What valuation will be instructed on a non status bridging loan?

With non status bridging loans we usually see 180 day valuations or 90 day valuations, some might lend on market value but that is uncommon. 180 or 90 day valuations assume they are sold within those periods and can therefore reduce the figure returned.

Properties can be valued with many different methodologies. Whichever method is utilised, surveyors will typically comment on the ’90-day valuation’ in addition to the ‘180-day valuation’.

A ’90-day valuation’ is based on the assumption that the property will be sold within this 90-day timeframe, and the valuation of the property will be on this basis. Being such a restrictive period of time, this will be much less favourable.

Similarly, a ‘180-day valuation’ is also generated on the basis of the property being advertised and sold within 180 days.

This value for both 90- and 180-day valuations will reflect a much more conservative figure opposed to the market value, which is not subject to these factors.

Often where there is more than a 15% difference between the 90 day and 180 day valuation, non status bridging lenders will base their lending on the 90 day value.