Valuations: Taking into account HPI?

ftbworried

Hi

Following on from my other thread on adding land into a remortgage, I've heard back from the bank and it all seems more hassle than it's worth to add it in.
https://forums.moneysavingexpert.com/discussion/5165988

So I have another question: Just taking into account the house, we're 0.4% away from an LTV boundary based on the valuation at the last re-mortgage (2 years ago). When requesting a value for purposes of remortgage can you adjust previous valuations for HPI rises? I know a valuer will come round and make their own assessment anyway, will they take into account any HPI rises?

I could always stump up the captial to get over the LTV boundary but I'd sooner not.

Thanks

kingstreet

Surveyors use comparables, the actual recent (last 120 days) sold prices of similar property in the vicinity (0.5 miles or less). From here, or similar;-

http://www.rightmove.co.uk/house-prices.html

ftbworried

That's a really really difficult one for comparison purposes, there are very few properties of its type that have sold in this town within the last few years (nevermind in 0.5miles within 120 days!). It's pretty unique...

The only thing vaguely similar in the area was last sold in 2008...

kingstreet

Chartered surveyors have instructions in their Red Book on how to deal with such situations.

No, I don't know what it says.

No, you can't buy it.

You could always phone your local Colleys surveyor and crack on you're pre-planning a Halifax remortgage;-

http://www.colleys.co.uk/contact-us/find-your-local-surveyor/

ftbworried

Seems it's a dark art.

At the last valuation the surveyor seemed to ask questions around what we bought it for and what has changed since.... (she valued it at 8% more than what we paid for 2 years previously, I had asked for 10).

Ah balls to it, I'll just suggest a bit more in line with HPI, they can always knock it down and then I'll just have to pay the extra captial.

If you re-mortgage (no additional funds) with the same provider will they re-value anyway?

kingstreet

It isn't a remortgage with the existing lender, as no change to the mortgage deed is required. You are asking for a customer retention product.

Some lenders use an indexed valuation but will allow you to pay for a drive-by or internal inspection if you think the resulting valuation would be higher.

You need to establish your lender's approach.