Valuation vs. Asking price

[Purplehulk]

FTB here so quite nervous about the whole process and looking for some advice form the more experienced.
We have an offer in place, a mortgage agreed and are now just waiting for the bank to sort out the valuation, the outcome of which I believe dictates the final mortgage offer.
How likely is the valuation to be lower than the asking price?
The AP was £85000, our accepted offer is £83500 but if the valuation is much lower the mortgage offer will be reduced and potentially we're screwed
Any words of warning or comfort as I face 2 weeks of nail biting?

I found that with the flat I sold, the estate agent put together a "pack" to help the valuer in his report. The EA listed the value similar properties sold, etc etc. So I think that was a huge help.

I wouldnt worry too much about it as I think normally valuations turn out what you expect.

The valuer will not value the house above what you're paying, btw. So the max valuation would be 83,500 in your case...

If it come in below you can organise more valuations (at your expense), negotiate with the vendor or walk away.

Yes the valuations usually hit what you expect. Don't forget it depends on the size of loan to value too. If the valuation comes out lower and you can't cover the difference you have to renegotiate with the vendor. After all if another buyer offers with a mortgage they may be in the same position so the vendor will often be open to a big of negotiation.

Yes Horten it's the loan to value that worries me. If it changes too much our rate is affected

Do you think it is priced correctly? I am sure it will be ok. If they say its too expensive they usually want it corrected by a significant amount £10 000 or more, not just £2-3000. Well from my experience anyway. When do you think you will find out?

A pretty much identical house 2 doors down has just come on for offers over £90000 so it's probably about right but it's the waiting around and need to be in by early August that's making me nervous. (It's vacant atm which helps on that score)

They can value above asking price!! Usually though there is not much difference unless the valuer does not know the area. In that case get the vendor's estate agent to give details of sold prices and area details. Having said that, Zoopla etc have this information on line so you should know if you are paying over the odds, which, presumably, you do not want to do. Why not check and see if the price is fair?