Will people start smelling the coffee!! Ref Estate Agents

EKRIUQ

All people do here is seem to bitch about estate agents and al all the wrong they do. From an estate agents point of view this is how it works.

They are EMPLOYED by the seller to do a job ie. get the highest price. not to sell the property at the lowest price to the buyer! ( I bet alot of you are surprised now.)

If a property doesn't sell he gets nothing for his time, whch could mean 20 viewngs,30 phone calls and brochures etc...etc...

Rougue bidders. If a seller wants €350,000 for his house and instructs the estate agent not to sell for a penny less just because you offer €320,000 doesen't mean he has to sell to you. It's the seller that makes's the final decision not the estate agent. So if the agent brings the bidding to €345,00, the house is still not going to be sold unless the asking price of €350,000 is acheived.

Same thing at the car auctions there's a reserve of €1,000 on a car just because you offer €100 its still not going to be sold until the reserve is met.

Raising Prices Its not the estate agents who raise the prices its the market. .75% of €5,000 isn't going to make a huge difference to the agent he just want's the property sold.

Fee's What other profession has to tender for work every day against every one and won't get paid for a least 6 weeks to 2 years after the sale and there's still no gurantee that he will. If you don't like the price go else where or sell it your self It's not hat hard!.

Rant over.

godtabh

Are you an estate agent?

whizzbang

Nobody forces them to be Estate Agents! None of the above reasons gives any excuse for being greedy, lying, swindling, money grubbing, back stabbing, two faced corporate thieves.*


* I'm generallising here slightly

Devon

All people need to be an estate agent is a pulse and a telephone. The whole industry is unregulated and unmonitored. People get duped all the time against "phantom bidders" simply because the agents' fee is a percentage of the final sale price. Higher price = more commission.

Cantab.

All very fine Mr. Estate Agent, but it's the cash transactions that estate agents receive from buyers to dupe sellers into underselling that is where the problem of dishonesty lies. You know darn well that this practice is rampant in your industry and the IAVI just sit backa and let the 50s roll in and laugh.

MorningStar

I think everybody understands what the estate agent is meant to be doing and the restrictions the person selling puts on them. The problem is it is also known that some do the following
1) Suggest to sellers to put the house on at one price while looking for a higher price
2) Don't pass offers on to the seller
3) Undervalue property to sell it to a fririend/business aquantance etc..
4) Take back hander to do 3
5) Lie about property on show e.g. yes it has a complete survey done on the property and there are no problems

These things combined irritate people and there is little or no legislation governing them

Victor

Cantab. wrote:

the IAVI just sit backa and let the 50s roll in and laugh.

That might be unfair on IAVI members, especially auctioneers. Remember auctioneers have a licence to protect.

Peace

Perhaps adding some trasparancy to the industry may help to alleviate some of the publics venom towards real estate agents.

whizzbang

Peace wrote:

Perhaps adding some trasparancy to the industry may help to alleviate some of the publics venom towards real estate agents.

If the Estate Agents really cared what the public thought of them they would be asking to be regulated, when in reality they say "we can self regulate", which is a joke in any industry!

Lindaloo

I work in an agents and what's been written above is a million miles from my company and it's ethics (don't laugh - yes you can put EA and ethics in the same sentence! ). I know that some of the ones that ring this office would buy and sell their own family but the majority of agents aren't like that.

The bigger agencies IMO are the ones who don't care, smaller agencies have to care cos if their reputation gets tarnished in any way, that's their business tits up.

A lot of people do forget as it's been said that it's not actually the agents who dictate price and selling, it's the Vendor.

Lindaloo

MorningStar wrote:

I think everybody understands what the estate agent is meant to be doing and the restrictions the person selling puts on them. The problem is it is also known that some do the following
1) Suggest to sellers to put the house on at one price while looking for a higher price
2) Don't pass offers on to the seller
3) Undervalue property to sell it to a fririend/business aquantance etc..
4) Take back hander to do 3
5) Lie about property on show e.g. yes it has a complete survey done on the property and there are no problems

These things combined irritate people and there is little or no legislation governing them

I can honestly say this has never happened in my company. My boss won't even take cash for jobs, he puts it all through the books! I think he is most defo in the wrong business!

MorningStar

Lindaloo wrote:

I can honestly say this has never happened in my company. My boss won't even take cash for jobs, he puts it all through the books! I think he is most defo in the wrong business!

None of the 5 things I said have ever happened while you worked in a estate agents? Money was only one point what about the rest. Note I said some not all

Beruthiel

BingoBongo wrote:

All people do here is seem to bitch about estate agents and al all the wrong they do..

that's because there are many slimey scumbags out there that call themselves estate agents, I have had dealings with them. They tar anyone out there that does a good job (rare I'm guessing)

when the agency stops self regulating and has an outside regulator I'll be happy, but until then I shall treat them all with suspicion.
the police cannot police themsleves (that is another discussion altogether, but you get my meaning)

What other profession has to tender for work every day against every one and won't get paid for a least 6 weeks to 2 years after the sale and there's still no gurantee that he will

truly
my heart bleeds...
if it wasn't so profitable there wouldn't be so many estate agents about. QED

kluivert

I have to jump on this band wagon.

