Mortgage lenders valuation

[AdamantEve]

Currently in the process of buying my first house and finding it all quite confusing but muddling through!

Just wondering if it’s generally true that the lenders valuation isn’t necessarily the same as the market value? The house I’m buying was definitely listed at an inflated price which the vendor dropped and my offer was accepted at 6% below their reduced price which I definitely think it is worth.

The mortgage valuation has come back, coincidentally at the exact price I’m paying. Which is good - I’m more than happy with paying the price it’s worth! But I was feeling that I’d got a bit of a bargain before and now I’m not feeling that so much!

Not planning on reselling any time soon and overall happy with the price I’m paying so this is a none issue really, but am curious if the bank (Halifax) only check it’s worth the price you’ve paid/borrowed? Has anyone had a lenders valuation come back HIGHER than the purchase price?

When I bought my first house the value was exactly what I paid for it. I took it as a good thing that they probably thought it was worth a bit more than what I paid.

My surveyor told me that our house was worth more than we were paying, but put the exact amount that we had agreed to buy, as did the mortgage Valuation.

I don’t believe a Valuer will ever put a value higher than the agreed purchase price but they will downvalue it if they don’t think it is worth that to protect the bank’s lending

Yes agreed, the mortgage valuation will never be more than what you’re paying for it

Mortgage values will always put the exact amount or lower - never higher.

Thanks everyone, that’s what I thought could be the case as it seemed strangely coincidental they’d put the exact figure we’re paying. Just glad they don’t think it’s worth less!