Property Down Valued

In a recent survey by Bankrate UK, a mortgage comparison service, questioned buyers about their prospective purchases in the last 6 months in the UK.

46% revealed they had their prospective property down valued by their lender.

Homes valued between £400k and £500k were subject to the most de-valuations.

Buyers in Wales had the highest chance of down valuations with 63% of properties down valued.

Around a third of first time buyes were told by lenders that their chosen property was £20k to £30k less than the agreed sales price.

The survey was of 1,000 buyers in the UK carried out between October 2 and October 7, and follows a survey by the Bank of England last week which warned that mortgage lending may become stricter in the coming months as lenders are wary of wider economic problems caused by the pandemic.