Bank Valuation - Asking Price too high

RaulDublin

Water John wrote: »

The Engineer's Report is done by a qualified person for you. A copy needs to be given to solrs on both sides.
The Valuation Report is done specifically for the lender and normally you pay.
Two diff functions and usually two diff professionals.
The first done by someone of engineering/planning background, the second done by an auctioneer.

Yes. But i saw no problem in that being done by the same firm who were highly recommended for both the tasks .
Just to add that they obviously haven't shared the valuation with me but just mentioned their views on the estimates and the reasoning behind it..

The_Conductor

trobbin wrote: »

That's only true to a rational person with real money. Basically, you've a hoard of people out there that will take as much as they can get from a lender and just outbid anyone in their path. So valuations by the actual lender are really important. Having said that, they can always make the math work if they wanna give the loan.

People are not rational though- and the sooner people realise this- the better.
Ignore any ideas of what people 'should' do or feel about a situation- approach it as a blank canvas- and see where you can go from there.

OP- at this point- I'd be hurridely putting together packs and applying to lenders other than UB- if you actually want the property. Ulster Bank having been doing very indept reviews of their business here- the results of the most recent one were only released earlier this week. They, along with most lenders, are risk averse- however, the lenders are not treating risk in identical manners.

AIB or BOI would bite your hand off- given you have 30% equity in the property- this is your major selling point as a prospective customer. You need to sell yourself. UB obviously, for whatever reason, are just not that interested in your business- fine, thats their prerogative- however, you are a customer, and can go anywhere else- its time to talk to someone who values you as a customer- and fast, bloody fast, if you don't want to loose this particular property.

If, on the other hand, you are only humming and hawwing over this property- and are happy to hang around and see what comes up elsewhere- thats also fine- however, I would still be shopping around for a lender who actually values you as a customer- as UB seem to be taking you for granted.

Samuel T. Cogley

The_Conductor wrote: »

People are not rational though- and the sooner people realise this- the better.
Ignore any ideas of what people 'should' do or feel about a situation- approach it as a blank canvas- and see where you can go from there.

Which is all the more reason for the other actors in the system to have rationality and regulation imposed on them.

The_Conductor

Samuel T. Cogley wrote: »

Which is all the more reason for the other actors in the system to have rationality and regulation imposed on them.

You can't regulate for stupidity though- and there is a hell of a lot of stupidity out there.

If you assume that the entire system is in disorder and suspend any belief in rationality or normality- then you have a clearer and more fair perspective on what the Irish housing market is like.

I'm not even sure whether more regulation will achieve anything- the government has rammed though some quite incredible measures already in the assumption they were going to resolve some of the ills of the sector- however, time, history and experience has shown- the law of unintended consequences is alive and well- and indeed, entropy, in the case of the measures unveiled thus far.

I firmly believe that scrapping regulation- including things like building heights for our city centres- is critical- but I also believe that some measures- such as reducing the minimum size of apartments- should be reversed- as the whole 'starter home' / 'getting your foot on the property ladder' lark- is cow manure- and has consigned an entire generation to living in wholly inappropriate property- because it suited the aims of the government of the day- and the current government are more interested in looking at the homeless issue- than the fact that there are 120,000 people living in property that they own- that councils would not supply to homeless people- because its 'unsuitable' (figure from the CSO census analysis performed by the Spatial Analysis unit of the geography department in NUI Maynooth).

The squeaky wheel gets oiled.

Water John

Well if they have not yet committed their views in writing, you should submit to them any info, which you mentioned, that backs up your case.

As others said, maybe time to pursue alternative lenders.

I would suggest to any potential buyers to pursue two lenders at least, I know that's a pain, but process two until you are sure the one you prefer will come good.

SB_Part2

Happened me.

Got another valuation but also ended up having to go to another bank.

RaulDublin

Water John wrote: »

Well if they have not yet committed their views in writing, you should submit to them any info, which you mentioned, that backs up your case.

As others said, maybe time to pursue alternative lenders.

I would suggest to any potential buyers to pursue two lenders at least, I know that's a pain, but process two until you are sure the one you prefer will come good.

I just heard back from the valuation survey that they should be OK on the sale agreed value based on the information I provided on recently sold houses in the area ...

Water John

Great news for you.
I'd see no issue with you processing a second lender as a back up strategy.
Best of Luck.