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south_side_sceptic

Home Report Survey Value

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I was wondering what peoples views were about the survey value in the home report? The last two flats I've been interested in the vendor has wanted more than this value. I can't get my head round this and in one instance I offered the survey value but was turned down!

Given the value is often a few months out of date and by the time you complete may be say 6 months out of date what is driving this madness? Even the estate agents seem to agree with me they vendors are out of order. Is this purely a hangover from the offers over system with the expectation you should "offer a little more to make sure you get it" still being stuck in people's heads?

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Guest An Bearin Bui
I was wondering what peoples views were about the survey value in the home report? The last two flats I've been interested in the vendor has wanted more than this value. I can't get my head round this and in one instance I offered the survey value but was turned down!

Given the value is often a few months out of date and by the time you complete may be say 6 months out of date what is driving this madness? Even the estate agents seem to agree with me they vendors are out of order. Is this purely a hangover from the offers over system with the expectation you should "offer a little more to make sure you get it" still being stuck in people's heads?

Wouldn't that depend on whether the places are on at FP or offers over? If it's FP and they're looking for more money then their behaviour makes no sense as even in the crazy boom days, as far as I know, no-one ever offered over FP. Not sure how it works with o/o though: do they set the o/o price at the Home Report valuation or at a lower value in the hope of getting the HR valuation?

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I was wondering what peoples views were about the survey value in the home report? The last two flats I've been interested in the vendor has wanted more than this value. I can't get my head round this and in one instance I offered the survey value but was turned down!

Given the value is often a few months out of date and by the time you complete may be say 6 months out of date what is driving this madness? Even the estate agents seem to agree with me they vendors are out of order. Is this purely a hangover from the offers over system with the expectation you should "offer a little more to make sure you get it" still being stuck in people's heads?

Of course every seller is going to want more than the valuation. A lot of people are in deep denial and even if they think there has been a housing price adjustment it only applies to everyone else's property, not theirs.

I think there are possibly two approaches that might be needed:

1 Get a time limited offer in early, before any others and make it very clear you are serious about withdrawing your offer at the end of your specified period. Then walk away if it's not accepted.

2 Keep an eye on the houses that have been on for a while (or relaunched/relisted) and start making cheeky offers. I see listings on RightMove through Property Bee that have been a year for sale.

EA's can't be making much money - ask them who is most deperate for a sale.

As to what's driving the madness (as you put it): denial, "spring bounce", VI talk about "renewed optimism" (whatever that is), little (apart from distressed sales) coming to market etc. I would say remind yourself, that anyone selling right now must have a pretty good reason.

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Wouldn't that depend on whether the places are on at FP or offers over? If it's FP and they're looking for more money then their behaviour makes no sense as even in the crazy boom days, as far as I know, no-one ever offered over FP. Not sure how it works with o/o though: do they set the o/o price at the Home Report valuation or at a lower value in the hope of getting the HR valuation?

Offers over seems pretty much to have disappeared. Things are either "offers around" or "in the region of" - this will either be a touch below survey value or dead on.

Alternatively it will be fixed price - this seems to be either exactly or above the survey value

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Home reports are currently not worth the paper they are written on. Surveyors simply reflect market conditions at the end of the day. If there is no market they have nothing to go on.

The facts are these:

The surveyor comes to do the report before the house goes on the market.

Under the previous system they came afterwards and knew the interest levels in the property.

An example is that we had to get a further valuation carried out due to the 3 month motgage rule (watch for the timing when you go to you bank or BS for the money). The value of the house we were buying simply went up because the property went to a closing date. Good news in terms of what we could borrow.

Watch for this trap with home reports

The banks now require a survey to be only 3 months old before they require and you to pay for an update. My bank tried to charge me £400 for this. A home report commissioned proir to going to the market will be at least a month old by the time a sale is agreed if you have a good property and even longer if the house takes longer to sell. The old system meant you had more time to sort out a favourable financial deal as the survey would have been commissioned only days before an offer being accepted.

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