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Remortgage valuation artificially low
yogiclementine
Posts: 4 Newbie
Just got the reportage offer from HSBC - we are loaning 40% of house value by our reckoning, and have agreed the sub 60% rate all good.
Mortgage offer now through, and the valuation of the property is way down on what it actually is (we haven't had it formally valued however)
Works out only just under 60% loan, so still have the rate - but should we sign for an agreement that well undervalues the property? Is there any disadvantage, insurance etc that would be caused by it?
They have said it was just a desktop survey that marked it down, and are going away to raise - but may want to charge for a full valuation. Trying to work out whether I need to start again or just sign if no real impact
Mortgage offer now through, and the valuation of the property is way down on what it actually is (we haven't had it formally valued however)
Works out only just under 60% loan, so still have the rate - but should we sign for an agreement that well undervalues the property? Is there any disadvantage, insurance etc that would be caused by it?
They have said it was just a desktop survey that marked it down, and are going away to raise - but may want to charge for a full valuation. Trying to work out whether I need to start again or just sign if no real impact
0
Comments
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As long as your getting the best deal available who cares what the lender thinks it's worth.
You will find out its value when you come to sell.
60% LTV will get you the very best rates.1 -
If it doesn't affect the product you're getting, there's absolutely no reason to care about what the valuation is.1
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