All Topics / Finance / Bank Valuations

Viewing 20 posts - 1 through 20 (of 21 total)
  • Profile photo of SebastianSebastian
    Member
    @sebastian
    Join Date: 2003
    Post Count: 55

    Hi ppl,

    Has anyone had success in getting a copy of the bank valuation?

    If so, which bank? What did you go through to get the written valuation?

    Reason I ask is because I understand it is v.difficult to get one… but is possible!!

    Thanks

    Sebastian

    Profile photo of TerrywTerryw
    Participant
    @terryw
    Join Date: 2001
    Post Count: 16,213

    They don’t usually give them out. I know of one bank that gives them to the broker, and that is ANZ. Other smaller lenders can also be talked into give you access too.

    Terryw
    Discover Home Loans
    North Sydney
    [email protected]

    Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
    http://www.Structuring.com.au
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au

    Profile photo of PursefattenerPursefattener
    Member
    @pursefattener
    Join Date: 2004
    Post Count: 217

    My banker at the CBA gives me a copy of the valuation that the valuer has prepared and makes no bones about it.

    I rang him and discussed what I wanted . The valuation was completed and I have my loan and a copy of the valuation.

    I just retrieved it from my filing cabinet for another look.

    Pursefattener

    Profile photo of GeronimoGeronimo
    Member
    @geronimo
    Join Date: 2002
    Post Count: 167
    Originally posted by Pursefattener:

    My banker at the CBA gives me a copy of the valuation that the valuer has prepared and makes no bones about it.

    Pursefattener

    Hi Pursefattener

    You are extremely fortunate to have a CBA banker like that. I suggest when he moves, you move with him.

    We always have our valuations available to our clients. Even though we’re employing the valuer, the client is paying for the val so we believe it’s theirs. As we’re showing them how to achieve a maximised val, everything is above board.

    The big banks not making the vals available to their clients is appalling. And it smacks of dishonesty when a val comes in under purchase price and the bank ‘keeps quiet’ about it and allows the client to purchase the property anyway.

    I have even had a circumstance when a valuer was instructed by the CBA to give a really low val(less than what I payed for it), after I released a security when 2 properties were cross-collateralised. And this was when the suburb had 60% the previous year!

    Needless to say I refinanced. As you can tell the CBA is not one of my favourite!

    Brendon


    Acute Mortgage Reductions
    http://www.acutemr.com.au
    [email protected]

    Profile photo of 1HotValuer1HotValuer
    Participant
    @1hotvaluer
    Join Date: 2004
    Post Count: 73

    The reason why you don’t get a copy of the valuation is because although the loan is for you, the valuation is for the bank. To have a copy of your valuation is of no benefit to you except for the fact that you will have a copy at your perusal. You can’t take the valuation to another bank and use it either.
    I get asked for copies of valuations all the time. It is illegal for me to provide it to the borrower. It seems unfair because you are paying for it ultimately, but it’s the bank who pays us to carry them out (using your funds). Plus it is actually illegal for the bank or any lender to give out copies of the valuation to anyone not named as a party to it on the valuation.
    I had one borrower pull out a valuation from a previous bank and although it was handy for me to note down title details from it, the valuation itself was dodgy and my valuation came in nowhere near the previous value. It is no wonder, the bank smelled a rat and had a professional experienced Valuer as myself do the valuation.
    [strum]

    Profile photo of GeronimoGeronimo
    Member
    @geronimo
    Join Date: 2002
    Post Count: 167

    Hi 1Hot

    I think the question was though, about the bank disclosing the valuation to their client, not the client getting a copy from the valuer.

    If the bank was open and honest through the whole process, and wasn’t ‘influencing’ the valuation in conservative manner(especially when refinancing) they would have no trouble showing the valuation to the client.

    You are correct though in saying that it’s the bank employing the valuer, not the client, and therefore the valuer has no obligation to the client.

    You can let us know, are there valuers out there who deliberatly value properties conservatively and hence get more repeat business from the banks?

    Brendon


    Acute Mortgage Reductions
    http://www.acutemr.com.au
    [email protected]

    Profile photo of 1HotValuer1HotValuer
    Participant
    @1hotvaluer
    Join Date: 2004
    Post Count: 73

    As I said, the bank is unable to provide the valuation to the client and no we don’t value properties conservatively to get repeat business. That would be a sure way to lose business from a bank. Experienced Valuers like myself (15 years) are right on the money ![wink]

    Profile photo of brahmsbrahms
    Participant
    @brahms
    Join Date: 2004
    Post Count: 485

    Well said 1hotvaluer – as a broker I can fully support your statements – I’ve never seen a val come up short for any reason other than unrealistic owner expectations.

    And remember, none of us earn a cracker without settlements (by none of us I mean brokers, AND the lender)

    cheers

    brahms

    If you don’t ask, the answer is no!!

