Eserv down valuation

nickyg2000

Just had a valuation back from Woolwich. We offered asking price of £300k valuation came back £284k. Wondering what to do next. I don't think the owners will budge on price... What implications will this have? Is it rare? I'm in the South East btw

vw100

There's a some sort of trend with valuations coming under the asking price of late. it appears a more conservative approach is taken with valuations to protect the lender. It is also a fairly common occurrence.


What you will have to do is come up with the difference through other means, if the seller does not budge on the price.


Your options in a nutshell
1) come up with the difference, 16k by other means
2) negotiate
3) pull out of the sale.

nickyg2000

The lender also wants a timber & damp survey and structural roof survey. More costs for us.

Thrugelmir

nickyg2000 wrote: »

Wondering what to do next.

Is the property worth the money you are offering? Detach yourself emotionally and rationalise the hard £'s.

nickyg2000

We are prob over paying but the location we want to live in never has stuff come up. So if we pass this up we may have to wait 12 months to find something similar.

vw100

This is where you need to weigh up all the things and decide if you want to buy the house or not and all the associated costs that go with it.

stephenni1971

Be aware that Woolwich do not offer retentions. If a defect is found most lenders would hold back a small part of the loan until you put it right - as an incentive so that you don't get the mortgage and ignore the problem.

Woolwich/Barclays would want it put right before you buy - which puts you in a difficult position as the seller may be unwilling or unable to do so.

I've had cases with them fall through before because of this.

minimike2

It always amazes me, buyers attitudes to things like damp reports.

".... cost us money..." "....slow things down...." "...blah blah..."

You are spending hundreds of thousands of pounds and a valuer has highlighted potential issues with the property that could cost thousands, possibly tens of thousands more in the future and people just see it as a costly inconvenience. It's there to protect buyers just as much as the lender.

But then I guess in the world of compensation we live in people would rather be ignorant and then sue the valuer in future when the timers have rotten and a wall collapses from damp ingress.

nickyg2000

It just states damp and timber report required. No mention of high damp readings or anything. It's a period house so covering there !!!!. Why can't rics surveyor inspect for damp. 8 years training and they ask for a specialist damp and timber expert with 3 days training and a vested interest in selling you over priced dpc that won't work in solid stone walls.

Thrugelmir

nickyg2000 wrote: »

Why can't rics surveyor inspect for damp.

What type of survey did you pay for?

nickyg2000

This was a valuation by a RICS chartered Surveyor. But we've seen the sellers previous building survey which asks for specialist damp survey from a sales monkey