Browse All Tribes or choose a Tribe below:
By signing up I agree to Property Tribes Terms and Conditions
Already a PT member? Log In
Sign Up With Facebook, Twitter, or Google
By signing up, I agree to Property Tribes Terms and Conditions
Already a PT member? Log In
Don't have an account? Sign Up
To reset your password just enter the email address you registered with and we'll send you a link to access a new password.
I have found that most valuers are open to discussing comparables and will normally explain why they have valued lower. Should you find that you have information that they perhaps didn't have, then it does not hurt to pick up the phone and call them.
With my valuer's hat on, absolutely no reason why you can't query the figures. Any decent valuer will happily talk through their report. Most proper "Red Book" reports should include a methodology which sets out how the figures were arrived at. Unfortunately, cheaper tick box valuations do not allow room for explanation.
I find that my figures tie with with the borrowers' about 75% of the time. Of the balance, sometimes I'm higher, sometimes lower. If I think I'm coming out a long way off what is expected I would usually call the bank manager and discuss; mostly they say they were expecting a lower value but can't stop the process as it's not their job to do the valuation! There may be reasons why the figures are out - one I had recently had no written leases and no EPCs but the selling agent was telling buyers they could easily get VP. Other common issues are a lack of planning (everyone tell me that the works they have done are Permitted Development!), access issues, poor documents (especially for leases). To be properly marketable everything has to be in order these days.
There is no reason to say valuers value 20-30% below the market price. The value should be the Market Value. Otherwise, logically, no property would ever be traded. Some lenders ask for different figures, such as a reduced marketing period. This will, in most cases, bring the value down. However, that's not the valuer's fault, it's simply the question asked by the lender. It may be worth checking if it's this sort of figure that your lender is using.
I have occasionally issue an addendum to my report where the parties have provided me with some new evidence. It does have to be go though as I can't be seen by the bank to have been "got at". There has to be good reason why a valuation changes and must be fact based.
I suggest you as the question and see what they say.
This is a great insight Graham - thank you for taking the time to share.
Get real property prices are falling , and they see further reductions going forward so the mortgage company needs to be protected. Last november is history its today that matters.
We regularily question the valuers if we disagree or are unsure as to how they have come up with their valuations. If done in the right way they are usually very open to discuss.
Proplend Borrower Team T: 0203 637 8418 | http://www.proplend.com15 Little Green, Richmond, TW9 1QH
50% ?????? WOW
They def err on the side of caution and I personally have been privy to numbers that have raised eyebrows however it has never thrown the spanner in the work with respect to the deal. 15-20% tops but that is it.
50% down however is a new one to me and I have never come across this.
I would throw the kitchen sink at this one and challenge.
Sounds like an interesting property anyway if the val is coming in 50% lower then your price?
Please keep us updated.