Auctioneer a cowboy?

SortingYouOut

We're currently trying to sell our house and have had it valued by one auctioneer (known to a family member) for 300k.

As we're currently dealing with the banks to have it sold to cover arrears on a mortgage, we were advised to have it valued by more than one auctioneer. This second guy, who I think is trying to make a quick bit of cash, said he'd get over 400k for the house and even had three people view it, all of which said it was valued too high.

Now he wants to place the house on the market and has been pushing us to have it energy assessed as soon as possible and placed online, all of which incur an upfront fee. I'm sceptical because three viewers have had no interest and seem to think it's overvalued, which it probably has been.

Are we leading ourselves into a hole here? We need to get a minimum for this house in order to cover the mortgage and I feel like the auctioneer is using this to his advantage.

Any advice is greatly appreciated as we have no experience with the likes of this as the house was handed down.

davo10

Why not give it to the auctioneer who valued it at €300k if you feel the second guy overvalued it at €400k. Or even better, instruct him to put it on the market at the minimum value you would accept? You are the seller, you decide what to advertise it at.

I'm not sure why you call him a cowboy if he is trying to get the highest price for you. His commission is about 1% of the sale, the rest goes to you/the bank.

denismc

The bank has will have its own list of auctioneers. I am surprised they haven't insisted on you using one of these.
You're less likely to get a bull**** valuation using one of the banks valuers.

davo10

denismc wrote: »

The bank has will have its own list of auctioneers. I am surprised they haven't insisted on you using one of these.
You're less likely to get a bull**** valuation using one of the banks valuers.

Actually there is a possibility you will. The bank wants only what they are owed back, that is why property being sold by the banks are sold at a significant discount. I bought a property from a bank that was advertised at a fifth of what the owner paid for it. Effectively that means that the op could lose if it is sold below what it is worth. If the op doesn't sell it, the bank eventually will.

arctictree

A common tactic used by EAs is to over value a house so they get the gig. Then after a while of no offers you inevitably get the phone call where they advise to drop the price or to accept a low ball offer. Either way they still get their commission.

spaceHopper

Do your own home work, check the property price register see what a similar houses sold for, similar condition. Use the CSO property price index to adjust the value to "today's" value and knock 10% off that would be a close enough figure.

Then get an independent valuer who is not an EA to give you a vaulation, your figure should be close to theirs. If it's not ask nicely how that arrives at the figure sot that you can talk to the bank. Explain the stress this is causing you.

I've used <snip> for a probate valuation and our own house when we borrowed for an extension. They charge 125 or 150 and he'd probably explain how he came up with the figure. You also get a report. They don't do sales so you won't be hustled.

.......

This post has been deleted.