Contesting Buyers Surveyors Mortgage Evaluation

Paulcoop

Hi,

Hoping for some advice. I've read some similar threads but just wanted to be concrete with my situation...

We're in the process of selling our house and has been valued by around 5-6 estate agents between £170 - 180,000. We agreed a sale of 171,000.

As the property has been bought under the 1st time buyer scheme and also a new build we've had to instruct a RICS to value the property. They confirmed they we're happy with the selling price.

When the buyers mortgage provider came with their surveyor they valued well below this. Which i'm guessing is based on some properties sold in the area in the last 12 months - these to our knowledge were fast sales due to splits in relationships etc..
Looking at the current state of the market we feel 171 is cheap as we've seen some house's sell for about 180 of a similar ilk in the same catchment area.

What can we do (if anything) in this situation to challenge the mortgage providers valuation?
Or what options do we have going forward?

Thank you for any help, much appreciated.

Thrugelmir

Paulcoop wrote: »

What can we do (if anything) in this situation to challenge the mortgage providers valuation?

Absolutely nothing. Lenders don't negotiate with vendors. Either negotiate with the potential buyers or remarket the property.

Paulcoop

Not what i wanted to hear but thank you.
If we asked the buyers to go with another lender could this be an option?
I'm a bit annoyed how out of 8 valuations the most important has potentially screwed us after paying out for RICS etc!

davidmcn

Paulcoop wrote: »

I'm a bit annoyed how out of 8 valuations the most important has potentially screwed us after paying out for RICS etc!

Estate agents' "valuations" aren't worth the paper they're probably not written on. Treat them more as a sales tactic to try to get you to sign up with them.

By all means you can ask your buyer to try another lender.

eddddy

Paulcoop wrote: »

If we asked the buyers to go with another lender could this be an option?

Yep... But the buyer will probably have another lot of application fees to pay...

When I was selling in similar circumstances, I offered to deduct the cost of the second application from the price of the house (to stop the buyer walking away).

But if the buyer has found a good mortgage deal, they may not want to go with a different lender with a worse deal.

Also, multiple lenders sometimes use the same valuation firm. So ideally you or the buyer need to do some research to see if the second mortgage lender is likely to use the same valuation firm as the first mortgage lender.