    Profile photo of Mobile MortgageMobile Mortgage
    Member
    @mobile-mortgage
    Join Date: 2003
    Post Count: 913
    Originally posted by The Mortgage Adviser:

    Does anyone really care about the piece of paper that states one person’s opinion of price on it???

    I have had valuations come up short and, instead of the client having to come up with more funds, I picked up the phone and discussed it with the valuer. I mentioned a few comparable sales that I had discussed with the client and the valuer increased the valuation.

    Rob

    Rob, in answer to your question,
    I would hazard a guess that people do care about that piece of paper with one person’s opinion,
    Especially when that person is a valuer, and it directly effects how much they can borrow,

    Are you also suggesting that some valuers do not look at comparable sales, unless prompted by a mortgage broker?

    Regards
    Steven
    Mortgage Broker

    [email protected]
    http://www.mobilemortgagemarket.com.au
    Ph:1800 820 500
    Victoria

    PLEASE note comments made should NOT be taken as specific taxation, financial, legal or investment advice. Please seek professional, specific advice.

    Profile photo of LizzyLizzy
    Member
    @lizzy
    Join Date: 2004
    Post Count: 230

    I agree, for your average investor your at the mercy of the bank valuer’s valuation.

    I will make a point here that I think is worthwhile for people to know, when I worked at the CBA, we were not allowed to disclose what the valuation was…. HOWEVER I was able to tell my client what 80% of the valuation was… and let them do the maths, this way they knew how much they could borrow before going into Mortgage Insured loans.

    Theres a vast difference between lenders as to the process for questioning valuations, sometimes its so easy to get a better valuation by talking to the valuer straight, sometimes its a complete pain in the… but if the buyer really believes it is low, where there is a will there is a way.

    Liz Wilson

    Mortgage Lender

    Profile photo of MillyMilly
    Member
    @milly
    Join Date: 2004
    Post Count: 288

    You would have to be dead not to be curious to know the results of your house valuation.

    Why all the secrecy surrounding the valuation? It is soooo non-negotiable! The bank says ‘no’ to your application and you have no come back. ‘how much did i miss out on?’ ‘$200?’ And why only one valuation? I want three quotes please

    Profile photo of brahmsbrahms
    Participant
    @brahms
    Join Date: 2004
    Post Count: 485

    Hi Rob – The Mortgage Adviser – plus forum readers

    i think any valuer worth his PI insurance will have Cadet Valuers working in the office collating recent sales, confirming settlements and maintaining their own database of recent sales (every time they do a val, it stays on their system, so the next time they are in that street, even if it isn’t posted on rpdata or residex yet – they will have the sale).

    therefore, good valuers will have more up to date info than most customers (who are often armed to the teeth with listed prices from r/e windows and the local r/e section from the newspaper – which as we know has no relevance to settled sale prices.

    valuers work specific patches, they become absolute experts in their geographic areas. for the miserable fee they are paid per job, you are getting a lot of experience.

    i remember a geezer i worked with who was constantly harranging the valuers, barely a week passed with out some ‘issue’ – at the same time I was being invited to the footy with the same guys and my vals were getting on just fine thank you very much…[snitch]

    back to topic, fully support the valuers, they aren’t out there looking for ways not to come up with the best figure – the good ones do all that is possible to make stuff happen.

    after all, they don’t want the grief of every bank lending officer and every broker on the phone telling them precisely which way is the preferred way to suck eggs.

    oh, and for the original post – just ask your broker to find out the figure, i’ve never had a lender not tell me that – even if you do have to do the reverse math with cba (tks earlier post)

    cheers

    brahms

    If you don’t ask, the answer is no!!

    Profile photo of AdministratorAdministrator
    Keymaster
    @piadmin
    Join Date: 2013
    Post Count: 3,225

    >>Well said 1hotvaluer – as a broker I can fully support your statements – I’ve never seen a val come up short for any reason other than unrealistic owner expectations.<<

    That is absolute nonsense of course.

    Firstly, a valuer values on the basis of his instructions from the lender. So, yes, a valuation CAN come up shorter than expected but not necessarily because of unrealistc expectations by the owner.

    Secondly, valuers are human and do make mistakes or they may simply have been unable to obtain up to date relevant sales comparisons.

    You will find that if a valuation is well below what it should be, one CAN (via the broker or the lender) gently ask the valuer to look at his work again and quite likely (if you are right) he will make an adjustment.

    If the valuation is of such vital importance to
    you the best way is to meet the valuer when he makes the inspection and present him with a list of comparable sales.

    As has been mentioned before, Council’s records
    are as much as two months behind in time so you putting a bit of footwork into it by doing the rounds of the agents in your areas to obtain details of recent sales will go a long way to make you a happy borrower.

    Pisces

    Profile photo of GeronimoGeronimo
    Member
    @geronimo
    Join Date: 2002
    Post Count: 167

    I totally agree Pisces.

    Up here in Brisbane a certain Valuation firm is used by the CBA on most refinances I see, and the majority of the time it a extremely conservative val.

