House is in sale...

[Hello007]

My buyer has not received the mortgage offer as of today but conveyancing process is going on drafted contract as been sent to buyer's solicitors waiting to answer enquiries if raised.

My question when the lender will do mortgage survey is it done after giving offer or before giving the mortgage offer.

Before - the mortgage company will want a valuation survey before they will confirm how much they are prepared to lend the buyer.

Before, as Wow says, although I seem to recall that HSBC issue a full offer, "subject to valuation."

"Subject to valuation" is it mean they don't do survey...

It's ok ask for a copy if the mortgage offer is been issued

All the bank are interested in is to confirm that the property represents suitable security for the loan being issued. Therefore they carry out a 'mortgage valuation' rather than a survey.

The valuation report is for the bank, although normally paid by the person applying for the mortgage. Sometimes the bank will not even supp;y a copy to the buyer, it would be highly unusual for the seller to ask to see a copy, and a request that is likely to be refused.

I am bit worried about buyer's mortgage offer. Estate agent told me mortgage in principle is been approved already. Conveyancing process started in Jan end but still we have not got into contract. Yesterday i called estate agent for clarification but she told me buyer is having meeting with his lender hopefully he will get mortgage offer immediately. But I can't understand how can he get a mortgage offer without mortgage survey. Still nobody has contacted me for any survey. Can they carry out survey without entering the property is that possible.

They can do a drive by valuation.

Perhaps your buyer is just relying on the valuation and not having a survey?

We are buying at the moment. An agreement in principle confirms the amount the purchaser cab borrow. You then have to apply for a mortgage once you’ve had an offer accepted. We had one meeting to discus everything and a second to sign the paperwork. The mortgage company then arrange a valuation to confirm the property is worth what you are paying/ they are lending. Once that is approved you have the firm mortgage offer that is sent to the solicitor so exchange can proceed.

Thank you so much for information... how is valuation carried out do they have to view the property....any idea...

From my understanding, if the property is typical to area and the mortgage is for a lot less than the proerty value, then a drive by valuation is all that is needed. The bank need to feel secure that if the buyer cannot repay them, that they can easily recoup their money.

If your buyer is borrowing a high percentage of the property value then the surveyor will need full access to the property.

Our mortgage valuation the surveyor came in house looked in roof/loft, looked at outside of house with binoculars, came inside, quick look round house, about 20 mins in total.

The buyers homebuyers surveyor took about 30 mins. Did the same as above, flushed the toilets, ran the taps and tried a few windows and doors. I was expecting him to be here longer

No, they don't have to go inside necessarily. That is what I meant by 'drive by'.