Mortgage valuation question

MissJaneO

Hi I am in the process of remortgaging and my mortgage provider has requested a valuation. Over the last 2 years I have renovated the house which includes a brand new roof (not just tiles but completely new roof structure) completely rewired and replumbed with underfloor heating and new boiler. Added an en-suite and downstairs toilet and also 60 sqm double extension. There are new double glazed windows and bifolds. My issue is that I have no run out of money and need to borrow more to finish. The house is completely plaster boarded but only around 60% plastered. The kitchen is plastered and a new kitchen installed and 3 of the bedrooms but the rest is just plasterboarded. We have also had planning permission to add a 4th bedroom in attic. The attic conversion is almost complete but again it requires plastering and a stair case.

My question is will a unplasterrd house drastically impact on valuation of house?

My current mortgage is 79,000 and I’m looking to increase this to 105,000. It is a semi detached house and other similar sized houses in the village sell for between 170,00-190,000. I’m just worried the unfinished appearance of house will impact on value drastically

Thanks

[Deleted User]

There is a more than decent chance they wouldnt even come out to value it. at your loan to value a large number of remortgages are either done as desktops, or drive by vals.

Whats the place worth to someone if they bought it in the current state, I suppose that would be the worst case scenario

Lilla_D

Well, if the valuer does decide to do a physical internal valuation instead of a desktop or a drive-by valuation, then one of the main concerns will be whether the property is habitable. This is a very grey area, but as long as you occupy these unfinished rooms, you might get away with it. The unfinished appearance would impact on the valuation result, so as long as you're not asking for more than 80-85% of the value, you should be okay.

And if the theory doesn't work, then you could just cancel the application for the further advance and get a personal loan and/or a credit card... I'm a mortgage broker, so not saying it lightly, but ultimately, it's an option.

dc1980

I recently had a valuation done for a further advance to get our work finished and fell foul of the habitable issue. This was probably me not doing my research properly, but the valuer who came out also made no mention of the fact that he would be advising not to release funds due to its state.

Anyway, we have since added the windows, doors, fitted the kitchen and now have two loos and new shower working - and have moved back in - so have just called the lender to arrange for a revaluation. At a cost of £70 to us. We have the utility to tidy up and the new front downstairs room to be plastered this weekend which we'll then decorate and put some furniture in before the next valuation is done so I'm hoping we will now pass the habitable test - we should do given we're back in it with two kids!

Question - we have put the shell up on the first floor for new bedroom and ensuite plus bigger bathroom but we're not knocking through yet. I assume a valuation would not really factor this at full market value given that we've not knocked through or first-fixed it, boarded it etc...?