Help to Buy Valuations Liverpool

How does it work?

A valuation report of your property is required to produce a redemption figure for redeeming your loan. This must be conducted by a RICS (Royal Institute of Chartered Surveyors) Certified Surveyor.

Upon completion the RICS Valuation Report should be sent to Target.

This valuation will only be valid for 3 months. If your loan redemption is not completed within 3 months of this date, you will need to provide Target with a Desktop Valuation, re-confirming your property value. You must complete your transaction within a maximum of six months of the original valuation.

Your surveyor will need a copy of the full valuation requirement list which can be found on the Target website.

You will receive an estimated repayment quote once you have successfully submitted your valid valuation report. This will include details of any arrears and your daily interest payment rate which will allow your solicitor to calculate an accurate final repayment sum.

Please note – where you are repaying the loan and remaining in the property the repayment figure is set using the determined market value, you must also clear any arrears on the account prior to obtaining approval to start the process. You will also be required to pay any interest payments due from the last payment made to the agreed completion date

The repayment sum, in the case of a house sale, is based on the market valuation or the sales price (the higher of the two). You must be able to clear any arrears on the account by the defined completion date or liaise with Target directly to arrange payment. In addition, you will be required to pay any interest payments due from the last payment made to the agreed completion date.

You must now instruct a solicitor to undertake the required legal conveyancing. The www.lawsociety.org.uk website will give advice when selecting a solicitor.

The Redemption Process. A Loan Redemption Form must be completed and returned to Target with an administration fee of fee of £200. Target will provide a form for a redemption via house sale (Form A) or a redemption without house sale (Form B) House sale. Note that it is your responsibility to clear any outstanding interest payments prior to completion, completion will not be granted until this is done, or an interest payment shortfall agreement is in place. With regard to Staircasing – all arears must be cleared prior to beginning this process.

The Redemption Letter. On receipt of your loan redemption form, fee and valuation Target will provide you with a redemption letter. This will be sent to both your solicitor and you. In addition, your solicitor will also receive a guidance pack and a copy of the required form of legal undertaking to be submitted at least 15 business days prior to completion.

The redemption letter will include your estimated repayment figure based on the valuation. How the redemption figure is reached for a sale and staircasing scenario is explained below.

If you are redeeming through a house sale the redemption letter will also include any arrears to be cleared together with an indication of your interest payment daily rate which will enable your solicitor to calculate any interest due from your last payment to your expected completion date. The guidance pack sent to your solicitor will have full details; however, you must be aware of the requirement for a legal undertaking to be submitted to target 15 business days prior to any set completion date.

Redemption without Sale. In this case, the market value used to calculate your Redemption Figure will be the one provided in the RICS Valuation Report for your property.

Redemption with Sale In this case, the market value used to calculate your Redemption Figure will be the one provided in the RICS Valuation Report or the Sales Price (the higher of the two figures).

Ready to Complete – Next Steps. At least 15 working days prior to the expected completion date, your solicitor must provide a legal undertaking to Target by email. If the completion date stated on the legal undertaking does not take place and is delayed by more than one week a new solicitor undertaking is required and new redemption figure confirmed. Where there are not sufficient funds to settle the interest payment you must liaise with Target directly and either agree a payment to cover the shortfall or enter into an interest payment shortfall agreement. Target will not grant authority to complete until all monies due to the agency have either been settled or agreement reached on clearing the sum after completion.

Authority to Complete (ATC). Within five days of receipt of the undertaking (or on completion of confirming any additional payment arrangements) Target will issue the Authority to Complete. You may then complete your transaction.

Completion. It is the responsibility of your solicitor to send through the correct redemption monies to Target. On receipt of the cash the amount will be validated against the figures stated on the Authority to Complete (ATC). If the amount received matches the ATC one of the following actions will take place

• In the case of repayment from a house sale, an e-DS1 will be issued to Land Registry to release the Homes and Communities Agency’s charge and confirmation of such will be issued by Target.
• In the case of stair-casing (i.e., redeeming without a house sale) a memorandum of stair-casing will be issued confirming the remaining equity mortgage percentage.

Torus Surveyors are able to provide valuations which are fully compliant for Help to Buy purposes. We use the latest tablet technology on site to ensure all of our reports are produced to the highest quality, are Help to Buy compliant and produced as fast as possible. We aim to return the completed report to you within 24 hours of our inspection.

If you require an RICS Help to Buy valuation in Greater Manchester and surrounding areas, then Please contact us on 0161 929 7892 or info@house-survey.co.uk