johnmc
Well-Known Member
I have a bit of an issue.
Looking to buy a new build house and at the stage where the lenders have carried out the valuation survey. They have valued it at £160k which is £20k below the £180k asking price. So your first thought would obviously be to lower your offer as you would not pay anymore than the £160k it was valued at.
However, this is on a development where there are around 200 homes of about 6 different varieties. Therefore there are around 30 or so houses exactly the same layout as the one I am looking at, however mine has one of the largest gardens on the site. So, whilst my house has yet to be finished, several others have been bought and are lived in. And these sold for £180k. Incentives are offered such as carpets, kitchens, etc but these would not affect the valuation.
So, the lenders valuers have valued it at £160k so they will not lend anymore than this. Therefore I could change lenders to see if their valuation is any different but this would cost me in fees. I could walk away but given that several properties of the exact same layout have sold at £180k I do not want to do this as I have paid a non-refundable reservation fee, have paid for extras and I do actually want the house.
Apparently the valuer went around the site without the sales rep who would usually provide comparable of the properties that have sold at £180k. Given the house prices are on the up I dont understand how its been valued below those that have sold for £180k (its in the middle of the development, not on the outskirts that neighbout the main road and as stated has a biffer than average garden) and others continue to sell for £180k as they are being finished.
Looking to buy a new build house and at the stage where the lenders have carried out the valuation survey. They have valued it at £160k which is £20k below the £180k asking price. So your first thought would obviously be to lower your offer as you would not pay anymore than the £160k it was valued at.
However, this is on a development where there are around 200 homes of about 6 different varieties. Therefore there are around 30 or so houses exactly the same layout as the one I am looking at, however mine has one of the largest gardens on the site. So, whilst my house has yet to be finished, several others have been bought and are lived in. And these sold for £180k. Incentives are offered such as carpets, kitchens, etc but these would not affect the valuation.
So, the lenders valuers have valued it at £160k so they will not lend anymore than this. Therefore I could change lenders to see if their valuation is any different but this would cost me in fees. I could walk away but given that several properties of the exact same layout have sold at £180k I do not want to do this as I have paid a non-refundable reservation fee, have paid for extras and I do actually want the house.
Apparently the valuer went around the site without the sales rep who would usually provide comparable of the properties that have sold at £180k. Given the house prices are on the up I dont understand how its been valued below those that have sold for £180k (its in the middle of the development, not on the outskirts that neighbout the main road and as stated has a biffer than average garden) and others continue to sell for £180k as they are being finished.