Quick Q re Estate Agents (help by noon today if poss...)
Discussion
Hi all
I guess this post just about sneaks in under "The Law", so I hope you don't mind - I could do with some help from the collective wisdom of this forum.
Brief story - trying to buy a house, have got to a situation where I have offered the asking price, but so has someone else. We're both in a position to move straight away so nothing to differentiate us. The vendor has requested to go for a "sealed bid" at noon today.
Trouble is we've dealt with this particular estate agent before & don't trust them. The manager has just rung me up to inform me that I'm not allowed to be in the office while he opens the bids, arguing that he's had ructions in the past from disgruntled purchasers who have lost out. I told him to poke this where the sun don't shine - otherwise how can I possibly know whether this mysterious bid actually exists? He has reluctantly backed down & agreed to let me be there...
Is there any regulation covering this procedure? As I see it there are two possible "dodgy" permutations. There could be no other bid and they're trying to get more than the asking price out of me, or for some reason they could be trying to sell the house to a mate, so they want me to lose. Of course, he could be telling me the absolute truth!
On top of this, Mrs Jimbobs has got thoroughly spooked and thinks we're being ripped off. Trouble is, I actually really like the house...
I just want to know where I stand, and whether any of you guys have experienced this in the past.
Many thanks for your help.
Jim
I guess this post just about sneaks in under "The Law", so I hope you don't mind - I could do with some help from the collective wisdom of this forum.
Brief story - trying to buy a house, have got to a situation where I have offered the asking price, but so has someone else. We're both in a position to move straight away so nothing to differentiate us. The vendor has requested to go for a "sealed bid" at noon today.
Trouble is we've dealt with this particular estate agent before & don't trust them. The manager has just rung me up to inform me that I'm not allowed to be in the office while he opens the bids, arguing that he's had ructions in the past from disgruntled purchasers who have lost out. I told him to poke this where the sun don't shine - otherwise how can I possibly know whether this mysterious bid actually exists? He has reluctantly backed down & agreed to let me be there...
Is there any regulation covering this procedure? As I see it there are two possible "dodgy" permutations. There could be no other bid and they're trying to get more than the asking price out of me, or for some reason they could be trying to sell the house to a mate, so they want me to lose. Of course, he could be telling me the absolute truth!
On top of this, Mrs Jimbobs has got thoroughly spooked and thinks we're being ripped off. Trouble is, I actually really like the house...
I just want to know where I stand, and whether any of you guys have experienced this in the past.
Many thanks for your help.
Jim
Not sure about regulations, but in my opinion, your dead right to insist on being in the office! Mrs Eltax has a friend who is an estate agent, and he's the dogiest bastard i know! Also, i would say to the estate agent that you want to meet the other bidder(s) whilst the envelopes are opened, and if they beat you, they beat you. No hard feelings and all that! This way you ensure that your not being robbed. I can't see why you would lose your cool if you bidded too low and lost!
It is not just the actual figure/bid that will dictate the winner.
Bear in mind that there are other factors that can and will influence a decision in your favour.
Are you in a position to move?
Are you in a chain?
Can you proceed without selling?
Has your financing been agreed in advance?
When can you have the surveyor in there?
What commintment can you give that your lawyer will move quickly?
Are you happy to lodge a 'good faith' deposit with your lawyer to show intent and the fact that you are genuine?
etc etc
Get some of the ducks lined up this morning and include these facts in your bid.
Bear in mind that there are other factors that can and will influence a decision in your favour.
Are you in a position to move?
Are you in a chain?
Can you proceed without selling?
Has your financing been agreed in advance?
When can you have the surveyor in there?
What commintment can you give that your lawyer will move quickly?
Are you happy to lodge a 'good faith' deposit with your lawyer to show intent and the fact that you are genuine?
etc etc
Get some of the ducks lined up this morning and include these facts in your bid.
eltax91 said:
Not sure about regulations, but in my opinion, your dead right to insist on being in the office! Mrs Eltax has a friend who is an estate agent, and he's the dogiest bastard i know! Also, i would say to the estate agent that you want to meet the other bidder(s) whilst the envelopes are opened, and if they beat you, they beat you. No hard feelings and all that! This way you ensure that your not being robbed. I can't see why you would lose your cool if you bidded too low and lost!
Agreed.
Your concerns are real.
The vendor wants the most amount of money, and they were probably advised to do this by the agency. Thats fair enough if it is true.
But if its not, then you are being screwed. They should have no problem, in the interests of putting your minds at rest in meeting both parties so that they can see fairness has been carried out.
However, remember that offers are not legally binding!
Heres a point of view: They have offered their house at a price, and you have accepted. In contract law that would be legally binding in any situation apart from buying land or a house. With that the rules are different. Until you have *exchanged contracts* you can offer what you like and have it accepted and it is not legally binding for either party.
They have used this to their advantage. They have got what they wanted for their house, now they want more, and are prepared to play 'the rules' in their favour.
Why dont you play the rules in your favour? You could put in a number on a sheet of paper you pretty much know is going to win, then lower the offer days or weeks later.
Would this be moral? If you had not offered the asking price, I would have said no, but in this situation you are *both* playing the rules to your advantage.
(Note however, if you are in Scotland disrgard this as the law is different with sealed bids!)
Justinp1
I like your thoughts here, make a high bid, get to the stage of exchange contracts, the other bidder will be long out of sight, then refuse to exchange until a new figure has been agreed! If the vendor's really want to sell, they'll just see it as a bonus that they got more than the asking price and you'll get it for what you wanted anyway!
I see your meeting them in ten minutes! So i've probably missed you! But good luck!
I like your thoughts here, make a high bid, get to the stage of exchange contracts, the other bidder will be long out of sight, then refuse to exchange until a new figure has been agreed! If the vendor's really want to sell, they'll just see it as a bonus that they got more than the asking price and you'll get it for what you wanted anyway!
I see your meeting them in ten minutes! So i've probably missed you! But good luck!
Thanks for all the advice guys - it really is appreciated!
On a positive note, Mrs Jimbobs managed to speak to the vendor directly this morning, just before the deadline. He had also had the other potential purchaser on the phone moaning about the estate agent and trying to work out whether all was genuine. The vendor's story stacked up with everything the estate agent had told us, so I went ahead & toddled along to the agent's office at the alloted time.
I put what we felt was a fair offer in - one that we would not begrudge paying for years to come. The bad news is that we didn't win but I take some consolation from the fact that the estate agent said that it was by "a reasonably large amount" (if I believe him!). That means that the other guys have paid what I think is over the odds for the place. Nothing I can do about that!
The vendor is relocating so keen to move ASAP. So, if the other guys deal falls through, we'll be offering considerably less if he comes back to us!
Once again, thanks for the advice.
Jim
On a positive note, Mrs Jimbobs managed to speak to the vendor directly this morning, just before the deadline. He had also had the other potential purchaser on the phone moaning about the estate agent and trying to work out whether all was genuine. The vendor's story stacked up with everything the estate agent had told us, so I went ahead & toddled along to the agent's office at the alloted time.
I put what we felt was a fair offer in - one that we would not begrudge paying for years to come. The bad news is that we didn't win but I take some consolation from the fact that the estate agent said that it was by "a reasonably large amount" (if I believe him!). That means that the other guys have paid what I think is over the odds for the place. Nothing I can do about that!
The vendor is relocating so keen to move ASAP. So, if the other guys deal falls through, we'll be offering considerably less if he comes back to us!
Once again, thanks for the advice.
Jim
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