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Overly Cautious Surveyors Are Undervaluing Homes, Says Naea

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Our national industry of selling homes to each other is under threat! Panic panic, how dare the surveyors try to reduce the "value" of homes towards anything even slightly more sensible!

We are The Estate Agents, all powerful and important to a country that now has no other industry! Quick, someone tell the BBC! ...

http://news.bbc.co.uk/1/low/uk/8191007.stm

Undervaluing 'hitting home sales'

Property sales and remortgage deals are collapsing because some mortgage lenders and surveyors are deliberately undervaluing homes, estate agents say.

Properties are typically being undervalued by at least 10%, said the National Association of Estate Agents.

It said surveyors afraid of being sued by lenders were being overcautious.

But the Royal Institution of Chartered Surveyors denied the claim, saying the housing market was constantly changing and had lots of "imperfections". ....

Edited by loginandtonic

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Guest Parry aka GOD

EA's have always been the darlings of the British economy.

"I'm going to make Britain a country good enough for an estate agent to live in" - Margret Thatcher.

Nothing changes. Sadly.

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Guest Parry aka GOD
The next wave of these prats will be culled this Autumn/Winter. Hopefully to extinction in the next few years.

The whole process of buying a house in the UK needs to be much simpler and much cheaper.

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Just seen a report about this on the bbc.

A lady interviewed in Bridgend who was after a mortgage said "the valuer valued it at £80k, but I knew it was worth a lot more."

So she paid £300 for her own valuation and he magically valued it at £100k.

The fact that house prices could actually be going down, was not mentioned.

And of course we had an estate agent on, complaining about Surveyor's under valuing. :rolleyes:

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Heard it again on Radio 4 this morning. Apparently valuations are 10% less (presumably of asking price hence mortgages sales falling through. I suppose reducing the price by 10% to get a sale not an option for these people.

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i have now redesigned the Union Jack to reflect the UK's new priorities, of course it should be flown upside down in these circumstances.

2009unionjack.jpg

Probably an offence to mess with the flag although not an offence to rip people off on property and lie on mortgage forms it seems if it suits the government's agenda.

post-20211-1249714943_thumb.jpg

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News story: http://news.bbc.co.uk/1/hi/uk/8191007.stm

Are surveyors deliberately undervaluing property to avoid getting sued by lenders in case they overvalue a property by mistake? Or is this EA spin?

At a time of greatly reduced transaction levels, you would think EAs would be keen to see prices fall, and transaction then rise, with fewer broken chains etc. Transaction levels are WAY down on the long term average.

A 10% fall in prices but a 25% rise in transactions means more commission for them, more profit.

Are they thick or what?! :blink:

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i think its time the govt passed a law to make it illegal for anyone to suggest, imply or act in any manner regarding a dwelling that could indicate it is worth less than The Estate Agent says it is.

edit - to capitalise Estate Agent and add 'The' as they are v. important to the United Ponzikingdom of Greaterprices Britain.

Edited by loginandtonic

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just missed the end of the lead article on the BBC news TV, and they ended that with a woman claiming an undervaluation had cost her money and making it difficult to KEEP her home.

what can she possibly have been trying to do? a valuation had COST her money to KEEP the house?? WTF?

next, the surveyors were on saying the report was of course EA rubbish.

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News story: http://news.bbc.co.uk/1/hi/uk/8191007.stm

Are surveyors deliberately undervaluing property to avoid getting sued by lenders in case they overvalue a property by mistake? Or is this EA spin?

Both.

The spin is that it's not a sensible thing to do.

They are perhaps worrying about the market and almost deliberatively [sic :rolleyes: ] knocking off 10% almost regardless of what the property sold for

Shock horror in a depressed market. Why wouldn't you?

The tone of the article is astonishing. No cautions at all about lending too much money and ending up in negative equity.

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Guest KingCharles1st
just missed the end of the lead article on the BBC news TV, and they ended that with a woman claiming an undervaluation had cost her money and making it difficult to KEEP her home.

what can she possibly have been trying to do? a valuation had COST her money to KEEP the house?? WTF?

next, the surveyors were on saying the report was of course EA rubbish.

She was probably out of MEW and they were rattling the chains

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She was probably out of MEW and they were rattling the chains

I think ive sussed....she's come to the end of a teaser and needs a new mortgage.

she probably bought at peak and is now in neg eq....pushing the rate up.

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Guest KingCharles1st
I think ive sussed....she's come to the end of a teaser and needs a new mortgage.

she probably bought at peak and is now in neg eq....pushing the rate up.

Yep- and needed something like a 15% depo/LTV as opposed to the old 0/5% arrangement

Edited by KingCharles1st

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There is this amazing disconnection in the minds of the sheeple, and in the words of the sheeple media, even now after all that has happened, between the level of house prices and the credit to pay for them. It's the evil banks' fault for daring to put it in the minds of the surveyors that prices will carry on falling.

The sheeple have the two words "house prices" drummed into the relentlessly by the MSM. A house price is an organic being that only grows. It has nothing to do with lending, other than lending must always be prepared to match the size the house price has grown to.

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There is this amazing disconnection in the minds of the sheeple, and in the words of the sheeple media, even now after all that has happened, between the level of house prices and the credit to pay for them. It's the evil banks' fault for daring to put it in the minds of the surveyors that prices will carry on falling.

The sheeple have the two words "house prices" drummed into the relentlessly by the MSM. A house price is an organic being that only grows. It has nothing to do with lending, other than lending must always be prepared to match the size the house price has grown to.

BBC NEWs just followed this up... the disgust in the interviewers attitude to the sruveyors case was almost like having a member of the BNP on the show.

suggestions that if buyers are not happy with the valuations....get help....get your valuation raised.....course, no mention that having the lower valuation will LOWER the cost of the mortgage....or any mention that the sellers price was TOO HIGH.

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Guest KingCharles1st
BBC NEWs just followed this up... the disgust in the interviewers attitude to the sruveyors case was almost like having a member of the BNP on the show.

suggestions that if buyers are not happy with the valuations....get help....get your valuation raised.....course, no mention that having the lower valuation will LOWER the cost of the mortgage....or any mention that the sellers price was TOO HIGH.

oh how far we have come since that interest rate decision of 2005- and yet nothing's changed, it's all shit

The one common HPC topic denominator has nearly always been the BBC

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And of course we had an estate agent on, complaining about Surveyor's under valuing. :rolleyes:

Don't recall many complaints when they were overvaluing! :lol:

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oh how far we have come since that interest rate decision of 2005- and yet nothing's changed, it's all shit

The one common HPC topic denominator has nearly always been the BBC

the Ballsey Borrowing Corporation.

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BBC NEWs just followed this up... the disgust in the interviewers attitude to the sruveyors case was almost like having a member of the BNP on the show.

That BBC woman must have a VI in the property market.

Her body language, facial expressions and tone of voice are always biased towards a return to HPI. I find her quite annoying.

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