| As an self employed independent mortgage adviser, perhaps I could help on this one.
When a remortgage is arranged the lender will commission a valuation of your property for mortgage purpose. Basically this means they need to be sure (based on current market value) that the loan they grant is covered by the value of the property being offered as security.
The valauation is carried out by an independent company whose valuer needs to be qualified (FRICS) etc.
The valuation will usually last 10 to 15 minutes. Sometimes only a "drive by" valuation is carried out were the surveyor will only conduct an external inspection without entering your property. Normally where the loan to value percentage is fairly low.
The actual valuation, like any "price" is dependent upon market forces eg what someone is willing to pay for it. All valuers will look for sold houses locally to yours and of similar size etc. They will get this info from local estate agents in your area. Their valuation report will consist of normally 3, sometimes more, of comparative "sold" values. This is what will guide him to give a value on your property.
Having dealt with many valuers over the last 15 years or so, 95% of the valuation they give is based on what houses have actually sold for in your neighbourhood. The remainder is based upon decor/upkeep etc.
Estate Agents for sale prices normally do not normally match surveyors valuations and can, more recently be more than 10% different.
I hope this answers your query. If you want to know the best deals currently available in the whole market, send me a U2U and I would be happy to provide you with some confidential and free advice.  |