Would you renegotiate purchase price if the survey valuation is less than your offer?

[MyCosyPearlStork]

Not sure if I’m posting in the right place, but basically what the title says.

We’ve had our survey valuation back, and it’s £10k less than our agreed price. It works out about 2.5% of purchase price, so not really life changing money but obviously we don’t want to overpay.

Would you renegotiate?

For context, the survey identified a couple of minor issues, but I’m more concerned with the valuation.

Mortgage lender did a desktop valuation not a physical inspection of the house, but this came back at our agreed price.

We’re FTB so just trying to understand what’s normal to do at this stage?

Yes. Give it a go. Depends how desperate they are to sell and how desperate you are to buy this house. In many areas it’s a buyers market and if you agree 50:50 that’s better than not trying. However if it’s already been substantially reduced, it might be difficult. You can check what similar houses have sold for.

My friends have just sold a house and the price agreed is 10% lower than similar 6 months ago. So depends where it is and what else is in the area. Lots of new houses are affecting prices where my friends live and they have better interiors for families.

Yes, the buyers for every house I've ever sold have done this, and the estate agents have always insisted that I basically had no choice than to accept.

Our house valuation was 30 grand lower when we bought it. We loved the house though and knew it was worth more than the desktop valuation so only negotiated a few grand off.

In Scotland this is often the case, as it's an "offers over" system. You basically know that you're going to pay over the HR value. And in Edinburgh there is fierce competition for property, so it can be WAY over. Banks will only lend up to HR value though, so you have to bridge the gap with your own money.

Thanks everyone! We managed to negotiate £5k so we’re all happy and purchase is still going ahead (albeit slowly!)