"House Buying Left Hanging as Surveyors Down Value Homes by Up to 10%"
A surge in property down valuations has left would-be homeowners reeling, with some properties seeing their value slashed by as much as 10% or more. The trend is attributed to a growing sense of uncertainty among surveyors, who are taking a cautious approach to valuing homes.
According to mortgage brokers, the impact of these down valuations can be devastating, turning deals upside down and leaving buyers facing financial ruin. Jonathan Alvarez Herrera, broker at Ayla Mortgages, has seen a "definite uptick" in down valuations in recent months, with properties in hotspots like London and the south-east being particularly affected.
"This is simply due to the fact that properties have a higher value," Alvarez said. However, this increased caution has resulted in many homes seeing their value reduced by 10% or more. For instance, a property was recently down valued from £3.1m to £3m, leaving its buyer with little choice but to abandon the purchase.
Experts believe that uncertainty around the government's budget is fueling this trend. Patricia McGirr, of Repossession Rescue, notes that "valuations have become a postcode lottery," with even the same surveyors cutting values within months. This has caused chaos and stress for sellers, developers, and others in the industry.
While some down valuations are relatively modest, ranging from 2% to 5% below market value, others can be much more extreme. Vijay Rabadiya, broker at The Mortgage Vine, reports that new-build flats, unique properties, and homes in slower markets tend to attract the most scrutiny.
The Royal Institution of Chartered Surveyors (Rics) clarifies that what appears to be a "down valuation" is actually the difference between an individual's perceived value and market value. This distinction is crucial, as surveyors are typically working on behalf of lenders rather than buyers.
As the situation continues to unfold, would-be homeowners are left navigating a complex web of uncertainty, with down valuations threatening to derail even the most promising deals.
A surge in property down valuations has left would-be homeowners reeling, with some properties seeing their value slashed by as much as 10% or more. The trend is attributed to a growing sense of uncertainty among surveyors, who are taking a cautious approach to valuing homes.
According to mortgage brokers, the impact of these down valuations can be devastating, turning deals upside down and leaving buyers facing financial ruin. Jonathan Alvarez Herrera, broker at Ayla Mortgages, has seen a "definite uptick" in down valuations in recent months, with properties in hotspots like London and the south-east being particularly affected.
"This is simply due to the fact that properties have a higher value," Alvarez said. However, this increased caution has resulted in many homes seeing their value reduced by 10% or more. For instance, a property was recently down valued from £3.1m to £3m, leaving its buyer with little choice but to abandon the purchase.
Experts believe that uncertainty around the government's budget is fueling this trend. Patricia McGirr, of Repossession Rescue, notes that "valuations have become a postcode lottery," with even the same surveyors cutting values within months. This has caused chaos and stress for sellers, developers, and others in the industry.
While some down valuations are relatively modest, ranging from 2% to 5% below market value, others can be much more extreme. Vijay Rabadiya, broker at The Mortgage Vine, reports that new-build flats, unique properties, and homes in slower markets tend to attract the most scrutiny.
The Royal Institution of Chartered Surveyors (Rics) clarifies that what appears to be a "down valuation" is actually the difference between an individual's perceived value and market value. This distinction is crucial, as surveyors are typically working on behalf of lenders rather than buyers.
As the situation continues to unfold, would-be homeowners are left navigating a complex web of uncertainty, with down valuations threatening to derail even the most promising deals.
this news is just crazy! I mean, who wants to buy a house only to have it worth less than they thought? It's like, what's next? The value of your coffee shop closing down too 
. Seriously though, 10% or more off the value? That's insane! And now would-be homeowners are getting screwed because of surveyors being all cautious and stuff. I just hope someone figures out a way to make this process less stressful for everyone involved 
And I can see why surveyors are being all cautious – they're basically trying to play it safe because of all this uncertainty about the government's budget.
. And it's not like these down valuations are always extreme – I mean, some of them are only 2-5% below market value, which is still a bit of a blow.
Like, I've got friends who were just about to buy some sick properties in London and then... BAM! Down valuation hits them hard 
. It's like, the surveyors are being all cautious and stuff, which is understandable, but it's causing chaos for buyers 
. Like, I'd rather have a slight under estimate than have my dream home pulled out from under me 
. And what's up with the postcode lottery vibe? 
It's like, one day you're golden, the next you're not even close to market value 
.
. #PropertyMarketMystery #DownValuationsAreNoFun #HelpMeBuyMyDreamHome 
. Get me something concrete or get out of my mentions 
.
It's like they're putting a damper on people wanting to buy homes, and it's causing a lot of stress. 
And what's with this postcode lottery thing - it's just not fair that some people are getting hit with massive down valuations while others are still getting reasonable values. 
. but what if that dream gets crushed by some number on a piece of paper? 10% is huge, like almost 1 whole year's worth of rent or something... it makes you wonder what other values are just hanging out there, waiting to be knocked down. and for what? because some surveyor got cold feet? 