I ordered the valuation. After seeing comps and getting agent valuations in the area, I thought it wise to confirm those with a SW. Thought if I had this, it would add to the evidence I plan to present at the time of settlement. However, the SW was not from the bank’s valuer.
from my 1 experience with OTP,
if you sign the contract before 12months of completion the bank will hardly consider any market growth for the 12 month period as the bank know’s the developer figures in some of next years growth also into the cost,
I had my OTP valued by a company that is on the banks panel of valuers hoping they would accept it,no chance they took contract value.
A friend in the same developement had is contract written up,so his 80% loan was the total costing,,didn’t work the bank valued less than contract and used that,my friend lost out and lost his 30k deposit,wrecked his life.
I think it’s a sales pitch getting it valued higher than contract,,,,oh and by the way there’s lots of mortgage brokers that will tell you they can get the SW val through,,,thats another head getter they all came back to me with “contract val”.
Have fun i’m hoping to play with OTP’s more in the next leg up.
It is standard practice for the mortgage insurers and the banks to use valuation where the contract is over 12 months. If there is no LMI involved, the banks ‘may’ consider lending on val if it is nearly 12 months.
A lot of people are now finding that there has been no growth at all in the last 2 years for off the plan properties.