New build valuation

Hi All,

I am wondering if anyone has any experience in relation to a new build, in Late 2021 the property was half built and the estimated value at construction was €400K.

we are now in the process of getting a new valuation done as the house is complete, is there a possibility that the value will have increased and thus get a lower LTV rate or is it likely that it will remain at the €400K.

Similarly, if in 3 months time I request a new valuation (Assuming house prices don't reduce) will the new valuation still be based upon the sale price as using comparables or will the market trend since agreeing purchase price enable a higher valuation ?

I appreciate that valuations are subjective and there is an element of crystal ball territory here but any insight is welcome.

Thank,

DZ

A valuation for what purpose?

Hi JPD,

I should have specified, for the mortgage, the original valuation carried out in late 2021 is now out of date.

at that time the value was €400K (Same as purchase price)

Thanks,

DZ

How much are you borrowing? As LTV will be calculated off this, what are the LTV bands the bank has, as that will tell you what value has to increase by to move to lower band.

@Dangerzone Some lenders have really wide LTV brackets (AIB), or no LTV brakets at all (Haven Mortgages). And I presume your new build will have a Building Energy Rating (BER) of B3 or better? If so, you will be eligible for any "green" mortgage rates offered by lenders. Haven's 2.0% green rate (regardless of LTV) could be a good choice for you.