PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

FTB in a panic: Lender down-valued property by several thousand. How do I renegotiate price?

Options
1246713

Comments

  • Crashy_Time
    Crashy_Time Posts: 13,386 Forumite
    10,000 Posts Seventh Anniversary Name Dropper
    Sky_ said:
    Catsacor said:
    morhen said:
    I had a 15k down valuation from the survey the other month.  I took the survey around to the seller, and we went through it while drinking a cup of tea.  When we reached the end, I asked how would they feel about changing the sale price to match the survey valuation?  "Yes, seems fair to me" was the reply.  If you don't ask, you will never know :smile:
    That is a very unusual scenario and it would have made me twitchy/suspicious/edgey/whatever ..... 
    Sellers aren't usually kind and sweet and this scenario shouldn't be used as any form of yardstick.
    If the present economic trajectory continues it will become much more frequent.
    Which trajectory, out of interest?  Everything I have found indicates that sold prices are rising faster than ever since the pandemic began. For example https://www.ons.gov.uk/economy/inflationandpriceindices/bulletins/housepriceindex/august2021 indicates a 10% increase over the last year.

    I feel for first time buyers as prices were high enough 2 years ago--I live in a relatively affordable northern area and prices have gone crazy even here.
    The only one that really counts, mortgage rates and the willingness of banks to lend.
  • jimbog
    jimbog Posts: 2,255 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Sky_ said:
    Catsacor said:
    morhen said:
    I had a 15k down valuation from the survey the other month.  I took the survey around to the seller, and we went through it while drinking a cup of tea.  When we reached the end, I asked how would they feel about changing the sale price to match the survey valuation?  "Yes, seems fair to me" was the reply.  If you don't ask, you will never know :smile:
    That is a very unusual scenario and it would have made me twitchy/suspicious/edgey/whatever ..... 
    Sellers aren't usually kind and sweet and this scenario shouldn't be used as any form of yardstick.
    If the present economic trajectory continues it will become much more frequent.
    Which trajectory, out of interest?  Everything I have found indicates that sold prices are rising faster than ever since the pandemic began. For example https://www.ons.gov.uk/economy/inflationandpriceindices/bulletins/housepriceindex/august2021 indicates a 10% increase over the last year.

    I feel for first time buyers as prices were high enough 2 years ago--I live in a relatively affordable northern area and prices have gone crazy even here.
    rents have also gone crazy: 
    https://www.bbc.co.uk/news/business-59296839


    Gather ye rosebuds while ye may
  • morhen
    morhen Posts: 74 Forumite
    Third Anniversary 10 Posts
    edited 18 January 2024 at 9:20PM
    morhen said:
    I had a 15k down valuation from the survey the other month.  I took the survey around to the seller, and we went through it while drinking a cup of tea.  When we reached the end, I asked how would they feel about changing the sale price to match the survey valuation?  "Yes, seems fair to me" was the reply.  If you don't ask, you will never know :smile:
    That is a very unusual scenario and it would have made me twitchy/suspicious/edgey/whatever ..... 
    Sellers aren't usually kind and sweet and this scenario shouldn't be used as any form of yardstick.

    Unsual, yes but not very.  If a proper survey has thrown up issues and a valuation bellow the asking, the seller will face the exact same issue with other buyers.  Maybe being a FTB with no chain helped.  My point was simply, you don't know unless you ask, at worse they say no!
  • Crashy_Time
    Crashy_Time Posts: 13,386 Forumite
    10,000 Posts Seventh Anniversary Name Dropper
    jimbog said:
    Sky_ said:
    Catsacor said:
    morhen said:
    I had a 15k down valuation from the survey the other month.  I took the survey around to the seller, and we went through it while drinking a cup of tea.  When we reached the end, I asked how would they feel about changing the sale price to match the survey valuation?  "Yes, seems fair to me" was the reply.  If you don't ask, you will never know :smile:
    That is a very unusual scenario and it would have made me twitchy/suspicious/edgey/whatever ..... 
    Sellers aren't usually kind and sweet and this scenario shouldn't be used as any form of yardstick.
    If the present economic trajectory continues it will become much more frequent.
    Which trajectory, out of interest?  Everything I have found indicates that sold prices are rising faster than ever since the pandemic began. For example https://www.ons.gov.uk/economy/inflationandpriceindices/bulletins/housepriceindex/august2021 indicates a 10% increase over the last year.

