Down valuing of property

Wes121708

We had the same but the vendor wouldn't budge so we went for a different lender would valued it the same as offer. Hopefully we'll exchange this week!

GDB2222

Lisalou1219 said:

I don’t know what they go on and what evidence can help? It’s the first time I have sold a house and cannot understand how anyone can put a price on something without first looking at it? 

If your property is pretty new and on an estate, with lots of others like it, the valuer can make an accurate estimate without viewing it. It really won't alter the valuation if, for example, you have painted it nicely or chosen nice carpets.  The value will be exactly the same as the almost identical one he saw last month.

Lisalou1219

It’s not it’s a terrace house and some have loft rooms and some don’t so they vary massively on the same street.. 

GDB2222

Lisalou1219 said:

It’s not it’s a terrace house and some have loft rooms and some don’t so they vary massively on the same street.. 

In that case, I agree with you. It's odd, to say the least. 

badger09

Has the buyer actually said they want to reduce their offer by £15k? If so, you have several options
Flatly refuse to negotiate and remarket, hoping another lender will not down value, or if they do, the buyer is happy to make up the difference
Ask the buyer to try another another lender
Negotiate a reduction 
Agree to a £15k reduction  

Gavin83

lookstraightahead said:

The valued doesn't need to really see the property - it's based on others around 'like' it. Things like interior decoration, new kitchens etc aren't usually taken into consideration.

as above, the important issue here is what LTV it is and whether the buyer is willing to pay over what it has been valued at.

it's happening a lot.

Is that not a bit insane though? A house finished to a high spec is clearly worth more than a house that’s borderline unliveable that needs £80k of work done to it. By this definition they’ll be valued the same.

Also what if there aren’t any others around like it? For example what if it’s a house full of 3 bed houses but one has had a significant extension, doubling the size of the kitchen and adding another 2 bedrooms?

Lisalou1219

I totally agree with this comment! They should visit the house to be able to value it.. not just take a stab in the dark..

Crashy_Time

lookstraightahead said:

The valued doesn't need to really see the property - it's based on others around 'like' it. Things like interior decoration, new kitchens etc aren't usually taken into consideration.

as above, the important issue here is what LTV it is and whether the buyer is willing to pay over what it has been valued at.

it's happening a lot.

Yes, and that is a very good thing.