Mortgage - Land Valuation

[soapstar]

Hello Folks,

 

So we are about to start the mortgage application process in the next couple of weeks. Bit worried about this part given it is the most important aspect of the whole project but we have been told we 'should' be able to lend what we need...fingers crossed everything goes to plan!

 

In regards to the application the lender will carry out a valuation on the land (we already own). I wanted to ask if there was any advice in regards to the condition of the land to get a fair valuation. For example should we be clearing the land in question before the valuation? We have some building materials lying in corners (pallets, slabs, bricks etc) - would this effect the valuation? We also have some neighbouring trees running down one side of the plot (owned by the neighbour), should we be cutting back the overhang? I am probably being too picky but I really want to avoid anything which would compromise the valuation!

 

Thanks!

Edited October 21, 2019 by soapstar

[Mr Punter]

I can't see why these things would have any bearing on valuation.  More relevant would be quotes / plans for utility connections, surveys, contamination assessments etc.

[soapstar]

12 minutes ago, Mr Punter said:

I can't see why these things would have any bearing on valuation.  More relevant would be quotes / plans for utility connections, surveys, contamination assessments etc.

Thanks @Mr Punter We actually already have our water and electric connection in and ready to go, I assume this would increase the valuation quite a bit then?

[Jeremy Harris]

We had our plot valued at the end of the initial ground works stage, so the plot was cleared and levelled, the big retaining wall was in and there was a rough access track.  There were no services in at all at that stage, although the sewage treatment plant had been installed, but not commissioned.  It didn't seem to make any difference at all to the valuation as far as I could tell.

[Mr Punter]

I doubt it will increase the valuation much but it will give them confidence that there are not abnormal or unknown costs for these.

[soapstar]

Thanks @JSHarris @Mr Punter for the advice. Out of interest how far in to the mortgage application did your lender carry out the valuation? 

 

[Jeremy Harris]

5 minutes ago, soapstar said:

Thanks @JSHarris @Mr Punter for the advice. Out of interest how far in to the mortgage application did your lender carry out the valuation? 

 

 

 

Looks like the valuer came out two weeks after the date of the application and payment of the fee, although there was some additional correspondence between those dates, relating to requests for proof of income, etc, so I'm not 100% sure when it was triggered.