Repossessed House Part 2!

[greeneyedmonster]

I've already posted about this today so I'll keep it brief! We are interested in a repossession but another offer has mysteriously been made. The Estate Agent has told me that he's not allowed to tell me how much it is for but a friend says he should have at least told me if our offer was higher or lower. Any ideas anyone? He blithely took note of our offer which kind of confirms my suspicions-if it was lower than the allegedly existing offer why take it? Why not just say that we need to go higher? Very odd!

[bednobs]

because the agent is only an agent - the vendors are actually selling the house, not the agent. They are under a legal obligation to pass any and every offer onto the seller, who is the only one who can accept or reject it

[greeneyedmonster]

Well yes I know he has an obligation to the seller but if someone has offered for example £180k and we offer £110k there is absolutely no point in passing the lower offer on is there?

[FredPuli43]

Your friend is wrong. The agent need not say whether you've offered more or less than other offerors. Why should he? You are not employing him. And it may be entirely irrelevant anyway. You may have offered less but the vendor might think your offer more acceptable ; it may not be a question of mere figures, and often isn't. One offeror may not be as good in the sum named; you may have the cash in the bank, he might be taking a loan from somewhere or having to realise an asset, or he may simply not have enough to cover the bid and expenses, or he might be the kind of bidder who changes his mind. So don't worry. And the vendor, through his agent, will come back if he wants more.

[ummmm]

Depends on the position of the buyer.

[greeneyedmonster]

I don't know the position of the other buyer, if there is one. All the agent divulged was that they are proceedable, same as us. I'm not normally a suspicious person but on this occasion I smell a rat. The agent is rather vague about this new offer and it just doesn't add up somehow.

[bednobs]

the agent does not have to to tell you ANYTHING about other offers (in fact it's often to the sellers advantage if they don't) even if there is £100k difference , the agent still must pass the offer on

[greeneyedmonster]

OK thanks for your help.

[Canary42]

IMO the Estate Agent is lying (surprise surprise).

[Graham-W]

I would have thought the agent should be getting the best price for the vendor, who is employing him. To this end, he should be telling you that a better offer has been made and you should increase your offer if you want the property.
I don't know how you can find if the other offer is genuine until the house is sold. Do you remember "gazzumping"?

[greeneyedmonster]

Thank you Canary & Graham...my thoughts exactly! If they want to be giving the best service they should at least tell us that we need to increase our offer (whether we would in the circs is another matter!). We will only find out what the "offer" is when it's published on Rightmove as this is a legal requirement apparently.

[FredPuli43]

Does "OK" mean you still smell a rat? That's how most agents behave. All you can do is make your offer , and you've done that, and wait. If the agent comes back and wants more it doesn't matter whether there's been another offer or the agent has imagined one or the vendor simply wants more. You have the price you want to pay and you'll edge towards it until the vendor takes it and you're happy, or doesn't and you lose the property

[greeneyedmonster]

Most definitely. Obviously I can't prove anything but he's suddenly gone from being very helpful to very vague and it just doesn't feel right. We have an upper limit which we won't go beyond, but unfortunately I am certain he will know from the financial adviser what that figure is. It's going to be a waiting game I think :-(

[ummmm]

Who is selling the house?

[ummmm]

I don't mean what estate agent. Has the bank repossessed?

[greeneyedmonster]

The agent thinks it may have been a voluntary repossession. The house is in the hands of a company who are selling on behalf of the bank. I don't know the name of the company nor which bank it is unfortunately.

[ummmm]

I thought sales like this were usually closed bids.

[greeneyedmonster]

Apparently not. It's been up with another agent previously-but other than that I don't know much else as the agent professes not to know either.

[FredPuli43]

Well, I hope you get it. It sounds as though you've set your heart on it, and it's hard when that happens and you don't get the property. The pros just shrug their shoulders and move on. What's so attractive about it?

[buildersmate]

You're getting seriously sucked into over-analysing the behaviour of the Agent, which is then likely to show in your dealings with him as being desperate. If you lose the house there will always be another one.

The last time I SOLD a house in this scenario (two keen proceedable buyers when one had been phaffing around because he hadn't actually completed sale on another, then another one turns up at just the right moment, from my viewpoint), I instructed the agent to go back out to both and ask for 'best and final offers' from both. Got another 1.5% that way.

I'll bet that'll happen to you.

[greeneyedmonster]

Yes we have, sadly :-( It's a lovely house which needs a lot of TLC but has the potential to be fabulous. We will lose quite a bit of money on our current house and we thought buying this would cushion the blow a bit if we got it at the right price. We are just going to see what happens...what will be will be!