Valuation on house in mad market…

[instantpotnoodle]

We’re buying a house in an area where everything is going about 10-15% over asking price. We’re going about 12% over on the one we’re buying. We have decent equity and a decent LTV (60%) but really stressing about the valuation that’s taking place tomorrow. If it’s downvalued there’s no room to renegotiate on the house, they’ll just move to the next person…it’s brutal. Not sure what I’m asking for but just need to vent!

You have my sympathy and I hope the valuation goes OK tomorrow. Just a heads up we are buying and it took Barclays 10 days to confirm the valuation to our broker. I hope yours is much quicker!

Thank you @Summersdreaming. We’re with nationwide so fingers crossed! 10 days would be a bit torturous!

Ours (property we are buying) has been 2 weeks tomorrow and we haven't heard anything. We have sold ours the valuation has come back at the asking price exactly buyers were £1 over asking waiting for the solicitors to ring saying they want to rewrite all the paper work £1 lower might just offer to drop it off in cash.

This has happened to us twice so far recently. Back to square one each time. Brutal is the word! Good luck!

@vickyc90

Ours (property we are buying) has been 2 weeks tomorrow and we haven't heard anything. We have sold ours the valuation has come back at the asking price exactly buyers were £1 over asking waiting for the solicitors to ring saying they want to rewrite all the paper work £1 lower might just offer to drop it off in cash.

Haha, of course that won't happen!

@kerosene20
Oh I’m sorry. This is what I fear! Can I be cheeky and ask what your LTV is? I’ve read that if it’s downvalued but doesn’t change your LTV then the lender will still lend so I’m keeping my fingers crossed.

In a lower-valuation-than-agreed-price situation, the mortgage company will lend their valuation, either at the same LTV if you want to make up the difference with your deposit or a higher LTV if you can't top it up.

This happened to us, luckily our broker and the estate agent worked to convince a second mortgage company to value the house at what we wanted. It was a stressful few weeks but we got there in the end! It was HSBC initially that valued the house so low and NatWest that we eventually got the mortgage with.

We had similar ltv to you and despite slightly lower valuation they still allowed us to mortgage seeing the loss as ours not their if that makes sense. Glad we did as overall it was definitely the right move for us. This was last year when the market was hot.

You've got a good LTV so I'm sure you'll be fine.

We've just secured a house 7% over asking price with valuation scheduled next week. We have 85% LTV mortgage so have the extra cash to top up if needed.

Update us - fingers crossed!

Actually in shock. It’s been valued at the price we offered with no issue!!

@instantpotnoodle

Actually in shock. It’s been valued at the price we offered with no issue!!

Congrats