Valuation Fee, Can they still say no!!

thorpe1

I am in the process of remortgaging my property with future mortgages, we have gone through all the credit checks its with the underwriters at the moment and everything seems fine. They are now asking for a £260 valuation fee which is not a problem, but what is to stop them taking the money, valuing the house then declining the mortgage? Any help is much appreciated, many thanks!

homer_j_3

I would ask them if they can fully underwrite the case before instructing the valuation. This should avoid this. Just get the name of the person you speak to and time of call. I dont trust them as a lender full stop but if you ask them to do the underwriting fiirst - I am sure you will be fine.

thorpe1

Oh great haha, why do you not trust them?? everything seems fine so far?

homer_j_3

because they are an american bank part of citibank. I know their level of customer service and have just always found them "out of touch" to be fair.

It is my opinion and has been formed on my expericence with them. They also sent a lot of their back office stuff to india which annoys me.

I am glad you are ok with them and hope that you continue to have a good experience with them.

Have you got a deposit - i.e. you are not doing the 100% deal are you (if that is still available)

dunstonh

anything to do with citibank (citi xxxxxx) would be a complete turn off to me and wouldnt trust them at all. They have a really poor reputation. Mainly due to trying to work with American style methods in the UK.

thorpe1

HaHa I am such a retard, it is actually with Accord mortgages.

homer_j_3

yes you are lol! You can now breath a sigh of relief - or at least I can!

thorpe1

Are they better then? I have been messing about with so many mortgages that I lost the plot. I thought everyone was bashing them to much as I heard Accord were okay, its only when I realised I had put Future instead of Accord, Back to my original question then, can they still say no after taking £260 quid for valuing the house?

homer_j_3

same applies in getting underwriting done first before val instructed as the valuation fee will be lost as soon as a val is done - regardless of whether its the lender declining subsequently or whether sale falls apart.

Accord are part of the Yorkshire Building Society so yes their ethics are better and they have a considerably better reputation.

thorpe1

i am not buying a new house homer j, i am remortgaging my current home, they have promised my broker if the house values up they will make an offer, can they back out even after saying that

homer_j_3

If they have said this then youy should be OK but there are NEVER any guarantees.

What size mortgage do you require? What value have you estimated on your property?

Look on the illustration you have been provided with. It will in section 3 or 4 of the illustration what the maximum LTV your product will go upto.

Providing the valuation doesn't push your loan above the point where the mortgage no longer qualifies for the chosen product then you should be fine.

Hope that helps.