what happens if bank valuation is higher than purchase price

Ah, the delight of a bank valuation exceeding your purchase price – it’s like finding out your new car is worth more than the ticket you paid. Essentially, it means the bank sees the property as a safer bet than your agreed price, which can only be good news for your loan application. You might end up with a bit more equity right off the bat, or the bank could even offer you a better loan-to-value ratio, meaning potentially better borrowing terms. However, it doesn't mean you can renegotiate the purchase price downwards; the contract stands unless renegotiated separately. Just remember, this valuation is the bank's perspective, not the market gospel—always check with your conveyancer and keep an eye on Tradingpost or CarShowroom for market trends.