House valuation

tightauldgit

thegentleway said:

K_S said:

@thegentleway If it is genuinely undervalued (and I have anecdotally heard of EAs using this as a tactic to spark a bidding war), you can be pretty sure that the level of demand will ensure that the final accepted offer will be significantly higher than asking and closer to the actual value of the property.

Thank you. I'm pretty confident it will sell for significantly more that asking, just trying to work out what the actual value is.

The 'actual value' is whatever someone is willing to pay for it. And at the point you are buying it then the likelihood is you are buying it because you are willing to pay more than anyone else for it. 

YoungBlueEyes

Could there be an issue with this particular house that doesn’t apply to the others? Roof about to cave in or… a coal mine under the garden or….. it’s lower than the rest and floods every other year or… some queer covenants in the deeds….? 

fewcloudy

Rumana03 said:

Does the person who goes to do the valuation know what price has been agreed by the vendor and buyer? Sorry just curious as I have the valuation being done tomorrow & I'm a bit nervous it may come out lower.

@Rumana03

In my case, yes.
I've bought and sold quite a few times and I can definitely remember an occasion where my solicitor spoke with the surveyor before and after the survey/valuation. This is in Scotland.  And on another occasion the surveyor helpfully increased the value 'on reflection' which allowed me to borrow a bit more more, as I only had a a finite sum for the deposit. That was a few years ago now, so things may have changed.

Thrugelmir

movilogo said:

 Many times EAs overvalue it and property remains on market for long until price is reduced to present at value proposition to prospective buyers.

Not the EA's property though. Greedy vendors aren't uncommon. EA's will market the property under the vendors instructions. 

Thrugelmir

K_S said:

steve866 said:

badger09 said:

thegentleway said:

K_S said:

@thegentleway If it is genuinely undervalued (and I have anecdotally heard of EAs using this as a tactic to spark a bidding war), you can be pretty sure that the level of demand will ensure that the final accepted offer will be significantly higher than asking and closer to the actual value of the property.

Thank you. I'm pretty confident it will sell for significantly more that asking, just trying to work out what the actual value is.

That’s impossible to say. 

The actual value of any property is what someone, who can afford to buy it, thinks it’s worth to them. If necessary, being able to fund any shortfall between that figure & what their lender thinks is it’s value. 

Those figures will vary between potential buyers, & may bear no relation to what the vendor thinks it’s value is. 

Sorry, I realise that’s not helpful but there simply is no single ‘actual value’. 

Isn’t the ‘actual value’ what a surveyor / bank would value the property at, and anyone willing to pay over the odds is paying above the ‘actual value’?

Much as we might think that valuers have access to other data, in large part they go off information that you and I have access to.

They'll pick up the phone ..................

thegentleway

our offer has been accepted 🥳

nicknameless

thegentleway said:

our offer has been accepted 🥳

Fantastic!

hpsauce86

thegentleway said:

our offer has been accepted 🥳

Yay congrats!