House Valuation Time

[sosilly]

Hi there

I have been in an IVA for nearly years (due to end December 2020) and I have just had the email to say i need to arrange a Mortgage Redemption Statement and a House Valuation to identify if there is equity in our property.

Before I arrange the house valuation I wondered if any of you had any advice of what I could say to the estate agent valuing my property to make them value on the lower side not giving away that I am in an IVA. Could i say we are after quick sale for relocation purposes or something along those lines and that I need it in writing for my work and in that would value it on the lower side for a quick sale.

I would be interested to know if any of you have completed the house valuation process and how it went.

Many thanks in advance
sosilly

[kallis3]

That's what I said to mine. I had no problems.

[sosilly]

Thank you. Do you know what kind of percentage lower they value for a quick sale.

Did they put it in writing for you?

Thanks
sosilly

[Foggy]

It depends on the local markets, but estate agents I have dealt with in the south west often used to up a valuation by about 10% in order to attract offers nearer the actual value A) to entice the seller and B) to build in wriggle room.

[sosilly]

Thanks foggy

So do you think if similar houses in the area are selling for approx £155,000 do you not think they will value for about £140,000 if the seller has asked for a va;ue to attract a quick sale.

Reason I ask is, I am in an interlocking IVA with my husband so we are allowed to have £10,000 equity between us (i.e £5,000 each) which I have confirmed by our IVA provider.

If they value at over £140,000 then we are going to be over the £10,000 allowed equity which I would like to avoid if at all possible.

Is it a big no no saying to the estate agent we selling for financial reasons

Thanks
sosilly

[Foggy]

You can say what you like to the estate agent, as long as he / she gives an 'open market value' and makes no mention of forced or rapid sale in his estimate.

Remember also, he is valuing your house -- the others have been primped for sale, yours hasn't.

If the valuation is that close, it may be worth considering paying a RICS surveyor for an independent valuation, who will not be considering sales figurtes and commissions.

[sosilly]

Thanks for your comments Foggy

I will obtain a normal valuation first and see what kind of valuation figure they come back with first and if need be I could go down the Surveyor route.

Thanks again
sosilly

[Foggy]

Thanks for your comments Foggy

I will obtain a normal valuation first and see what kind of valuation figure they come back with first and if need be I could go down the Surveyor route.

Thanks again
sosilly

If you want to check how you compare as well, have a look at Rightmove and Zoopla -- they list the For Sale ads and prices, but also list the past actual sales prices in the area.

[sosilly]

Thanks foggy

I have done that. Houses similar on our estate (looking at rightmove) are selling for approx £155,000 and I need the house to be valued at £140,000 not to go over the £10,000 equity. I wasn't sure if you said to estate agents you want a quick sale for relocation purposes whether they would value that low.

If the IVA was extended for a further 12 months, do you pay the full amount you have been paying (subject to I&E) or do they calculate another amount depending on the equity available.

Thanks
sosilly

[Foggy]

If the IVA was extended for a further 12 months, do you pay the full amount you have been paying (subject to I&E) or do they calculate another amount depending on the equity available.

Thanks
sosilly

The payments for the extension year are based on your I&E and is often the same, or similar, rate to that during the 5th year --- it should bear no relation to the equity amount.

[sosilly]

OK thanks again foggy