why we need to pay for the valuer report when we apply loan from banks?
it is unfair to borrower to pay the above report as bank can always reduce the loan amount if they dun believe with the purchase price. some purchases dun mind to reduce their loan amount according to bank wants. (if they can waive the valuer fee), after all we cant borrow 100% of the purchase price.

eg a prop per SPA is 1mil , bank loan margin at 80% = 800k. if bank dun believe the prop worth 1mil, they always can reduce loan margin to 60% to loan only 600k. in fact they can check with many prop portal eg iproperty etc about the market value.

Yes need to pay but usually its absorbed into your loan or misc fees.

Bank has to do their own valuer else any ah chu or ah kau also can value their property higher to get higher loan.

She's right. ah ko & ah mau valuers!

The problem is people want the loan margin to be at 90%. They cannot afford anythign lower than that.
Even 70% also got some speculator complaining here.


This post has been edited by Drian: Mar 1 2011, 03:20 PM

some purchaser dont mind, but majority of them does. Valuation fees vs Margin, which do u think u'll have to fork out more?


Prop portal doesnt justify the market value of a property.

do borrower have the choice to avoid valuer fee by accepting lower loan margin?? (until margin that bank are satisfied with)
i dun agree to pay extra 4k to valuer for extra 10-20% margin..

prop portal - at least they can judge loan margin 60% are safe. (eg almost half price from average prices)

Wah you dont mind pay high downpayment in hundreds of thousand but make so much noise for rm150-200 Valuation fees.
People pay for re valuation if not happy with lower bank valuation coz the want higher loan. Bank valuation is free. But the valuer also must be panel with the bank..

prop abt 1mil need to pay about 4k which is our hard earned $.
as i said, i dun mind to pay another 100k if the loan amount reduce from 800k (80% margin) to 700k (70% margin). pls take note that 100k extra loan u need to pay interest too. if u hv 100k extra in FD why not offset the loan and save bank interest and 4k valuer report??

the waiver for valuation report is subject to bank's approval, but yes its possible and has been done before BUT only limited to certain circumstance. (ie, top-up loan back to original limit etc)

Waiver of VR with a lower margin is possible, but again as i mentioned, subject to bank's approval.

prop portal - where property prices are posted up by agents and owners without a proper justification. i higly doubt the bank would use them as reference for risk management.

Yes u r right but for some others, the 100k extra can put down for other prop investment. Of course for own stay we put more la.. Anyway coming back to valuation cost, how come its 4k?? Its that valuation fees or undertable money?? Very different u know..

yes... agreed

how do they know what to believe if they do not have a valuer?


loan 1m, valuation fee = 4k? are you sure? you should be able to get much much better rates la.... go ask around...

RM 4k for RM1mil valuation report is kinda on the high side.

which valuer quoted u this fee?

i m refering to http://www.lppeh.gov.my/fees.html

my condo is 1.2 mil
1 mil is oredi 3.5k

i cant recalled wat is the exact fee that banker told me, i think abt 4k..

ya... that table is there... but for 1m+ property, no valuer follows the fee scale la... sure got big discount... ask!

Many many years ago.

A bank's branch manager have absolute say in loan application. As predicted, many abused the power for personal benefit.

Fast forward to 2011. To reduce unwanted staff influence & reduce operating cost. Many banks set-up regional centre. These centres don't deal directly with clients/applicants. They deal only with data & document processing.

Thus valuer became part of the chain. The evaluation report became a recommendation document. Banks let customer absorbed part of the cost. In return, they offer u stuffs like rebate, free gifts, free CC. It's all part of the biz. When u're rich, bank's ur friend. When u're struggling, bank's ur foe.

This post has been edited by scorgio: Mar 1 2011, 08:07 PM

" Banks let customer absorbed part of the cost" --bank absorb most of it??

mean valuer fee can be much lower than published rate? any idea how much is the discount? 4k to become 1k??

It's in thousands, not just a few hundreds as you said. I just did it and the report was rubbish. If not for bank, I would scream them.

How come I did my valuation once at henry butcher for rm150 only. No under table needed for me. Maybe I kenal so cheaper is it..But got official receipt wor.. Which valuer charge u so much?? Care to share so we boycott

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Added on March 1, 2011, 8:47 pmWah I should be thankful as I always call my bank officer to valuate properties that im interested b4 i apply for loan. One phone call and i get the valuation max 1 day later. All for free only. But only verbal la not printed one. I usally ask them check 10-20 times b4 I buy one. Wah now only realised I am abusing their service... Public bank is the best..

This post has been edited by henryhing: Mar 1 2011, 08:48 PM

It is daylight robbery, I think it is meant to enrich their business partners.

The valuation report is not necessary in my opinion.

I was charged for rm 570 'professional fees' which value the property at such low rate it is ridiculous.

I think these valuers don't know how to valuate a property and there are so many mistakes in the so-called professional report.

Furthermore, my bank lawyer don't pay for it, i have to pay for it directly.

Where can we as buyers complain about this fleecing of our money ?



This post has been edited by jalsrix: Mar 1 2011, 09:00 PM

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Added on March 1, 2011, 9:00 pmSo cheap ?

