lenders higher LTV% bracket and charge you more interest then i wouldn't worry too much.
    "Dream World" by The B Sharps....describes a lot of the posts in the Loans and Mortgage sections !!!
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