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Brokers can get bank valuation done before even putting up a formal loan application. If your broker says he/she can't look for another broker who can. You can work with more than one broker and see who can get you a better valuation and better intrest rates deals.
Things to do when you get a low valuation .
1) Negotiate with vendor to lower the price and tell them you will back out from the deal if they can't. (If you have subject to finance clause of course)
2) In case vendor doesn't (in most of cases) wait for two or three weeks, and reapply a valuation through a different borrower and hope the use a different valuation company. Any good broker will be able to tell you which bank uses with valuation company.
In my case the first valuation was 45K under the the contract price. The vendor did not negotiate and I pulled out from contract. After a month we followed up with vendor and were able to negotiate 15K less than the initial contract price.
Next time valuation came around 9K more than contract price. So difference between first valuation and second one was nearly 40K.
Second or third opinion is very necessary. Trick is to choose a broker who knows about the area you are looking to buy. A good broker who knows the are is the key.
