In July of this year a story arose of the UK involving Barclays attempting to sue mortgage brokerage Savills Private Finance and chartered surveyor Stocker & Roberts Partnership for losses from an alleged mortgage fraud. It was alleged that Savills fixed over inflated valuations on various properties and were apparently paid quite handsomely for doing so.
At the time “no money down” deals were rampant with the cornerstone of this beingthe ability to have a “property power team”. Effectively these deals ensured that none of the investors money remained in the deal thereby forcing banks to take on the full risk.
Participants in the “team” controlled everything from sale and first mortgage, valuations required and sales and/or remortgages. The incentive of course was a nice fat payment. Involved was:
- A dodgy valuer.
- A dodgy broker.
- A dodgy solicitor.
- And a couple of fraudulent mortgages.
Without going into the detail of these deals (more can be read here if interested) the outcome was plenty of property grossly over valued and with no remaining equity in them.
So when we talk about “independent” property valuations here at Australian Valuers we really do mean “independent”. We have been in business a long time due to our integrity and professionalism and as registered valuers we ensure you benefit from our industry knowledge and experience thus in return receiving an independent, well researched valuation assessment.