UK Landlord Forum / Life

I had a surveryor down value a property by £65,000 recently. I had an agreed sale of £540,000 on a 4 bedroom semi in Buckhurst Hill. the surveyor decided that it wasnt worth that much and gave a valuation of £475,000.  Now I tend to expect a slight down valuation, but never one as huge as that. Needless to say I got into an argument with him but he wouldnt back down. the comparables I gave him  were much more relevant than his ones, which were'nt equivalent. I am taking this further but thats not the point.
Surveryors are less likely to value up a property at selling price than ever before. This is because when ever a surveyor writes a report for a mortgage company, he is liable for the next 15 years. that means if anything goes wrong they can get sued. Now with interest rates getting higher and higher, there is a greater likelyhood of reposession. Surveyors are basically covering their arses with super low vals.  Another reason for house prices falling.
Surveyors to estate agents are like traffic wardens to motorist.

Wow. That is a big difference. Interesting about the surveyor's being liable for 15 years. Is that different with bank's mortgage surveyors by any chance?


V

Oh wow, that is a huge drop.

I had no idea surveyors were liable for 15years. That really is a huge factor in why property values could fall.

Thanks a lot for sharing that- very interesting.

Did the buyers back out of the deal, or drop the price of their offer?

My Landlord Is a chartered surveyor, he told me about the 15 yr liability thing. I'm not sure if its only for mortgage valuations or just in general that they are liablefor so long.
With my sale the vendor decided to offer a 50/50 deal. the purchaser was happy to accept, seeing as he was happy buying at 540k and now is buying at £507,500. He knew that it was a gross downvaluation and was happy to take advantage of the reduction. The poor vendor had just written off £32,500.
Nobody knows the prices of property better than a prospective purchaser.They see so many properties that they become experts. On a valuation, we (estate agents) are merely trying to estimate what someone would pay for a particular property.

God, that's quite a chop off the initial agreed price.

At least there was a mutual agreement, though. Glad it all worked out.

I'm a little surprised that you rent

Probably says something disturbing about the property market right now!!!


V

The fact he rents, or the fact the price was reduced by such a significant amount?

Oh when I said My landlord, I meant of my Office. He kept an office within my office where he property manages his own properties. I do own (by means of a mortgage) my own home and a few others too