Would this be a bad time to get your house valued?

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RMCF

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About 7 or 8 months ago I was told by the mortgage advisor at my bank that if I got a new valuation on my house then I would save some money every month as I would qualify for a LTV<50% mortgage.

I never got round to it, and was thinking about it now. Only thing that concerns me is that if the valuer now rates my house as worth €200k when they might have valued it at €250k back then, is this a bad thing?

I would still qualify for the LTV mortgage ok as my remaining amount is around €80k, but I am wondering if there is any downside to having your house valued lower?
 
I did that a couple of months ago (I used it to shorten the term rather than reduce payments). The only other people seeing the valuation are the bank, so I can't really think of a downside. If you want to remortgage in the future, you'll have to do another one anyway.
 
The lender will probably have taken current property prices into account and may already have amended your LTV%.

If your existing mortgage is currently 80K, it might be worth asking if they will waive the valuation?
 
But when my house type was fetching €250k they wanted me to get a valuation, as the previous one I had gotten for my house (at time of taking out mortgage) was €159,950.

They obviously knew that my house was worth more than twice my remaining amount, yet they still wanted a new valuation.

Don't see why they would waive it now when the prices have obviously dropped.

I will enquire with them and update here in case anyone else is interested.
 
You can ask one of the EAs on the banks panel to do the valuation, if it comes out lower than you had expected then you can ask them not to submit it to the bank and just forget about the whole thing. The EA will still need to be paid though. Usually about 130 for a valuation for bank purposes.
 
RMCF said:
They obviously knew that my house was worth more than twice my remaining amount, yet they still wanted a new valuation.
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Were you doing work to the house by any chance? It could be that they didn't have a comparable property.

It is more than likely that the lender will have amended their LTV ratios to reflect the current climate but if your LTV is ok, a lower valuation shouldn't have an adverse effect e.g. if you decide to switch lenders, the new lender will usually require a current valuation anyway.

Let us know how you get on.
 
No I wasn't getting any work done.

They just told me that my old valuation was out of date and a new one would be needed to avail of a reduction in my %rate.

I live in a 3 bed semi and they would have had an idea of what it was worth simply by the market at the time. All 3 bed semis within a 50mile radius were fetching similar money. A valuer would simply have come out, said it was worth that price, and take his €150 for his 10min work!!

I think I might still enquire next week with the bank if I would still qualify. Even if it was only €20 per month, it would pay for itself fairly quickly.

And I might even get the valuation cheaper - its not like the estate agents are doing anything else these days;)
 
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