    I have been on the recieving end of one from this firm, and that fact that the CBA is using them more and more would suggest that thay are being instructed to value down.

    The fact too that this particular firm is reluctant to meet the client onsite, or discuss any relevant past sales records with the client makes it painfully obvious.

    Simple solution though, just refinance away to more sympathetic lender who uses true valuations for lending purposes.

    Brendon


    Acute Mortgage Reductions
    http://www.acutemr.com.au
    [email protected]

    Profile photo of GeronimoGeronimo
    Member
    @geronimo
    Join Date: 2002
    Post Count: 167

    Thanks Rob

    But I’m not talking about units(I wouldn’t buy one). We’re talking a house on a decent size block of land in a high capital growth area. And this was in the middle of the boom last year.

    The valuer in question for CBA actually valued it below what I payed for it months earlier in a suburb that had 60% capital growth last year! And I gave him at least 10 comparables for 30k higher. They did it the day before settlement too so that I didn’t have time to organise another val.

    There isn’t an explanation really other than that the CBA instructed the valuer to value down as they were p…d off that I sold another place 2 weeks after purchasing that was cross-collaterised with the property in question.

    Those who have been through this know what I’m talking about.Nevertheless I can’t complain because it was a great learning experience.

    Brendon


    Acute Mortgage Reductions
    http://www.acutemr.com.au
    [email protected]

    Profile photo of MillyMilly
    Member
    @milly
    Join Date: 2004
    Post Count: 288

    Sorry Rob
    I think you are quite right that people dont care about the details of the valuation of a property they are buying just so long as finance is approved.

    It was the wee hours when i was responding and I was just thinking of the occassions when my PPOR was valued. I was using hte equity to purchase IPs and I really would have liked to know how close my own estimate was compared to a professional valuer.

    cheers
    Milly

    Profile photo of GeronimoGeronimo
    Member
    @geronimo
    Join Date: 2002
    Post Count: 167
    Originally posted by The Mortgage Adviser:

    Brendon,

    That sux!

    Why did they only do the val the day before settlement?

    With your comparables, did they eventually budge on the val?

    Rob

    No idea, I assumed they would use the same val they used for the purchase a month earlier(or did they even do a val but just charge me for it?)

    Valuation firm wouldn’t even return my call after settlement, so I think I would have first hand experience or poor, conservative vals. At the same time though to be balanced I have been able to get some great up-to-the-minute vals from more amiable valuers who were willing to take all info on board.

    Just depends on who you get, still not a big fan of the CBA these days though!

    Brendon


    Acute Mortgage Reductions
    http://www.acutemr.com.au
    [email protected]

    Profile photo of Misty1Misty1
    Member
    @misty1
    Join Date: 2004
    Post Count: 348

    Well,i have had some “interesting” experiences with valuers that i could share:
    A)One such Melb based co. sent out a guy that was just purely RUDE,for absolutly no reason.(Maybe he just had a bad day??)But,my instincts told me i was in trouble.Yep,val came in way under.Luckily i was using a savvy broker,who disputed it.No luck,so i switched banks,then no prob’s.
    B)Another incident was a valuer increasing val,on the spot,after hearing of local real estate guy’s apprasal
    c)Another val coming in WAY under local agents apprasal (yes,i know bank’s val’s are always lower,but not by this much: R/E val: 390-410, bank’s: 340!)
    D)Another time i was charged for a val that wasn’t even done! & the only reason i knew was b/c broker told me it came in at X,which was the same as previous val (12mnths earlier),yet still tried to charge me $135!
    E)I used to have a bank manager that just happened to need to go to the loo when the val’s were on his desk….[thumbsupanim]
    So,i’m just learning it’s all a big game,& if u play by certain rules,u’ll get certain results!& i’m still learning![specs] Hope this helps.

    Profile photo of 1HotValuer1HotValuer
    Participant
    @1hotvaluer
    Join Date: 2004
    Post Count: 73

    True confessions of a Valuer: I constantly find my self sucked in when I hear peoples life stories and although I try hard to distance myself from life and my profession, I sometimes give people more for their valuations when I feel sorry for them. I need help.Ha ha ha.

    Profile photo of GeronimoGeronimo
    Member
    @geronimo
    Join Date: 2002
    Post Count: 167
    Originally posted by 1HotValuer:

    True confessions of a Valuer: I constantly find my self sucked in when I hear peoples life stories and although I try hard to distance myself from life and my profession, I sometimes give people more for their valuations when I feel sorry for them. I need help.Ha ha ha.

    Ah yes, valuers are human too! What is your no. 1HOt, I need some new vals done, and I’ve got some sad stories to tell???

    Just kidding!

    Brendon


    Acute Mortgage Reductions
    http://www.acutemr.com.au
    [email protected]

Viewing 20 posts - 1 through 20 (of 21 total)

You must be logged in to reply to this topic. If you don't have an account, you can register here.