House devalued

Avalon29

This new development will no doubt de-value the house as in 3/4 years time there will be an abundance of properties for people to choose from making yours harder to sell. Stick with the valuation price or walk away would be my advice.

luke105

Avalon29 said:

This new development will no doubt de-value the house as in 3/4 years time there will be an abundance of properties for people to choose from making yours harder to sell. Stick with the valuation price or walk away would be my advice.

Yes I think selling it on will be hard. I agree £210,000 or walk. It’s what we are going to do. I’ll let you know the outcome!!

lookstraightahead

Is the valued from the lending bank or independent? Banks are rightly very nervous at the moment as no one has a crystal ball. 

luke105

lookstraightahead said:

Is the valued from the lending bank or independent? Banks are rightly very nervous at the moment as no one has a crystal ball. 

From NatWest. They are willing to lend on the house but only up to £210...not the £223 we offered. 

steampowered

You cannot say "the house is only worth £210k". Valuation is a matter of opinion. Remember that these valuations are often done very quickly, you have probably done more research into the property than the valuer.

Your valuer reckoned the house is worth £210k. Another valuer might reckon it is worth £230k.

This is especially true if there have been very few sales of comparable properties in the local area for the valuer to reference. The difference between £210k and £223k is 5.8%, which is chunky, but within the margin of error.

If you are planning to live in the property for a long period of time I wouldn't sweat the £13k difference. By all means try to negotiate a price reduction, but no harm in sticking to your guns if you feel that the house is worth £223k (presumably you feel this as you wouldn't have offered £223k otherwise).

luke105

steampowered said:

You cannot say "the house is only worth £210k". Valuation is a matter of opinion. Remember that these valuations are often done very quickly, you have probably done more research into the property than the valuer.

Your valuer reckoned the house is worth £210k. Another valuer might reckon it is worth £230k.

This is especially true if there have been very few sales of comparable properties in the local area for the valuer to reference. The difference between £210k and £223k is 5.8%, which is chunky, but within the margin of error.

If you are planning to live in the property for a long period of time I wouldn't sweat the £13k difference. By all means try to negotiate a price reduction, but no harm in sticking to your guns if you feel that the house is worth £223k (presumably you feel this as you wouldn't have offered £223k otherwise).

I’m not sure if I agree about how much I offered. 

How am I supposed to know what a house is worth as I am not a house valuer....I am not an estate agent. 

Perhaps there’s other aspects that we have missed, ever think of that? 

Why would anyone pay for a valuation if everyone was a property expert? 

The estate agents could have easily marketed it for too much money and maybe we didn’t know this. 

Now, we only plan to stay in the house for 5 years max.

NatWest don’t seem to want to take a risk at anymore then 210,000 so I’d assume they know what they are talking about. 

When we sell the house we may run into the same issue where a lender devalues it. 

lookstraightahead

luke105 said:

lookstraightahead said:

Is the valued from the lending bank or independent? Banks are rightly very nervous at the moment as no one has a crystal ball. 

From NatWest. They are willing to lend on the house but only up to £210...not the £223 we offered. 

The bank is lowering its risk. So why go against that? Personally (and just the way I am) I would offer the valuation and if they say no, then I would say "see ya!" 

Crashy_Time

steampowered said:

You cannot say "the house is only worth £210k". Valuation is a matter of opinion. Remember that these valuations are often done very quickly, you have probably done more research into the property than the valuer.

Your valuer reckoned the house is worth £210k. Another valuer might reckon it is worth £230k.

This is especially true if there have been very few sales of comparable properties in the local area for the valuer to reference. The difference between £210k and £223k is 5.8%, which is chunky, but within the margin of error.

If you are planning to live in the property for a long period of time I wouldn't sweat the £13k difference. By all means try to negotiate a price reduction, but no harm in sticking to your guns if you feel that the house is worth £223k (presumably you feel this as you wouldn't have offered £223k otherwise).

The danger is that they buy it now and next year the market plummets, basically nothing really bad has happened yet in the economy because the government are still bailing everyone out, of course if people want to believe in a vaccine as an economic silver bullet that is up to them, my take is that the economy was in trouble before Covid and will still be in trouble after Covid, whenever that is.

luke105

Well the good news is they’ve accepted the £210,000 offer. thanks guys 

youth_leader

Congratulations!  Now for the survey ....