Property renovated - How to increase the property valuation?

everfor007

Recently my property got renovated worth of £50k i.e Under flooring heating, tiles, new ceiling, new doors, panting etc.   In another  4 months my mortgage is due for renewal. If i increase my valuation another £40k, i'll fall under 60% borrowing and will get better rates.     Please advise steps and how to inform the  bank about my increased valuation and who will assess the new valuation?  

theartfullodger

Different lenders undoubtedly different processes.

And those processes rates and requirements keep changing.. 

Due for renewal - so fill in a form?? Or fixed rate ends?? Or mortgage ends completely??

Talk to a broker and or individual lenders starting with your current one..

pramsay13

£50k worth of home work probably won't increase the valuation by £40k especially when some of it sounds like routine maintenance. 
When your mortgage is due for renewal you can speak to the current lender and explain you have done some work, they might send someone to do a valuation. Your other option is going to a broker and having the same conversations. 

chanz4

new bathroom, kitchen but others....

35har1old

everfor007 said:

Recently my property got renovated worth of £50k i.e Under flooring heating, tiles, new ceiling, new doors, panting etc.   In another  4 months my mortgage is due for renewal. If i increase my valuation another £40k, i'll fall under 60% borrowing and will get better rates.     Please advise steps and how to inform the  bank about my increased valuation and who will assess the new valuation?  

Should have informed them prior to renovation 

mexican_dave

In my opinion unless adding extra floorspace to a property, renovations/upgrades don't count towards adding value to your property, except where it provides a useful certificate eg an EPC upgrade from "D" to "C" as that can push a property into a different sales market. If you have a valuation they will only look at the house in the light of market prices. The process is likely to cost money, this being a Money Saving forum, I ask is it worth it? But if you are thinking of building insurance, that is different from a market valuation for mortgage. A higher specification property can have a higher rebuild insurance a valuation than its market valuation. Do not confuse the two. If it's an insurance valuation suggest Google ABI (Association of British Insurers) and use their rebuilding cost calculator tool, it is very broad-brush but a good starting point.

lika_86

My lender (Natwest) gives the option of paying for a new valuation.

Archerychick

My lender generally just do a desk based valuation - tell me that & then if I think it’s ‘off’ and I’m close to a LTV bracket request a in person valuation. My lender doesn’t charge for them but some do, suggest you ask the question. £40k increase seems a lot just from £50k, however depending on when your base valuation was done, the general value of your property may have increased anyway 

TheJP

Everything you state would make the house more sellable not increase its value by much, i would say you may claw back £5-10K of the renovation unless the house was valued in an awful almost inhabitable state.

35har1old

mexican_dave said:

In my opinion unless adding extra floorspace to a property, renovations/upgrades don't count towards adding value to your property, except where it provides a useful certificate eg an EPC upgrade from "D" to "C" as that can push a property into a different sales market. If you have a valuation they will only look at the house in the light of market prices. The process is likely to cost money, this being a Money Saving forum, I ask is it worth it? But if you are thinking of building insurance, that is different from a market valuation for mortgage. A higher specification property can have a higher rebuild insurance a valuation than its market valuation. Do not confuse the two. If it's an insurance valuation suggest Google ABI (Association of British Insurers) and use their rebuilding cost calculator tool, it is very broad-brush but a good starting point.

If the rebuild cost goes up so will the insurance

lincroft1710

35har1old said:

mexican_dave said:

In my opinion unless adding extra floorspace to a property, renovations/upgrades don't count towards adding value to your property, except where it provides a useful certificate eg an EPC upgrade from "D" to "C" as that can push a property into a different sales market. If you have a valuation they will only look at the house in the light of market prices. The process is likely to cost money, this being a Money Saving forum, I ask is it worth it? But if you are thinking of building insurance, that is different from a market valuation for mortgage. A higher specification property can have a higher rebuild insurance a valuation than its market valuation. Do not confuse the two. If it's an insurance valuation suggest Google ABI (Association of British Insurers) and use their rebuilding cost calculator tool, it is very broad-brush but a good starting point.

If the rebuild cost goes up so will the insurance

Not necessarily, it will depend on the policy. My buildings insurance covers full rebuild costs (no figure stated), the premium does not increase if the property is extended.