Sellers in Wales are likely to be hit hardest by a down valuation in the current market, with the average home being down valued by £8,149, research from Open Property Group has revealed
Open Property Group analysed the estimated percentage of down valuations across each region of Britain in line with current market values.
The analysis found that across Britain, the average property subject to a down valuation was revalued by 2.8%, equating to £7,290 on the current average house price.
However, Welsh sellers were hit hardest, with the average down valuation resulting in a reduction of £8,149 in value.
In the current market, down valuations came in above the £8,000 threshold in the West Midlands (£8,143), the South West (£8,075), Scotland (£8,035) and the North West (£8,017).
Despite being home to the largest percentage down valuation at 4.8%, sellers in the North East saw the smallest monetary reduction in the value of their home during the surveying process, at £7,498.
Jason Harris-Cohen, CEO of Open Property Group, said: “Down valuations are an unfortunate part of the home selling process and they seem to be rearing their head once again, with lenders keen to safeguard themselves in what continues to be a tricky environment with respect to the cost of borrowing.
“As a seller, it can be extremely frustrating when a lender doesn’t see eye to eye with you, especially after you’ve already gone through the lengthy process of securing a professional valuation from an agent and have accepted an offer from a buyer.”
He added: “Unfortunately, there’s not a great deal that can be done other than taking the hit, or repeating the process of finding another buyer, which can drag on for weeks on end, particularly in current market conditions.
“It’s a common story we see with many sellers opting to use our quick sale service and in doing so, we allow them to bypass the delays, stress time and effort associated with a down valuation, providing them with a concrete selling timeline so they can focus on their onward purchase.”
