Estate Agent Valuation - Am I deluded or are they right??

[SunRa]

I've just had an estate agent round to value our flat (first of 3 so not got a full picture yet) but he has based his valuation on what we paid for it in 2007 because 'the market is pretty much back to where it was'. However he isn't taking into account any of the work we've had done. It had never been modernised since the building was converted back in the early 80's so we gutted it and added new everything and also knocked though the kitchen and extended it out. long story short, it is far from the flat that was on the market back then.

I feel he's under valued it by around £25K based on what another flat is currently on the market for in the same building.

He has said 'but that was for £125K in '07 and is now listed for the same' - but it was bought done up & to a lesser standard than ours! I'm not after fortunes & we would consider offers but 20% is a heck of a lot?!

I want to cry because we so badly need to move to a bigger place with our LO

So you paid £100k in 2007, for a flat in need of modernisation and your neighbours paid £125k in 2007 for a modernised flat? And the agent now says yours is worth £100k? Are the flats identical? Has the other flat actually sold for £125k or is it just on the market at that? How long has it been on the market? Have any other flats near you sold recently?

Its only one valuation, get at at least two more before you begin to worry. Each time we've sold we've had significant variations.

Sounds an odd technique for determining value anyway.

Definitely get a few other estate agents to come and give you a valuation. They recommend at least 3 and then taking the average as some tend to over-value and others under-value. When we had valuations done earlier there was a 25% difference between the top and bottom values! It sounds like the EA is being a bit lazy in your case and not bothering to weigh things up properly!

Just pissed me off as he just wasn't interested in what I was saying an was really patronising. Wouldn't go with them even if it all comes out at the same price.

The other flat has been on a few weeks - not identical but very similar. If anything ours is better. tbh we're happy to let it go for quite a bit less but not that low. Particularly advertised at that and then chipped down.

I'll wait & see the others - disheartening though :(

Avoid, sounds like a fool!

The first agent we had valued our flat at 375, the other at 425 and the last at 500. We sold for 415k. Do your own research on Rightmove (sold prices and current asking prices) and take it from there.

Good luck :)

It's only the first valuation you've had! Don't start to worry unless two or three tell you the same thing.

Maybe when they ask what you paid and when, say it doesn't matter, you could have inherited it for all they know. You are interested in todays value not 2007.

wait till you get the other 2 evaluations!

He sounds lazy. He wanted you to do his job for him by giving him a figure. What you paid is irrelevant. You could have had a motivated seller giving you a great bargain or you could have paid over the odds for it. Neither of those circumstances would effect the current price. I wonder how he would have coped if you didn't tell him what you paid.

Write him off and move on to the next agent.

it takes five minutes to find out what anyone paid for a property sold since 1995. Remember your buyers will know too.

bigger adds value. New kitchens don't.

Get a two or three estate agents in to value the flat, and do your own research - you should know the price that similar flats in the area have gone for in the last year or so.

The price you paid is irrelevant in terms of what your flat is currently worth.

Thanks guys - I've had two more today and both have said £120K so I think that's more realistic.

The first guy had the sale price printed off when he arrived so it wouldn't have mattered what I said.

Its wasn't just a new kitchen we added - it had no heating, only flooring in some rooms & those with had brown swirly carpets (including bathroom gag). Basically we bought it needing renovation & the one which had been renovated sold for £25k more at the same time.