Understanding Mortgage Valuations - e.surv Chartered Surveyors

Home Buyers, Home Owners //

Understanding Mortgage Valuations

For those unfamiliar with the property buying and selling process, you may not fully understand what a mortgage valuation is and why it is so important. Take a look at our video.

For those unfamiliar with the property buying and selling process, you may not fully understand what a mortgage valuation is and why it is so important. Our new video Understanding Mortgage Valuations explains the mortgage valuation process from appointment through to the submission of the report, and answers some frequently asked questions.

You can watch the video below:

Most importantly, the video covers the definition of what a mortgage valuation is. A mortgage valuation provides information about a property so a mortgage lender can make an informed decision about whether the property is safe to lend on. At e.surv, we carry out mortgage valuations for the majority of UK mortgage lenders, offering valuations for a variety of purposes including mortgage applications, re-mortgages and equity release.

A key point that the video highlights is that a mortgage valuation is not the same thing as a property survey. A property survey is a much more detailed examination of a property’s condition for the benefit of home buyers and sellers, whereas the mortgage valuation is purely for the benefit of the mortgage lender.

We conduct both physical and remote mortgage valuations. It’s our industry-leading remote valuation solution that allowed us to keep the residential property market moving during the first and strictest lockdown period. 

Where a surveyor needs to do a physical inspection of the property, the appointment will take, on average, about half an hour and will involve the surveyor taking notes about the location and age of the property, as well the general condition and any environmental factors that might influence the property’s value. They will also compare the property to three or more similar properties in the local area to calculate the market value. Once the inspection is complete, the valuation report is usually sent to the lender on the same day.  The lender will then use the report to determine whether or not they are able to lend on the property. 

Once your mortgage application has been approved, it is advisable to invest in a survey of the property. If you’re unsure which survey is right for you, take a look at our Survey Comparison Guide.

You can also find a range of additional advice on our Advice Hub

If you have any questions about your mortgage application, please speak to your lender directly.