Browse Forums Home Finance Re: First home buyer: expecting low valuation 4Jun 16, 2014 1:27 am Recently moved to a 60's home in need of some improvement! http://s797.photobucket.com/user/leenii ... ch%20House Old house: http://s797.photobucket.com/albums/yy25 ... loo/House/ Re: First home buyer: expecting low valuation 8Jun 23, 2014 11:34 am The main reason that valuations come in low is that the valuer did not find any comparable sales to support the value that you estimated. However there could be other reasons. Some banks allow you to see a copy of the report which can help you to work out why you didn’t get the value that you expected. Don’t just put in another loan application! You’ll damage your credit score by having too many enquiries on your credit file. Some banks allow you to order a free valuation up front before submitting a loan application. When you apply for a loan, the lender will need a copy of the building contract/tender and the plans. They will ask their valuer to estimate the on completion value of the property and will assess your loan on the lesser of the land price plus cost of construction or the on completion value. Once your loan has been approved, the lender will issue a loan offer for you to sign and return, just like with any other home loan. When your builder is ready to begin receiving payments from the bank he will need to provide additional documents, such as the final council approved plans, his insurance & drawdown schedule. How do you request that the bank pay your builder directly? *The builder will send you an invoice. *You will then complete and sign a drawdown request form (available from your lender). *Send the drawdown request form and the invoice to the construction department of your lender. *The lender may require a valuation to confirm the work that has been completed so far. *The funds will be advanced to your builder generally within five working days. *Repeat this process for each progress payment required by the builder. Not much in this responce. My suggestion is, what are you looking to build and why. This will all be impacted by the local councils planning scheme. Familiarise yourself… 6 5862 4 6201 If you can calculate the reasonable charged head from let's say 100mm below the gutter to the top of where the vertical riser's horizontal discharge pipe will be, that… 11 17530 |