Accurate Property Valuations More Important Than Ever

Mon 04 Mar 2024

In recent times, the property market has observed a discernible rise in down-valuations, a development that has left both estate agents and mortgage brokers in a state of surprise. This trend, where properties are being valued by banks at figures lower than expected, often with scant justification, is becoming increasingly common, particularly impacting those with minimal deposits.

Laura Bairstow, the founder of The Mortgage Masters, has shared insights highlighting a significant surge in down-valuations, notably affecting borrowers with deposits as low as 5% or 10%. An instance was recounted where the disparity between the lender's valuation and the property's asking price was so stark that it compelled the borrower to seek an independent valuation, which notably aligned with the asking price, thus surpassing the lender's lower estimate.

Echoing this sentiment, Gareth Davies, director of South Coast Mortgage Brokers, described the current climate as "down valuation central," noting a marked increase in discrepancies between surveyors' valuations and actual market prices.

Instances were cited where properties were valued below their 2022 purchase prices, without any regional market evidence supporting such a downturn. The frustration of homeowners with surveyors who appear predisposed to undervalue properties was palpable, with one particular case highlighting a surveyor's dismissive attitude towards a high-quality detached four-bedroom home.

Housing market is highly competitive

The competitive nature of the current market, often leading to multiple offers and the solicitation of 'best and final offers', has seen buyers pushing their bids above asking prices to secure properties. This dynamic, however, has set the stage for an anticipated continuation of down-valuations in the absence of an increase in housing stock or a shift towards a more optimistic valuation approach.

At ADM Residential, we understand the complexities and challenges that down-valuations present to both sellers and buyers in Huddersfield. Our expertise and deep market knowledge position us uniquely to guide our clients through these uncertain times.

We offer tailored advice and strategies to mitigate the impact of down-valuations, ensuring that your property is presented in the best possible light to achieve a fair market valuation.

We help homeowners present their house in the right light

For homeowners looking to sell, our comprehensive valuation service takes into account the most current market trends and data, aiming to provide a realistic and competitive market price for your property. We also offer guidance on preparing your home for valuation, highlighting its unique features and potential to appeal to both surveyors and prospective buyers.

As the property landscape continues to evolve, partnering with a knowledgeable and experienced estate agent like ADM Residential is more crucial than ever. Our commitment to our clients' success and satisfaction drives us to navigate the challenges of down-valuations with expertise and dedication. Let us help you achieve the best possible outcome for your property sale in Huddersfield.

Contact ADM Residential to sell your Huddersfield home in 2024

Anyone who is keen to sell their home in Huddersfield should contact ADM Residential today. We are more than happy to provide you with a property valuation, which is the ideal starting point for anyone looking to enter the Huddersfield housing market with confidence.

This is a busy time of year in the local and national housing market, but we look forward to assisting you. Call on your leading Huddersfield estate agents today for help and guidance in the local market.