Overvaluation on property

D

Donegal75

Registered User
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i am buying my property for 150,000. The bank has made a mistake in the valuation and valued my property at 200,000. They have approved a morgage for this amount. I am getting a 100% morgage. Is it possible for me to get this morgage, as would be handy to furnish the place, or will the bank know when it does it's final survey.

Thanks in advance.
 
oh lordy don't buy furniture with it! Do you really want to be paying off that green leather couch and plaid carpeting for the next 25 years? If you change your decor as much as my wife you sure wouldnt.

Take the money though and stick in an invesment that earns more than the interest charged on it.
 
Donegal75 said:
i am buying my property for 150,000. The bank has made a mistake in the valuation and valued my property at 200,000. They have approved a morgage for this amount. I am getting a 100% morgage. Is it possible for me to get this morgage, as would be handy to furnish the place, or will the bank know when it does it's final survey.

Thanks in advance.
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The bank will find out and you will not be too popular. Your solicitor will not allow it either.
 
why would you effectively want to start off in negative equity territory?
 
No you can't.... in a 100% mortgage you get to borrow the lower of the valuation or what you paid....

eh.

you pay 300k house valued at 200k ... you can borrow 200k

you pay 100k house valued at 200k.... you can borrow 100k
 
Thanks for the advice guys. I will just tell my bank. I have not met with my solicitor yet, so he would not let me take that extra money reading the above post. What about the tales that you hear of people getting extra money and buying new cars etc., How do they manage it? or is it just an urban myth?
 
Donegal75 said:
What about the tales that you hear of people getting extra money and buying new cars etc., How do they manage it? or is it just an urban myth?
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You can remortgage to release equity in your home-but you cannot borrow more than 100% of the valuation.
 
You were correct on this. I knew it was too good to be true and i was told it would be fraudulent on my part. Thanks for all the advise!
 
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