Crushed & confused by survey/valuation

[3asAbird]

Yesterday get email forwarded to mortage broker saying the valuation amount meets their criteria to give us mortgage requested.

Thourght great surveys arrived today.
Level 2 maybe sounds worse than it is.

We were aware it was a doer upper and would require work and modernising over time but quite a few things have come up red i think level 3 they suggest is checked or replaced immediately.

It has old gas lit boiler behind gas fire
Has older electric fuse board
Some floor boards need fixing or replacing.
We planned to fix boards and varnish and seal to save some money.
We planned to lay kardean in hallway and extension which has concrete base.
Add smoke alarms and carbon monoxide monitor.

The report.mentions possible wood wood beetle infestation in hall.

They have no idea if garden has Japanese knotwead its very overgrown.
How common is it?

We knew we could clear the jungle of garden ourselves and possibly do new fencing ourselves to save costs.

We planned to do guttering straight away.
Sand and varnish the floors again ourselves save money
Lay some new flooring
Replace kitchen which is truly dire.
Fitting is beyond us so need pay a fitter
Gas and electric safety inspection
Paint again us to save money

The extension and layout was changed by previous owner 25years ago so no idea if meets building regulations.

Reports identified some stuff to chimney
Roof seems not to bad
Windows are ok as 10years old
Bathroom 3 years old
Upstairs is better than down.

Its a mid terrace 1930s house
Lots charm and potential
Great location
Decent sized rooms
Garden

2houses sold same street this year 1 at 290k but high spec great condition.

Another dated with garage but dident like needed same amount of work and dont think it was as large for 242k.

It was valued by local estate agents at 250k.

I can believe this as seen lots houses worse in bristol for 250k plus.

We had offer accepted at 237500
Its been valued at 205k.
I never see any houses valued that low within our postcode.

Looked at mortage illustration paperwork and says minimum value amount required to borrow is 234k.

We putting down 22% cash deposit

And the bank seem to have said to mortgage broker they satisfied with the valuation.

Anyone else had this issue
Survey is scary reading and my dad thinks we overpaying but he doesnt understand bristol market.

It's been valued at sufficient for mortgage due to your deposit, basically the valuation has to be at what they will lend, not more.

The issues don't sound too bad and as you intend to do it up, I don't really see an issue, value should jump hugely based on your other comments, once it's done.

Every survey I've had just seems to be the surveyor covering themselves in case something goes wrong.
If the bank are still happy to lend the money, then it's fine.

You could try to negotiate the price down if you really wanted, but I just laughed when my last buyer suggested that. The house is worth what someone is willing to pay for it.

None of that sounds particularly bad or unexpected. The survey wouldn't concern me at all, I can't comment on the values as I don't know Bristol. You could try to negotiate but it depends on the market, I seem to remember you've not found much you want and if things are selling well then as a vendor I wouldn't entertain negotiations based on that survey. If things aren't shifting and the market is tough then that might be different.

Thanks for promt response i thourght surveys often sound worse than they are.
Its a scary read.

We borrowing 186k and putting 51k down
I thourght a downward valuation would effect ltv amount as they essentially saying we paying 32k too much with 205k valuation figure.

The local market is dire we been looking for most of the year

1house sale fell through sept after 6weeks vendor changed mind.

2offers refused

This is unique as private sale
We agreed unless anything structural we would not try beat down on price.
We love the house

We ftb and currently rent
Feels like now or never as husband is 46 so 24years term.
At the moment its cluttered and unloved.
We feel sure we can add value in time but we dont he the funds to do it all immediately.

We lived with backlit boiler many years in current rented property.

I thourght a downward valuation would effect ltv amount as they essentially saying we paying 32k too much with 205k valuation figure

No it doesn't work like that. As long as the valuation is more than you're borrowing it's fine, the mortgage company just say the rest is your money so we don't care.

If money is tight you could take a slightly higher mortgage and save some money for doing up.

Doesn't sound too alarming to me.

Is the boiler functional? Probably best to plan to replace it, but if it works and is safe then no big deal.

Old fuse board - nothing to worry about, but plan to replace it when you have some electrical work done perhaps - move over to a dual RCD setup or MCBO's

Duff floor boards - par for the course if it's been rewired/plumbing/central heating work done. Patch up with new boards as required, easy enough to DIY if you're keen.

"Possible" wood beetle infestation... Possibly not. I'd say surveyor just covering his back is most likely scenario, but worth investigating properly.

Japanese knotweed - if he hasn't seen it it probably isn't there, just covering his back cos he couldn't check properly.

If you're replacing the kitchen you'll probably have it rewired onto its own circuit as per building regs. Perfect opportunity to replace the fuse board too.

Nothing too alarming in my book, but perhaps worth trying to negotiate a few £ off or commissioning further investigation about the wood beetle.

The mortgage valuation is just to make sure that if you default on the mortgage the bank will get the money back. They don't care about the rest of the survey just their money.

Most is usual and they will cover themselves. You should get the boiler and electrics checked (the seller may have done them so check with your solicitor) as that is a safety issue.

Most of the rest is more maintenance.

The only two I would really check first is Japanese Knotweed (so if you can get a gardener to go around and check - it is around and if you have it your property is not mortgageable and it is very costly to remove) and the wood-boring beetle (that again can be costly, but check with your solicitor as it may have been treated in the past and the seller may have a guarantee to cover re-treatment if there is a fresh infestation).

Thanks guys calmed down a little.

Can see costs escalating

Its prioritising what work needs to be done

Current kitchen is dire and falling apart.

Lots of possible
Or we unsure as was hard to inspect.

Did sound like lots arse covering.

House in dodgy council estates sell for more than that.

We have around 8k spend initially once fees paid.

Its tight.

Im sure once its painted free of clutter.
Gardens not a jungle
New flooring will instantly add value.

I know we can get interest free boiler off energy companies that might be possibility.

Honestly don't panic too much. For most part the surveyors are covering their arses. Things like damp, affected timbers etc I'd be getting a separate survey on them by a specialist.

My doer upper was riddled with damp, had rotted the internal plaster right down to brick. The survey showed it was just useless guttering.