Question re mortgage should say worry??

[eok56]

Got a mortgage of €150,000 (€112,000 for renovations the rest to consolidate loans) in August to renovate an old house that I inherited.

The house was valued at €150,000 prior to valuations, it was estimated that after renovations the house would be worth €250,000.

A condition of the mortgage was that €37,000 would be held back until a furthur valuation was done and the house had to be worth €200,000.

We are coming to the end of the first stage of renovations now and the valuation should be happening in the next few weeks.

Shouldn't need the full €37,000. I am estimating that I will need €20,000 of it to finish the house.

The thing that I am worried about is that the House won't be valued at €200,000 in this current climate??

And if it isn't will I not get the second draw down and then what do I do??? The house won't be finished and I won't have the money to do it?

 

[z104]

Give the valuer an "idea" of what you need the value to be at and I'd say there will be a good chance that he will value the house at that price.

 

[WaterSprite]

I got my house revalued in July to move to a better LTV rate with NIB. At the same time, I was considering selling so got two estate agent valuations as well as the bank one. The bank valuation came in substantially (to the tune of about 20%) more than either of the estate agents' valuations. Although things may have changed, it appeared to me that the bank valuers are a bit more generous with their valuations (probably because they don't actually have to shift the property!)