HSBC Discount Mortgage coming to an end

[brooooooooooce]

Hi.

My mortgage is with HSBC and for the last 2 years has been on discounted mortgage product. This has now come to an end and my mortgage payments wef 1.4.10 are about to almost double.

 

So I rang HSBC and asked to switch to a new product. They said no problem but they had to do an online valuation of our house. In 2006 our LTV was 80%, since then we've extended and renovated but according to HSBC our house is now worth less than what we owe them. So they won't offer a new mortgage product and must pay their SVR.

 

Has anyone else had a similar experience? Can they legally ignore the valuation they hold and use an online one?

[Castlebest]

Hiya brooooooooooce and welcome to the HSBC forum

 

Valuations of any property are always very subjective, its the oppinion of whoever is valuing it, the bank or a qualified surveyor. The value of any house is what someone else is prepaired to pay for it so the valuation is only ever a best guess.

 

I suggest you have a look at the local estate agents and see what level they are valuing similar propertys and if its more than the bank have guessed it may be worth looking around at the mortgage market and see who's offering what, you will probably have to have (and pay for) a valuation survey but it may be better than the banks guess .

 

pete