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Does a survey ever show price is too low?

17 replies

Amon3422 · 18/04/2022 04:29

Apologies for asking what might seem like a silly question. So far DH has always dealt with things so I am just checking as I want to make sure he’s making right choice. I feel EA pressured us into taking an offer (was the asking price ) but looking at sold properties in area and speaking to Inlaws (they all think we made a mistake and rushed it and shouldn’t have).

So a thread I was reading mentioned the survey down valued their home by 20K (www.mumsnet.com/Talk/property/4156070-Help-The-house-we-are-buying-has-been-downvalued-by-20k)
Do my question is can the reverse happen? Can the survey the buyers do ever show house should actually be more? Zoopla values my home 50K more than I sold it - top value and £25k more as expected value.

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carefullycourageous · 18/04/2022 04:38

Yes, a survey will give a value, and that value could be higher than asking price.

Are you sure your home has been undervalued? Be brutally honest - were the homes that sold in better condition? What percentage of the sale price is £20k?

I sold my last house for slightly less than I could have got - but the buyer was very committed. Sometimes you just have to go with it.

Amon3422 · 18/04/2022 04:42

@carefullycourageous yes honestly I feel my home is in better condition. We’ve got a lift conversion and kitchen had all modern appliances and is open plan. Other homes looked really old fashioned. Feedback was very positive from everyone. We never met the potential buyers as EA had strict rules about this’ there’s the EA app that shows the offers and feedback from all the viewings.

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Amon3422 · 18/04/2022 04:42

*loft

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Amon3422 · 18/04/2022 04:43

@carefullycourageous do I get to see the report from survey? I’ve googled and it says no.

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ZealAndArdour · 18/04/2022 04:46

If it’s a survey as part of a mortgage valuation they probably won’t put their head above the parapet and say it’s worth more as there’s just no point. So long as it’s suitable surety for the mortgage that’s all they care about.

I offered £12.5k over asking on my house, the mortgage valuation/survey valued it at exactly what I’d offered.

If they valued it over what had been offered you’d never get to find out anyway, the buyer would keep schtum, wouldn’t they?

carefullycourageous · 18/04/2022 05:04

I've also commented on your other thread!

ChillyB · 18/04/2022 05:23

Yes, our survey returned a higher value, of about £35k (on the condition of some small works). No, the seller didn’t get to see the survey and no we didn’t tell them either. If you are unhappy with what you’ve sold for you can stop the sale.

ukborn · 18/04/2022 05:25

No the survey is owned by the buyers so you don't get to see it. If they asked to renegotiate due to something flagged in it then I'd ask to see the relevant section.
I've bought and sold over 20 properties and not once has any property I've bought been valued at more than the agreed price.

icklekid · 18/04/2022 05:28

Did you get other valuations? How long was it on the market? Ultimately a house is worth what people will pay not what zoopla thinks! If your not happy you can pull out and wait and hope to get a bigger offer. Are you buying another property? Does this sale give you enough equity to get what you want or do you need more to afford it?

Amon3422 · 18/04/2022 05:43

Yes we got other valuations. Don’t remember the exact amounts but I believe we went with current EA as he was one of the 2 high ones. We got 2 EA quote same high amount and we chose between them.

House was only on market for 11 days. We also had people knock on door many times asking to look but EA was strict that we cannot talk to buyers! Is this protocol or do you think EA was up to something? I kind of lost respect for EA as trainees were sent for both open days and on both occasions they were late! The EA we had initial meeting with I have never seen or spoken to again. It just seems like I’m talking to young trainees

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Amon3422 · 18/04/2022 05:46

Also we are looking to buy through same EA and only viewed one property so far and difference has been stark! Such as EA kept us waiting 45 minutes to view a house then didn’t turn up! Then rebooked and we waited again and after viewing there has never been a follow up phone call. Other EA We viewed were always there before us, showed us around and seemed to know lots about the properties and next day would call us to have feedback on the viewing.

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Heronwatcher · 18/04/2022 08:26

It’s very unlikely that a survey will come back at a higher value than the offer (all the surveyor is doing is protecting the investment of the mortgage company or the buyer) and even more unlikely that if it did you would ever know about it! If you genuinely feel you’ve accepted an offer which is too low, the only thing you can do is give your current buyer a chance to increase their offer or back to market- if necessary with a different estate agent- but it is a very risky strategy, as your current buyer will likely walk away.

CrimePodcast · 18/04/2022 21:33

We have just remortgaged and the mortgage valuation came back at 60k higher than we estimated when we applied for the mortgage; our estimation was based on a mix of the online estimator tools/property websites. In short, yes.

dubyalass · 18/04/2022 22:49

This, together with your other thread on a similar subject, is making you sound very greedy. Sure, you could dick your buyers around by pulling out and putting it back on the market at a higher price, but it's a risky strategy, especially as all but one of your offers were under the asking price.

RandomMess · 18/04/2022 23:20

Certainly where I live house sale prices have notably dropped in the last 8 weeks, things that would have had a bidding war no longer get offers at asking price.

What things sold at 3-6 months ago may well be much higher than what you get offered now.

Amon3422 · 18/04/2022 23:57

@dubyalass

This, together with your other thread on a similar subject, is making you sound very greedy. Sure, you could dick your buyers around by pulling out and putting it back on the market at a higher price, but it's a risky strategy, especially as all but one of your offers were under the asking price.
Not greedy. Just anxious we might have been taken advantage of.
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scottishnames · 19/04/2022 10:04

OP in the kindest way, please try to stop fretting. "Taken advantage of" is simply not a relevant concept here.

You put the house on the market at a particular price. IIRC, your buyers have offered you that price. You simply can't ask fairer than that!

Your price was based on the highest estimate from a number of estate agents. You say two of them gave the same high figure. All of them will have much, much more experience of the local market than you. Naturally, they aim to get the highest price for you that can reasonably be expected. The fact that all the offers they received except one were below your asking price shows that it would have been unreasonable of them to suggest a higher selling price. That's not "taking advantage of you", either.

As others have said, you don't have to sell. But it's an uncertain market and in many places a falling one. Inflation, rising energy prices etc are likely to make people more cautious; many will have less to spend on all the costs of moving or on bigger mortgages.

Remember, not all buyers like or value the same things. If it matters, an open plan kitchen with modern appliances would de-value a house for me. I'd much rather buy a house with original proportions - and choose my own kitchen fitments.

As many others have said, a house is only worth what someone is prepared to pay for it. Did you get any offers above asking price? If not, then I think that gives you a pretty good indication of the current house value.

For Zoopla estimates, this is from a property trade website:
"Your house might be worth a lot more than Zoopla estimate it is. Or your house may be worth a lot less than Zoopla estimate it is. If you want to sell your house it’s best not to get too excited, or be too disappointed, by Zoopla’s estimate." (source below)

This article explains how Zoopla estimates work - and how many factors that Zoopla does not measure can also affect valuation :
www.propertyinvestmentsuk.co.uk/zoopla-valuations/

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