Bypass estate agent / sellers and deal directly with the bank?

amacca

I know its not in the banks best interest to have a property firesale given the amount of repossessed properties they may already have and probably will have on their books in the future but are any banks cutting out the estate agent and selling repossessed properties out from under their customers that cant pay the mortgage at the moment?

I also know they prefer to rent them back to the mortgage holder or accept lesser payments etc but is this sustainable for them long term? do they want to turn into letting agencies or are they quietly placing them on the market now at discounted rates or forcing owners to put them up with an ea?

Out of curiosity has any poster here approached a bank manager to ask a question like this?

I ask because I know that building societies and banks used to advertise repossessed properties in their windows in the past according to my parents.

Senna

amacca wrote: »

Out of curiosity has any poster here approached a bank manager to ask a question like this?

Had a staff member from Ulster Bank offer me property from a local developer in difficulty who banks with them. The prices they quoted were slightly less than EA price and although slightly more realistic than most property here, it wasn't any bargain. I wasn't looking to buy either way.

There has been a few repossessed houses for sale with one local EA, one of them was on the market for 350k in 2007, The banks EA put it back on the market for 250k, no interest after a few weeks and dropped to 175k, it went sale agreed within a week (in 2008). I would say all banks will work the same way, put it on the market at a lower price to similar houses, then continue dropping the price till it sells.

amacca

Senna wrote: »

There has been a few repossessed houses for sale with one local EA, one of them was on the market for 350k in 2007, The banks EA put it back on the market for 250k, no interest after a few weeks and dropped to 175k, it went sale agreed within a week (in 2008). I would say all banks will work the same way, put it on the market at a lower price to similar houses, then continue dropping the price till it sells.

Tks, appreciate the response. How did you know for sure it was repossessed?

Surely the EA didn't provide you with this information willingly?

dazberry

Senna wrote: »

There has been a few repossessed houses for sale with one local EA, one of them was on the market for 350k in 2007, The banks EA put it back on the market for 250k, no interest after a few weeks and dropped to 175k, it went sale agreed within a week (in 2008). I would say all banks will work the same way, put it on the market at a lower price to similar houses, then continue dropping the price till it sells.

Its not generally that simple for repossessions as the issue lies in the remaining liability to the "repossessee" so the onus is on the banks in that situation (for consumers anyway) to get the best price. A firesale may then make it more difficult to justify in court the remaining liability.

D.

Senna

amacca wrote: »

Tks, appreciate the response. How did you know for sure it was repossessed?

Surely the EA didn't provide you with this information willingly?

The EA would give no information at all, thats when i first realised there was something different going on, i just asked a fella that lived near by and he told me the whole story, owner was a builder who moved to a new house (PPR) and held onto this one, got into difficulties and bank repossessed this house.

dazberry wrote: »

Its not generally that simple for repossessions as the issue lies in the remaining liability to the "repossessee" so the onus is on the banks in that situation (for consumers anyway) to get the best price. A firesale may then make it more difficult to justify in court the remaining liability.

D.

They left the house on the market for a few weeks (at below average asking price), there may have been a reduction in price before it sold for 175k, but i dont think so. Reckon the bank will just plead falling market and better to sell now, there is no data for house sales in Ireland, so who's to say it was a bad price. I'd say the banks will just be looking to sell as quick as they can and screw the home owner.

amacca

Senna wrote: »

Reckon the bank will just plead falling market and better to sell now, there is no data for house sales in Ireland, so who's to say it was a bad price. I'd say the banks will just be looking to sell as quick as they can and screw the home owner.

Thats what I thought........ as soon as the 1-2 years moratorium (existing period after payments cease before repossession plus new moratorium) it will be a case of banks cutting their losses and running and screw the mortgage holder???


Its a real pity there is no reliable data for house sales in Ireland, that alone could have acted as a brake on our runaway train of a property market up till 2007, EAs wouldnt have got away with half as much telling you somebody had another 20-30k on the property type shennanigans when in fact they hadnt.

johndaman66

amacca wrote: »

Thats what I thought........ as soon as the 1-2 years moratorium (existing period after payments cease before repossession plus new moratorium) it will be a case of banks cutting their losses and running and screw the mortgage holder???

Is the moratorium a general one laid out across the board? In other words will it cease at a specified date in the future for everyone? Or does the moratorium follow the specific mortgage holder. For example if Mr. X fell behind in his mortgage payments on 30/6/2009 is he able to seek protection against his house being reposessed until 30/6/2011 (assuming it is 2 years, which I don't know either)? If Mr. Y falls behind on his repayments on 30/6/2010 will he be able to benefit from the moratorium until 30/6/2012? In other words is it a general moratorium laid down across the board or does it follow the individual mortgage holder? If it is a general one what date is it expected to cease on?

amacca

johndaman66 wrote: »

Is the moratorium a general one laid out across the board? In other words will it cease at a specified date in the future for everyone? Or does the moratorium follow the specific mortgage holder. For example if Mr. X fell behind in his mortgage payments on 30/6/2009 is he able to seek protection against his house being reposessed until 30/6/2011 (assuming it is 2 years, which I don't know either)? If Mr. Y falls behind on his repayments on 30/6/2010 will he be able to benefit from the moratorium until 30/6/2012? In other words is it a general moratorium laid down across the board or does it follow the individual mortgage holder? If it is a general one what date is it expected to cease on?

I believe it follows the individual mortgage holder. Im nearly sure guaranteed banks have signed a voluntary agreement not to pursue individual mortgage holders through the courts based on the length they have been in arrears...think that agreement was for 6 months and there is another in place on top of this.

So say for instance it was a six month moratorium only

So if Mr. X fell behind 6 months ago he would now be liable to be pursued in court

Whereas if Mr. Y fell behind only 2 months ago, he would have another 4 months to play with

I havent researched it too deeply so forgive the lack of concrete information, I am sure there are other posters on here who are far more knowledgeable on this and might chip in