Concerns around house valuation

AnotherJoe

G_M wrote: »

Since you have clearly researched the market well in your area, both the street where you are buying and the surrounding streets, I am bemused by why you offered so much more than your research led you to believe it was worth.

I think the OP did that research after their offer was accepted :eek:

AdrianC

G_M wrote: »

At the end of the day, if you are willing and able to pay 126K because that is the property you want, then that is what it is worth.

However a mortgage lender may feel the property does not provide sufficient security for the loan being requested.

^ This...

The property is WORTH only what the vendor is willing to sell it for AND what a buyer is willing to buy it for.

The fact that you want to secure a large amount of borrowing against it means that there's a third interested party - the lender - who want to know they can cover the debt if you fail to repay. And that's what the valuation survey's for.

So, yes, it's worth £126k - in your opinion. If it wasn't, you wouldn't have offered it. The vendor clearly agrees, which is why your offer was accepted. But whether the lender agree with you is another question...

02346631

AdrianC wrote: »

^ This...

The property is WORTH only what the vendor is willing to sell it for AND what a buyer is willing to buy it for.

The fact that you want to secure a large amount of borrowing against it means that there's a third interested party - the lender - who want to know they can cover the debt if you fail to repay. And that's what the valuation survey's for.

So, yes, it's worth £126k - in your opinion. If it wasn't, you wouldn't have offered it. The vendor clearly agrees, which is why your offer was accepted. But whether the lender agree with you is another question...

Yeah the valuation seemed fine to me at the time in all honesty. I've been trying to find a house for at least 6 months now, that whole time it's only been on houses in the same square mile really so in comparison to those it seemed ok in terms of room size, layout etc.

Why the houses on this street are so low i can't work out. Crime stats are no worse than other parts. Theres a pretty ugly building and trading estate nearby which might put some people off but i've done my homework there and seen there is a planning application in to remove it and put a new build housing estate there.

I'm keeping my fingers crossed it gets downvalued in all honesty haha. I should know by the end of the week so we'll see. My only concern around the price is remortgaging in a few years so if the surveyor agrees with the price then it'll reassure me somewhat.

glasgowdan

JP1978 wrote: »

I am suprised that you have offered well over what other houses in that street go for - anything special in the house compared to the others that make it worth it? Corner plot, end of street, not over looked, good views?

When we bought our current house as FTB's we put an offer in over the asking price (Scotland) and was well over the price others had gone for but it was an end of terrace, larger garden, not over looked, cul de sac, has a good outlook to the rear.

Or, put another way, "I'm surprised you did X. We did X too". <--so why are you surprised?

JP1978

glasgowdan wrote: »

Or, put another way, "I'm surprised you did X. We did X too". <--so why are you surprised?

There was reasons why we did - but none apparent in the OP's initial posts.

To OP, the new roof on a victorian terrace will be worth added value - several thousand ££'s infact area dependant and will be reflected in the valuation

Hoploz

there may be reasons why the houses on the same street sold for less. Personal circumstances requiring a quick sale, structural problems ... there are many reasons why certain houses vary in value.

if you've been looking around for something at this sort of value, and this house suits you better than others available at a similar price, then it is worth that amount, regardless of others sold at other time, in different circumstances, in a different market to now. The valuation will most probably agree, unless they identify any problems with the condition that you haven't spotted yet.