Banks' valuation well below sale price???

Hi All,
We have been bidding on a house for over a month which started with a guide-price of 320K, Our final bid was accepted in the region on 350K, sale agreed... Structural survey completed without any problems, Mortgage approved pending banks valuation... Called today from the bank and the valuer stating that the house was valued at nearly 30K UNDER what we had bid??? Now this absolutely puzzles me as we have been looking at houses for the last 3 months in the same area and this house was head and shoulders above anything else we had viewed and was within the same price bracket, Location is excellent and also condition of the house excellent.
The valuers' reasons were that parking was an issue (the house is on street with no parking directly outside, but parking available accross the road)
The bank were shocked at the valuation report (but obviously they are going to go along with it) the estate agent is livid, we are livid and disappointed!
We are looking into applying with a different financier, hoping that a second opinion will be in our favor...
Has anyone else come accross such a situation? Any advice?
<<Sorry about the long post btw!>>

the estate agent is livid

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I don't know about the house you're interested in but perhaps the estate agent is livid because he's been found out. He's talked all the bids up and gotten a fantastic price from his client - the vendor. The estate agent is not your friend!

oh I know the only reason this guy is livid is because all he sees is his commission floating up the swanny...

I got my house valued for a remortgage. Six months later I got it valued again by an estate agent looking to sell. There was €100k in the difference! (€280k Vs €380k) Someone has to be wrong! - can't imagine house prices went up that much. Then again, it was in Dublin

Generally the agent has a really good idea of the price before they see the house, there used to be a website that I came across on AAM which I think loads of agents used to populate with previous sales prices.

This meant that before they even drive onto the road they have a good idea and then add on a bit for new kitchen / conservatory and take off a bit for poor condition etc.

I was remortgaging about 5-6 years ago and needed the valuation in a hurry on a 2nd hand house. The agent (a "very reputable" one in Dublin) didn't even see the house and I told him how much it was worth (and it was accurate!) and gave him fifty quid and he filled in the form for the lending institution - no problem.

On this particular house Doubledrat - why not ask the vendor to allow you to get a second valuation and if that comes in c.350k you may proceed but they pick up the cost of the valuation (about €125 which is pittence). Obviously you would need to pick the valuer to make sure they are representing yours interests.

Roy

Roy

onekeano said:

On this particular house Doubledrat - why not ask the vendor to allow you to get a second valuation and if that comes in c.350k you may proceed but they pick up the cost of the valuation (about €125 which is pittence). Obviously you would need to pick the valuer to make sure they are representing yours interests.

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Isn't the point though that the bank have a problem with the valuation? You would need to make sure the bank are happy with any second valuer and are willing to reconsider based on his valuation.