    I feel for first time buyers as prices were high enough 2 years ago--I live in a relatively affordable northern area and prices have gone crazy even here.
    rents have also gone crazy: 
    https://www.bbc.co.uk/news/business-59296839


    According to Zoopla, LOL. Unlikely to last long even if true IMO.

    https://www.bbc.co.uk/news/live/uk-59302812
  • Very much true where I am. Rents have increased 5% - 10% in the past 6 months alone. My landlord has increased my rent 16% (it has been held low for a while). Meanwhile, I've had an offer accepted on a house. Can't wait and praying it all goes through ok. As crazy as house prices may be, rents are crazier with much less security.
  • lookstraightahead
    lookstraightahead Posts: 5,558 Forumite
    Sixth Anniversary 1,000 Posts Name Dropper Combo Breaker
    edited 17 November 2021 at 4:23PM
    pretamang said:
    This happened to me when buying. The seller wouldn't budge on price.

    We went for a different mortgage, who did their own valuation and this time agreed with the full purchase price. 

    This is a bit of a gamble - some lenders use the same valuer so it could have come back at the same price, or perhaps even lower. Plus we had to pay £500 for the 2nd survey, which we'd have lost if the valuation wasn't where we wanted it or the seller didn't move after a 2nd low valuation.

    Can you find another mortgage to try a 2nd valuation, and can you afford to lose the fee if you can't find one that's free?


    The gamble is buying over value surely. 

    I would have told the vendor to do one.

    why, out of interest, did you want to pay more for your property than its value? I presume you're thinking of staying for a long time.

  • Crashy_Time
    Crashy_Time Posts: 13,386 Forumite
    10,000 Posts Seventh Anniversary Name Dropper
    Hedgepigs said:
    Very much true where I am. Rents have increased 5% - 10% in the past 6 months alone. My landlord has increased my rent 16% (it has been held low for a while). Meanwhile, I've had an offer accepted on a house. Can't wait and praying it all goes through ok. As crazy as house prices may be, rents are crazier with much less security.
    Rents collapsed during the first phases of Covid, and will again if there are more waves, the difference between a mortgage going up in price and a tenancy is that you can`t walk away from a mortgage. Good luck.
  • Thanks for the responses, all - given me plenty of food for thought
  • Crashy_Time
    Crashy_Time Posts: 13,386 Forumite
    10,000 Posts Seventh Anniversary Name Dropper
    Are you going ahead with the purchase?
  • Crashy_Time
    Crashy_Time Posts: 13,386 Forumite
    10,000 Posts Seventh Anniversary Name Dropper
    pretamang said:
    This happened to me when buying. The seller wouldn't budge on price.

    We went for a different mortgage, who did their own valuation and this time agreed with the full purchase price. 

    This is a bit of a gamble - some lenders use the same valuer so it could have come back at the same price, or perhaps even lower. Plus we had to pay £500 for the 2nd survey, which we'd have lost if the valuation wasn't where we wanted it or the seller didn't move after a 2nd low valuation.

    Can you find another mortgage to try a 2nd valuation, and can you afford to lose the fee if you can't find one that's free?


    The gamble is buying over value surely. 

    I would have told the vendor to do one.

    why, out of interest, did you want to pay more for your property than its value? I presume you're thinking of staying for a long time.

    Good advice.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 350.9K Banking & Borrowing
  • 253.1K Reduce Debt & Boost Income
  • 453.5K Spending & Discounts
  • 243.9K Work, Benefits & Business
  • 598.8K Mortgages, Homes & Bills
  • 176.9K Life & Family
  • 257.2K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.