Valuation report and full-survey valuation different

esker46n1

We have had an offer accepted on a house. Our offer was in the middle of the 10k asking price band.

Our mortgage lender offered a free valuation report which value the house at exactly what we offered.

We also instructed a different company ro carry out a homebuyers survey which included a valuation - this valued the house at 13k less than we offered.

At the moment, we've not shared either survey with our conveyancer, and are concerned that they will have to report both valuations back to the lender, which could affect our mortgage offer (which we received last week) and our LTV. We want to share the survey as there are other issues that we would like solicitors to advise upon.

Any advice on the best course of action, and whether the lender will be concerned that the second valuation was lower than their own?

davidmcn

You could redact the valuation and share the other bits of the survey with your solicitor?

In percentage terms what's the difference between the valuations?

esker46n1

the difference between the two valuations is only around 5% - i.e. the valuation report was 100% of accepted offer, the full-survey value was 95%. I checked with the vendor and the valuation was a proper survey (rather than a desk survey or a drive-by)

G_M

Why does your solicitor want/need to see the survey? It's for your benefit, not his.

Just pick out the legal issues within the report and ask him to advise on those points.

eg "Can you confirm or clarify whether the windows/boiler/ new chimney has Buildings Regultions Cerification / Planning Consent (or whatever)?

esker46n1

I can see the benefit in sharing the survey with the solicitor, in terms of checking relevant building regs/guarantees/boundaries etc are in order, and (in theory) so they can advise on things like this! If they weren't also acting for the lender then I wouldn't hesitate to send it, but as I understand it they would have to inform the lender of the different valuation?

esker46n1

The other way I could look at it - is it worth re-negotiating the asking price since the second valuation is lower?

eddddy

esker46n1 wrote: »

We also instructed a different company ro carry out a homebuyers survey which included a valuation - this valued the house at 13k less than we offered.

esker46n1 wrote: »

The other way I could look at it - is it worth re-negotiating the asking price since the second valuation is lower?

You could try re-negotiating on price.

In my experience, when you instruct a surveyor to do a valuation for your own purposes (i.e. not for mortgage valuation), they often value low - specifically so that you can use it as leverage for negotiating.