Valuation & HB Survey

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Just had it back from the surveyors, valuation is £5k less than we offered (after a lot of negotiation from us). Also, the survey has shown lots of issues with the property, but all the usual stuff given age of property (Edwardian).

Would you use this as a mechanism for further negotiations on price?

Thanks in advance.

Did your offer take into account that you may have some maintenance to do ? What % is 5k - much more significant if offer is 200k than 500k - will it affcet your mortgage offer and how quickly are vendors hoping to move ? Surveyors will often err on the side of caution especially in the current market.

Thanks LIZS, the % isn't particularly significant, offer > £500k. I know that surveyors can be cautious and they do mention that our offer is in the correct range for this type of property, etc. It shouldn't affect mortgage given existing equity.

We're looking to do a complete renovation so I guess that our offer has taken into account that maintenance is required but my DH wants to renegotiate - he loves a good haggle! I just wondered what other people do when the valuation is < than the offer price.

If you are willing to haggle over £5k in a total of over £500k then it doesn't sound like you really want the house. You will presumably already have paid out in fees to get this far - honestly, why make the fuss and risk the purchase falling through??

I would never haggle in this situation, but DH being a sales man haggles everything. We had a similar situation with a flat two years ago he haggled and I was amazed and very happy when he got another £3000 of a £135,000 original offer.

I would.

Absolutely. You have an independent valuation saying it's not worth what you've agreed. Why would you not argue. As it's greater than 500k, it's less than 1%.

Better that 5K stays in your pocket than the sellers!

Thanks for the responses - I think DH isn't soo worried about the £5 undervaluation but more the problems highlighted in the survey - dodgy wiring and heating as well as a slightly wonky chimney (we're taking it down anyway). He thinks we should be able to negotiate on the price further on the issues with the survey as well as the under-valuation.

Think he'll be on the phone today - he is the chief negotiator in this house!