I agree that estate agents in Ireland are taking things a bit too far.
Last summer I went to view a three bed cottage bunlagow for 190000.

The house wasnt that big, the third bedroom was being used as a wardrobe it was that small. It had land to tbe back. The ground where very long but not wide you would have to build a house sideways on it

Anyway to the back there was galvinised sheds. Loads of storage space.
The estate agent said that the house was worth about 150000 and the sheds about 40000.

When he said that I left but not before offering 140000. He laughed. Ok that same summer I helped the gf's father build sheds on there land half block half galvinised which where bigger than these sheds. Total cost of the build 10000.

Estate agents sure know how to put a value on property. My arse they do.

People jumping on the gravel train while its going good is all that I can see. Building my own house next summer for 250000 4 bedroom dormer. 1 acre of land.

EKRIUQ

morningstar wrote:

1) Suggest to sellers to put the house on at one price while looking for a higher price

The estate agent is should always be looking for the highest price but but if the property is put on the market at a lower price its to generate interest in the property. How many times have people rang and been told the property is €50,000 over there budget and then just forgotten about. Where as if the property is set a lower price its the market ie. bidders that will drive the price upwards until it reaches its optium price.

But in reality if a sellers gets 3 auctioneers to value a house(Estate Agents are qualified to do so)The seller will 90% of the time always go with the highest even if its wrong. But most auctioneers don't want anything on their books unless it will sell.

2) Don't pass offers on to the seller

That's pure stupid and anyone who does that should'ent be allowed work.

The only instance where i can think of where that might happen is if a property is for sale at something like €900,000 and a buyer offers €500,000 (It does happen) You'd be embaressed to go back and say this is the best offer considering you know for a fact that the property won't sell for less than €850,000 plus.

3) Undervalue property to sell it to a fririend/business aquantance etc..

I suppose in every industry not just estate agents that you'll get an element of this. But if you get 3 valuations before selling, the seller should be wise to the correct price. Or else put 2 different firms selling the property. That should slove that problem.

4) Take back hander to do 3

I never came across that yet but I sure it could happen but read my last answer again.

5) Lie about property on show e.g. yes it has a complete survey done on the property and there are no problems

Always get your own survey done, I always recommend that. This could also be the sellers fault, the seller will do almost anything to sell the property and telling little or big lies won't hurt them. Its only when your completly satisfied do you sign the contracts.

cantab wrote:

You know darn well that this practice is rampant in your industry and the IAVI just sit backa and let the 50s roll in and laugh.

If this practise is so rampant how come its not publised more. Auctioneers have to apply for a licence through the courts every year. Which means they must have a clean record and their tax affairs in order. Any one who feel agreved can go there and object if they have a valid claim not just because a house sold for more than thay could afford.

Devan wrote:

People get duped all the time against "phantom bidders" simply because the agents' fee is a percentage of the final sale price. Higher price = more commission.

Only clowns of estate agents are going to chance losing a purchaser for the sake of €5,000 extra on the price of the house, yes its their job to get the maxium price for the seller but 1% of €5,000 is €50 hardly worth losing a purchaser and to have to go through the whole process again. Just because you don't know the other bidder doesn't mean he doesn't exist.

EKRIUQ

whizzbang wrote:

If the Estate Agents really cared what the public thought of them they would be asking to be regulated, when in reality they say "we can self regulate", which is a joke in any industry!

Can you please be constructive and say what you want regulated. They did a study last year and all they found was that if things were done correctly they'd be no problem.

I'm all for getting every aspect of Estate Agency regulated they some of the cowboys might feck off. But alot of these practices mainly happen to the large Dublin firms who know they'll have 20 other buyers if you don't want it.

Or bring back the years when purchasers would buy a house pay a holding deposit then decide against it after 3 months because they found a cheaper house because back then some houses fell in price and buyers were scarce.

EKRIUQ

kluivert wrote:

Anyway to the back there was galvinised sheds. Loads of storage space.
The estate agent said that the house was worth about 150000 and the sheds about 40000.
Ok that same summer I helped the gf's father build sheds on there land half block half galvinised which where bigger than these sheds. Total cost of the build 10000.

Question: If you were selling these sheds would you sell for €40,000 or €10,000????? if you knew there was a couple of buyers after them

Answer honestly:D

Lindaloo

MorningStar wrote:

None of the 5 things I said have ever happened while you worked in a estate agents? Money was only one point what about the rest. Note I said some not all

No, none of the five has ever happened. My boss is too straight, he always passes on offers, he never undervalues, he has never sold to friends, never taken a backhander and it's not even that he's taken one and I'm not aware, he hasnt' taken one, he's too honest and he's a crap liar. He's never lied about the property, he'd always be totally honest in his dealings.

I can say all of that and be 100% sure that he's been honest with all he's dealt with over the years.

MorningStar

BingoBongo wrote:

The estate agent is should always be looking for the highest price but but if the property is put on the market at a lower price its to generate interest in the property. How many times have people rang and been told the property is €50,000 over there budget and then just forgotten about. Where as if the property is set a lower price its the market ie. bidders that will drive the price upwards until it reaches its optium price.

