Worth requesting new valuation before online NatWest product switch?

Westminster

Hello

Our current product fix ends 31/3/21 so we are now in the window to switch to a new rate online and I’m considering requesting a new valuation (which will probably involve a fee - the relevant department is not open today so can’t establish what the fee is yet). 

The current value they have calculated (based on HPI from previous valuation I believe?) gives us an LTV of 62%. 

The previous valuation from March 2017 didn’t involve a physical visit and there are only a handful of properties in our postcode area and no sales since our purchase, so it looks like that valuation was also some sort of HPI from our purchase price in 2015. This house was somewhat of a distressed sale as it was unoccupied and had been used as part-exchange for a larger property so it was clear the vendor was keen to conclude a sale and we negotiated it down fairly aggressively. 

Recently the other side of our semi-detached went under offer and it was listed for quite a bit more than our calculated offer. That other house is largely similar but smaller overall with 1 less bathroom and 3 of the 4 bedrooms are smaller. So would the value of our property be adjusted automatically to at least the agreed sale price of our neighbour?

So I’m wondering if it’s worth waiting to see if our neighbours actually complete in time to give us suitable leverage to make it worth paying for a new valuation to get to the 60% LTV for better rates. 

Is the timescale realistic to wait for completion of the other house to be reflected at the land registry before requesting a new paid valuation on ours? 

What would you do in this scenario?

K_S

NatWest vals are usually priced based on the price. So I'd assume if you have to pay for a valuation (and there is such a provision), it'll be in the range below, perhaps with a small admin fee added on top.

Westminster

The difference over a 2 year fix seems to be just under £600 (1.29% vs 1.54% on current borrowing of approx £295k). 

[Deleted User]

Log in to do the product switch and in the area where the value it is will allow you to request a new valuation. Click through a few screens and it will tell you the cost of the revaluation before you commit to anything .  I dont think they are as expensive as new business, £80 or something rings a bell in the back of my old head

MWT

Westminster said:

Recently the other side of our semi-detached went under offer and it was listed for quite a bit more than our calculated offer. That other house is largely similar but smaller overall with 1 less bathroom and 3 of the 4 bedrooms are smaller. So would the value of our property be adjusted automatically to at least the agreed sale price of our neighbour?

So I’m wondering if it’s worth waiting to see if our neighbours actually complete in time to give us suitable leverage to make it worth paying for a new valuation to get to the 60% LTV for better rates.

Yes it should help, but it does need to be a sale, do you know when they aim to complete?

beezysoldier

How much valuation are Natwest out @Westminster ? In my example there about 30 to 40k out? I have exactly the same issue. Natwest value my property at 267k but I reckon its worth 300 to 310k with the borrowing their valuation puts me in a 63% ltv band with natwest makes me 70% ltv band and the deals I am offered. if natwest value my property at what I think its worth 300k my ltv comes down to 59% and I get a much better mortgage deal? Whats peoples thoughts? get a revaluation? By the way my deal ends in two weeks 31/12/2020 so is it enough time to get the revaluation done?

Westminster

MWT said:

Yes it should help, but it does need to be a sale, do you know when they aim to complete?

I don't know unfortunately as its vacant.

Westminster

beezysoldier said:

How much valuation are Natwest out @Westminster ? In my example there about 30 to 40k out? I have exactly the same issue. Natwest value my property at 267k but I reckon its worth 300 to 310k with the borrowing their valuation puts me in a 63% ltv band with natwest makes me 70% ltv band and the deals I am offered. if natwest value my property at what I think its worth 300k my ltv comes down to 59% and I get a much better mortgage deal? Whats peoples thoughts? get a revaluation? By the way my deal ends in two weeks 31/12/2020 so is it enough time to get the revaluation done?

I don't know what the sale was agreed for, but it was listed at £125k over the current NatWest HPI valuation estimate.