Finding The Best Mortgage Deal After Being Declined On Valuation
The valuation stage is a crucial part of the mortgage process, helping the lender check if the property is valued correctly and understand any structural and build issues that may trouble your affordability down the line. If your mortgage has been declined at this stage, you’ll no doubt be feeling upset and worried that the home you have your heart set on is slipping through your fingers. Our expert mortgage advisors are here to help you figure out what to do next, exploring your grounds for appeal, your ability to renegotiate, and helping you approach other lenders if necessary. Our mission is to help you overcome any obstacle, and move into your new home as quickly as possible.
Why has my mortgage been declined after valuation?
There are 3 main reasons why a mortgage might be declined after valuation. The first is all about value; the surveyor has determined that the property isn’t worth what you’ve agreed to pay. Another reason might be that the valuation has revealed serious issues with the property that will be costly to put right – impacting your affordability and potentially making you now fall outside the lending criteria. Issues to do with cladding, damp, asbestos, Japanese knotweed and structure are often considered deal-breakers and can result in automatic rejections. The final reason mortgages can be declined on valuation is if the property is discovered to be a non-standard construction. Non-standard constructions could include thatch, steel or timber frames, single brick houses, or high rise buildings.
Whatever the reason for your mortgage refusal, our expert advisors are here to provide specialist guidance. There are lenders out there who will consider providing mortgages on properties with so-called ‘deal-breaker’ issues and non-standard constructions. If obstacles can’t be overcome with your current lender, we’ll scour the market for a better fit, and support your through the reapplication process – just get in touch!
Why is my lender is refusing to give me a copy of my valuation report?
Whilst it can be frustrating, lenders are not obligated to provide you with a copy of their report as it is for mortgage purposes only – even though you are probably the one paying for it! If you would like to understand the risks and value associated with your future property, it is important to enlist the services of an independent RICS surveyor yourself. Some lenders offer free basic valuations which don’t include a free copy of the report to keep costs down. Other lenders offer home buyer surveys which are paid for by you and can provide a deeper understanding of the property than you did during your viewings.
Maximise your chance of approval with specialist advice from an expert in Mortgage Declined on Valuation
Why has the property I am purchasing been down valued?
This is a common scenario – particularly following periods of high property demand such as the COVID-19 pandemic. When looking to purchase a home with an inflated price, you may find that your future property is down valued after valuation. This essentially means the lender does not believe the price you are paying is reflective of the property’s true value and is no longer valid security for the amount you wish to borrow.
When it comes to the next steps, there are various options open to you. You could pay the difference or consider renegotiating with the seller. If this isn’t possible, you could appeal the survey, renegotiate with the lender, or look to increase your deposit.
Why has the mortgage valuation told me the property is unsuitable?
Properties classed as having a ‘non-standard’ construction can often be deemed unsuitable at valuation stage. For some lenders, non-standard constructions fall outside their criteria and may result in a declined application. Luckily, there are plenty of mortgage lenders out there who will consider buildings of this type – the trick is to find out who they are! Our expert mortgage advisors can help you approach the right lenders, rather than reapplying multiple times – something that may harm your credit score.
Mortgage declined after valuation FAQs.
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Mortgage declined after valuation? Our expert advisors are here to help.
Believing yourself to be on your way to homeownership, only to have your mortgage declined at valuation stage is disheartening. The important thing to remember is that no from this lender, doesn’t mean no from every lender. It may still be possible for you to achieve the finance you need to buy your home. Our team of passionate and friendly advisors are here to help support your journey, whatever has happened to disrupt the process. Working closely with you, we’ll determine the options you have for appeal or renegotiation, and provide plenty of helpful tools, tricks and insights into the world of mortgages. With us, you can feel confident that you’ll put your best foot forward – whether that’s resolving things with your current lender or moving on to a better fit.
Finding your next steps.
A stumble on the road to homeowning bliss is something many of us have to face. The good news is that a mortgage declined at valuation stage isn’t the end of your journey, and you can still achieve mortgage success in the future. Our friendly advisors are here for you, ready to act quickly to make sure you don’t lose your future home. We’ll assess your situation in detail and help you work out the best thing to do. Whether it comes down to approaching a new lender, increasing your deposit, or renegotiating, we’ll guide you through the process. For us, no doesn’t mean never; we’re confident there’s a yes out there for everyone.
