Re-mortgaging to draw out equity and been given a £0 valuation!- PANICKING!

wannahouse

We bought our house 3 years ago, paid £250,000 it, but got an absolute bargain as it is on 4 acres, gorgeous views and has 21 rooms.
It was once a Hunting lodge for Aristocrats.
The lady selling it is 97 and accepted a really low ball offer as that is all we could do, and she needed to sell and liked us.
We had to jump thru hoops to get the mortgage as it needs renovating, the original valuer gave it a £0 valuation and said it has Japanese Knotweed to try to kill our offer, which was a lie, and we proved it by getting a weed expert survey.
We had to do some works to the property before purchase, stipulated by the mortgage company, in order to get our mortgage approved and when the valuer came back, he valued it at £275,000 (£25,000 more than we were paying) because we had done a new kitchen too...We just didn't tell him we paid £400 for it secondhand off ebay :T !!!)
So roll on 3 years and it looks much better inside and outside, and we go to get it revalued to draw out some equity.
Lloyds bank internal system placed our value at £320,000 but our mortgage adviser who has seen the house thought it would come back at around £380,000 on inspection.
Instead, it has come back at £0 valuation! :eek:
We already have our mortgage thru lloyds and were only seeking equity withdrawal, and now are panicked at what this means!
Can they do a mortgage call on us?
Or any other terrible thing?

It is absolute baloney that it is worth nothing and the surveyor can't argue it doesn't meet their lending criteria as it obviously DOES as they lent on it so we don't know what it all means?

ACG

Lending criteria can change.
You need to ask why it has been valued at £0.

They will not recall their current loan.

wannahouse

Thank you for your reply ACG

We are quite stressed at the moment!
The house has only improved since they last valued it.
The last valuer was freaked out as it is a 200 yr old house, grade 2 listed and out of his depth.
he panicked some cracks in platerwork out the back meant movement etc etc, but it was all debunked by a Fellow member of RICS who is an expert in listed and historic buildings who agreed with the previous owners that the cracks were ancient an cause by the extension built on the back of the servants quarters in victorian times..it ain't going anywhere !

I assume it is the same old kettle of fish that because the whole house hasn't been whitewashed in magnolia, he thinks its falling down!
The Mortgage adviser for Lloyds is stumped- he's been here and seen out house and said we got the bargain of the century- certainly the biggest bargain of any he has ever put through.

ACG

You might only want £1, but if it falls foul of their criteria then they may just value it as £0.

There is no point stressing until you know more. 4 acres could be a problem with some lenders. There could be 101 different reasons but you need to call the surveyor to ask them why.