Corparate sale ?
Discussion
Wasn't sure where to ask this, anyhow we have a acceptable offer on our property and have a new house in mind that we have viewed twice.
To complicate things further swimbo as just found a dream property which we have arranged a viewing for early next week, its a "corporate sale" we are in the lucky position of been mortgage fee with no mortgage required to purchase either of the two.
Until 30 minutes ago I had never heard the term used nor understood what it means, I have now heard the term but still not 100% sure of the implications.
Does my brief Googleing summarise correctly, we view, we like(?) we put an offer in, if its excepted we move as quickly as possible as the house is still on the market and open to offers until such time as the sale is complete ? We could end up in a bidding war ? Should a bidding war start and we have accepted an offer on ours where does that leave us if the bidding war exceeds our finances and we have to stop ?
To complicate things further swimbo as just found a dream property which we have arranged a viewing for early next week, its a "corporate sale" we are in the lucky position of been mortgage fee with no mortgage required to purchase either of the two.
Until 30 minutes ago I had never heard the term used nor understood what it means, I have now heard the term but still not 100% sure of the implications.
Does my brief Googleing summarise correctly, we view, we like(?) we put an offer in, if its excepted we move as quickly as possible as the house is still on the market and open to offers until such time as the sale is complete ? We could end up in a bidding war ? Should a bidding war start and we have accepted an offer on ours where does that leave us if the bidding war exceeds our finances and we have to stop ?
This is what I was basing my vague post on.
Buying a Property that is being sold by a Corporate Company
You may find it helpful to know that if you are making an offer to buy a property which is being sold by a corporate company (a property in possession), the sales process will be different to sales by private treaty.
This is because having obtained possession through the courts, the corporate company owes a duty to the court and to the borrower to use it best endeavors to obtain the highest price available for the property in the open market.
If you make an offer, it will typically take two working days or so before a corporate company can confirm whether the offer is acceptable.
When the corporate company accepts an offer, it will usually be subject to contract and subject to the company not receiving a higher offer from another buyer prior to legal exchange. This is because the company has a legal duty to accept any higher offer on behalf of the borrower.
The corporate company will seek any higher offer by advertising the property (usually in a local newspaper or a property website) to demonstrate it has used its best endeavors to obtain a fair price.
If no higher offer is received, your purchase will proceed to legal exchange.
If a higher offer is received from another party, then this new offer will supersede your original offer. You will normally be provided with an opportunity to raise your first offer should you so wish.
Where Peter Alan acts for a corporate company, we are acting in accordance with their instructions and following the company's process. This process can vary a little from company to company.
As a buyer, you will obtain exclusivity to the property on legal exchange.
Buying a Property that is being sold by a Corporate Company
You may find it helpful to know that if you are making an offer to buy a property which is being sold by a corporate company (a property in possession), the sales process will be different to sales by private treaty.
This is because having obtained possession through the courts, the corporate company owes a duty to the court and to the borrower to use it best endeavors to obtain the highest price available for the property in the open market.
If you make an offer, it will typically take two working days or so before a corporate company can confirm whether the offer is acceptable.
When the corporate company accepts an offer, it will usually be subject to contract and subject to the company not receiving a higher offer from another buyer prior to legal exchange. This is because the company has a legal duty to accept any higher offer on behalf of the borrower.
The corporate company will seek any higher offer by advertising the property (usually in a local newspaper or a property website) to demonstrate it has used its best endeavors to obtain a fair price.
If no higher offer is received, your purchase will proceed to legal exchange.
If a higher offer is received from another party, then this new offer will supersede your original offer. You will normally be provided with an opportunity to raise your first offer should you so wish.
Where Peter Alan acts for a corporate company, we are acting in accordance with their instructions and following the company's process. This process can vary a little from company to company.
As a buyer, you will obtain exclusivity to the property on legal exchange.
Burrow01 said:
anonymous said:
[redacted]
Sounds like it "where the property is in the possession of the court"we bought one 5 years ago that was more upmarket than my normal "repo" type property as BTL, and was a corporate sale. it was a repo.
only downside was that it took a week for them to get back to me when I was negotiating. couldn't find it advertised in papers once we had offers in, unlike a normal repo.
that, and the tape on all appliances and a knackered boiler pump were the only thing that was different.
only downside was that it took a week for them to get back to me when I was negotiating. couldn't find it advertised in papers once we had offers in, unlike a normal repo.
that, and the tape on all appliances and a knackered boiler pump were the only thing that was different.
Eric Mc said:
What is the difference between buying the property from a company rather than an individual?
I still can't see what the problem is.
Agents will always describe a reposession as a corporate sale. If its a repo then they will market the property right up to exchange, which as a chain buyer can be a bit of a problem if another buyer appears at the last minute.I still can't see what the problem is.
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