How come I am charged for rm 570 ?

bank has panel of valuers to provide estimate wihtout site visits etc. when u apply for loan, they will do a complete site survey and charge u a bomb. as naing said, the report is totally crap. i dun mind to pay if it is oni 100-200rm.
i think it is not fair to charge higher fee if your prop is higher price coz it is the same basic report.

ps: same to legal fee, it is the same work /doc for prop 100k and 100mil, why must we pay more???

Why don't u go get a law degree, practise as lawyer, then u can be the predator instead of the victim.

Wahhh, can i be your friend and abuse their services too? I belanja you minum everyday wor

refer to this

3. Fee for other capital valuation/rating valuation services based on an “Improved Value” basis.

1/4 % on the first RM 100,000
1/5 % on the residue up to RM 2 million
1/6 % on the residue up to RM 7 million
1/8 % on the residue up to RM 15 million
1/10 % on the residue up to RM 50 million
1/15% on the residue up RM200 million
1/20% on the residue up to RM500 million
1/25% on the residue over RM500 million

Minimum Fee : As above, subject to a minimum fee of RM 400 per property.


So your property if valued at RM1.2mil

your first 100k fee @ 0.25% = RM250
the rest of 1.1mil @ 0.20% = RM2200

total fee payable without GST 6% = RM2450

if valuer gave you discount, maybe 30% = RM1715
Plus tax 6%
plus disbursement


should me more than RM1715 but slightly higher/lesser than 2000

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Added on March 1, 2011, 9:50 pmyou thought this is same applied to petrol price in malaysia ar?

kaya kaya one pay 1.85 per litre same as poor poor one?

that's y should apply in percentage based on value.

kekekekeke


kaya kaya one pay 100...poor poor one pay 100


BIG DIFFERENT you KNOW????

This post has been edited by kh8668: Mar 1 2011, 09:50 PM

Haha..More friends the merrier.. But think u should make friends with the bank manager instead..
Really cant understand why valuation cost so much as stated..I also can do valuation. What so hard??
Its banks duty to valuate to protect themself at the end of the day..

I was charged rm 150 just for disbursement, is this normal ?

How do they calculate disbursement ?

It's the signature of the Registered Valuer which is essential for the report. U can give valuation yourself if your name is on the Board of the Valuers!
Afaik the more expensive your property is, the higher it cost for your valuation report. There is a guideline for the valuers to follow on the cost of the report...

Though you can try to negotiate with the valuers on the property value (try to hike it a bit by mentioning special features of your property, such as renovations done etc)
Well this is the case of you wanting to get for more loan...

PS: newbie here, any mistakes on the comment given pls guide me.. (with soft tone lol, still in learning progress here.. @.@)

All BLOOD SUCKERS !

What is so professional about valuing a property to cost so much ?

Just get the average price of last 3 months sale transactions.

I can do it for rm 100.

This post has been edited by jalsrix: Mar 1 2011, 11:00 PM

Truth is everyone is trying to make money here...right from property developers to agents to valuers to bankers. In the end, it is the home buyers that have to fork out an arm and a leg just to own a piece of land that they can call their own.

how much was the property value?

the Fees varies according to property value. the higher the property value the higher the fee.

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Added on March 2, 2011, 9:14 amwe can all do it for free, but only they have license and cert.

This post has been edited by merce: Mar 2 2011, 09:14 AM

All cronies and business partners driving the cost up. Actually the job is very simple and don't need much work, so no justification for high prices.

Even the lawyer's job is simple, they are just doing postman work to fill up form , send to lawyers and govt agencies.

i dun mind to pay high fee to lawyer if he is fighting/defend my case/right but not the SOP in SPA, MOT, DOA etc

Yes, it is cronies who exchange for valuer licences and suck our $.

The bank certainly knows how to value a property even without a registered valuer. Govt statistics & national economics r easily accessible & they have the experts at their service. Most of all they have the latest compilation of latest loan applications via their netwk of branches thru out Malaysia.
I went to a bank & in 2 shakes, the attending officer showed me a print out from their database how much I max loan could be available for the property in question. So why pay for a valuer, when the bank can do it themselves since they already have a base figure to work from & they have the last say on the value?

unfortunately , it is a must to pay valuer fee...sigh
will request for a discount after my loan was approved.

instead of property valuer... can we assign Adjuster for the matter?

Ya, it just dun worth to pay for a easy job,it is almost like pay so much for few pcs of A4 paper, some more have to chase them the hardcopy, when i call d valuer on my purchase last time ,they said price has been given to bank, job is done, wtf, they dun even bother to come out the hardcopy for me, money taken and want to save the few pcs A4 paper some more , wah piang, so call professional valuer !

Some banks requires this valuation report and have to pay it ourselves but some banks don't need it. They just go by pass transactions. But if you want a high loan then maybe they will ask for an evaluation.

When I refinance my house, same thing. Went to bank O, they want valuation. Try another bank P, they only require me to pay rm50 for them to come take picture. That's it.

wah, mind sharing which bank?

PB

thanks 4 d info, bro!

Walau, a PB appointed valuer call me just now, open price RM1300 for report then i say exp she lower to 1100 on the phone, i wonder how much lower it can go

valuation fee=RM 750.00
Property purchase price :less than RM200K