You mean they lie to generate interest. If it is €50k over budget why do you want them to look at it, they can't afford it?

BingoBongo wrote:

But in reality if a sellers gets 3 auctioneers to value a house(Estate Agents are qualified to do so)The seller will 90% of the time always go with the highest even if its wrong. But most auctioneers don't want anything on their books unless it will sell.

So we can't trust them and must check on them. THat matches what people are saying

BingoBongo wrote:

That's pure stupid and anyone who does that should'ent be allowed work.



The only instance where i can think of where that might happen is if a property is for sale at something like €900,000 and a buyer offers €500,000 (It does happen) You'd be embaressed to go back and say this is the best offer considering you know for a fact that the property won't sell for less than €850,000 plus.

What if it is to make sure their frind isn't outbid. It happened to me

BingoBongo wrote:

I suppose in every industry not just estate agents that you'll get an element of this. But if you get 3 valuations before selling, the seller should be wise to the correct price. Or else put 2 different firms selling the property. That should slove that problem.

IN other industries the person giving the discount looses the money in this case it is the seller. Estate agents are selling other people'es property. Again this is lying and cheating

BingoBongo wrote:

I never came across that yet but I sure it could happen but read my last answer again.

I have been asked for money more than once.

BingoBongo wrote:

Always get your own survey done, I always recommend that. This could also be the sellers fault, the seller will do almost anything to sell the property and telling little or big lies won't hurt them. Its only when your completly satisfied do you sign the contracts.

So the answer is yes they lie and can't be trusted.

To sumerise you are telling us they can't be trusted and they do cheat people. I think you should smell the coffe. The self regulation doesn't work. People are not happy about prices and sure they are blaming estate agents for it all but it doesn't mean what is said about them is not true.

happydude13

There was quite an interesting chapter in
Freakanomics

http://www.freakonomics.com/ch2.php

about estate agents and the fact that as a previous
poster mentioned the last €5000 in the sale price is not
really worth their while, so in fact they don't sell the house
for the maximum price!
[This is not covered in the excerpt in the above link...]

MorningStar

Lindaloo wrote:

No, none of the five has ever happened. My boss is too straight, he always passes on offers, he never undervalues, he has never sold to friends, never taken a backhander and it's not even that he's taken one and I'm not aware, he hasnt' taken one, he's too honest and he's a crap liar. He's never lied about the property, he'd always be totally honest in his dealings.

I can say all of that and be 100% sure that he's been honest with all he's dealt with over the years.

Have you only worked in one estate agent and is it there any competition near by?
In dublin they are know to do the things I mentioned

ToxicPaddy

Im sure there are a few honest hard working estate agents out there, but there are probably double or triple that number again who are a corrupt as you can get. If anything I think some of the new ones are more honest and up front, the old boys are the ones who seem to be the dodgy ones.

I've family who are in the building trade and property development who deal with on a regular basis and not one of them has ever a good word to say about any of them.

There are various stories, some of which can be verified by former and current employees which would make your blood boil.

The whole phantom bidder is a major one and something I've come across recently. A substantial property was for sale, old enough building with tenants, a mix of commercial and residential. The estate agent was looking for a certain price, way over what it was worth, a bid was put in by a relative of mine which was a 6 figure sum under the "guide" price. Price was taken into consideration with a snigger from the agent.. a further enquiry a few weeks later were told that the agent had 4 bids above my relatives one. So my relative withdrew his offer

2 weeks later, my relative got a call back to say his original bid had been accepted if he was still interested, to which he replied that he had no interest in the property anymore.

Another week later, got a call back to say it was still available for €50k less than my relatives original offer. Still not interested.

About a month later, my relative by chance bumped into the seller of the property who informed him that he had got quotes from 5 estate agents, 3 of whom tried claimed that the property was worth in or around X amount, so he went with 2 of them as they were established and had so called good names.. neither of them could come up with an offer anywhere near what they claimed it was worth.. As for the 4 bids above my relatives offer.. the one he put in was the only one from that estate agent.. and this was an established agency which has been around for years.

This property is still on the market.. with a reduced "Guide Price" and claiming to be exceptional value for money.. bleedin joke

Kinda says it all doesnt it.. :rolleyes:

Tox

happydude13

happydude13 wrote:

There was quite an interesting chapter in
Freakanomics

http://www.freakonomics.com/ch2.php

Entertaining book, but still just theory and speculation and anecdotal evidence regarding that practice.

The original poster got it right. Estate agents owe their responsibility to their employer ie. the Vendor. They owe nothing to a potential Purchaser. If a Vendor feels that bids have not been passed on, or the property knocked down to their agent's friend. then they should sue for negligence or object to the licence at the annual licensing court. I can honestly say I've never heard of an objection in years in this part of the country. Sure some of them lie and cheat a little, but that's just the way it is. I mean, do Purchasers go around saying that they haven't got their finance sorted, and they could be running a bit behind with the closing funds, and they still have to sell their own place first etc. etc.?