Estate Agent Tactics!

Galtee65

Looking for people's views on a recent bid I put in on a property and the estate agent tactics that followed.

The property was advertised at 310k. I went to the first open viewing on a Saturday, about 10 people there, estate agent advised me 3 or 4 seemed genuinely interested.

I rang the EA the following Monday and arranged another viewing for Tuesday. EA told me Monday that he had another viewing on Wednesday.

EA advised me on the Tuesday that there were no other interested parties so I took it that there was no viewing on Wednesday.

I was happy with the property and put in an offer of 260k on Wednesday evening. EA told me he knows it won't buy it but hel pass it on. I didn't expect to buy it at that either but I was under the impression I was the only one interested and I said that's where I'd start.

Thursday morning the EA rang me to tell me the viewer on Wednesday put in a bid of 300k.

I get the impression that he's just trying to get rid of me for the low ball offer and that there's no other bid.(obviously I could be wrong and there is a bid). The property needs a good bit of work and is in a popular area so I think he will sell it easily.

My max budget is 290k which I am willing to go to but at the moment I feel like he's frozen me out!

Any views much appreciated!

P. Breathnach

Based on what you say here, I'm not convinced that the EA is playing games. You made a low-ball offer, and somebody else bid a price that might be considered realistic (I say that it's realistic because you would be prepared to pay €290k, and €300k is in the same ballpark).

Galtee65

That could very well be the case. I was with the EA on Tuesday evening and he told me that no one else had scheduled another viewing. He also gave the impression that no one else seemed too interested at this point. It just seems strange that he got an offer of 300k so soon after my offer of 260k.

gosplan

Galtee65 wrote: »

Looking for people's views on a recent bid I put in on a property and the estate agent tactics that followed.

The property was advertised at 310k. I went to the first open viewing on a Saturday, about 10 people there, estate agent advised me 3 or 4 seemed genuinely interested.

I rang the EA the following Monday and arranged another viewing for Tuesday. EA told me Monday that he had another viewing on Wednesday.

EA advised me on the Tuesday that there were no other interested parties so I took it that there was no viewing on Wednesday.

I was happy with the property and put in an offer of 260k on Wednesday evening. EA told me he knows it won't buy it but hel pass it on. I didn't expect to buy it at that either but I was under the impression I was the only one interested and I said that's where I'd start.

Thursday morning the EA rang me to tell me the viewer on Wednesday put in a bid of 300k.

I get the impression that he's just trying to get rid of me for the low ball offer and that there's no other bid.(obviously I could be wrong and there is a bid). The property needs a good bit of work and is in a popular area so I think he will sell it easily.

My max budget is 290k which I am willing to go to but at the moment I feel like he's frozen me out!

Any views much appreciated!

If they are tactics, then they're awful.

Ring them and let them know you're out. Then you'll find out.

Given that houses are taking ages to sell and this is being bid on weekend 1, you can assume that it's going to go for about the valuation.

davo10

I really can't see what your issue is not what difference it makes. If your €260k bid was going to be accepted you would have heard by now, your options are, either bid again or look alsewhere, if he has a bid for €300k then bidding €290 is pointless, just wait a couple of weeks and maybe ask a friend to phone the office to enquire about the property. As a poster above said, if you are willing to pay €290, the fact someone is willing to pay 3% more shouldn't come as a shock and the EA is not required to inform you of the viewing schedule.

foggy_lad

Do nothing for a few weeks and see what happens. If the EA is messing you around they will be on the phone seeing if you want to make a better offer but if they have a real offer of €300k then you are out of luck, either way even ringing the EA is pointless as it only shows them you are very interested.

I think its genuine. If he was playing games he would try to walk you up in price, not deliver what he knew was likely a knock out punch.

sweetie

If you have mortgage approval for that property and are chainless you could offer lower and you might be a more attractive bidder than the higher bid.

The_Conductor

Galtee65 wrote: »

That could very well be the case. I was with the EA on Tuesday evening and he told me that no one else had scheduled another viewing. He also gave the impression that no one else seemed too interested at this point. It just seems strange that he got an offer of 300k so soon after my offer of 260k.

Standard practice would be to ring any other potential bidders who expressed an interest at the earlier viewing- advising of the offer on the table (your 260) and asking whether they were still interested. They may ask what his feelings are about your bid- if they were to secure the property what sort of offer they would have to make. Was the EA aware of your financial position? If so- its only a short step to telling someone else to top your funds by 10k- its within an asses roar of the asking price- and presto- you're out of the equation........

The EA does have to convey all offers to the vendor- however, there is absolutely nothing stopping them from conveying them to other parties too- to play prospective purchasers off against one another...........

Also- if its an 'in-demand' area- aside from the fact that the selling season is slowly warming up again- it just doesn't ring true that there would be a viewing on a Saturday- you'd go back on the Tuesday or whatever- and thats it- unless one of the parties put in a knock-out offer- and the vendor bit their hand off (which reading your post would appear to be what happened). Normally a property would be on viewed on a few consecutive weekends- with subsequent viewings for interested parties in privacy during the week- when they could bring surveyors or whoever they wished with them.

It sounds like the other party hit a sweet point for the vendor- just outside of your max budget- whether or not the EA/vendor was aware of your max- is moot- you're out of the picture.

Only thing now- is to sell your offer as a trouble free sale- esp. if the other prospective buyer is in a chain and/or seeking a mortgage (i.e. be ready with solicitor's letters advising your good to go at the bid tabled etc etc).

Galtee65

Thanks for the responses. EA was not aware of my max budget but it's irrelevant at this stage.

Is there any point in ringing the EA to confirm if that bid is still valid? I think I will also ask a friend to ring the EA to enquire about the property and any bids on it?

If the bid is still valid is there any point in ringing the EA and offer my max of 290k as a trouble free offer?

The_Conductor

Being ready to go- is 100% definitely worth 10-15% to a buyer who wants as fast and hassle free a sale as possible. Having a friend contact the EA under the guise of a prospective buyer- would also be a possible tactic- to check out the facts as they have been presented to you.

I'd not assume this is a done deal by any means- the number of sales falling through for various reasons (notably people not being in a position to follow through on their bids)- is staggering- one voluntary receiver in West Dublin (aka not bank foreclosures) says up to 5 in every 6 sales fall through- and I can imagine its higher still for bank foreclosures.

gaius c

I think you're over thinking it and your posts somewhat contradict each other re the Wednesday viewing. Is it possible that you misunderstood what the EA meant by "interested parties"?

He probably meant no bids but you appear to have taken it as no viewings.

Galtee65

gaius c wrote: »

I think you're over thinking it and your posts somewhat contradict each other re the Wednesday viewing. Is it possible that you misunderstood what the EA meant by "interested parties"?

He probably meant no bids but you appear to have taken it as no viewings.

You are correct in saying I'm over thinking it but my posts don't contradict each other re the Wednesday viewing.

He didn't mean no bids, he meant no viewings. I'm fairly certain of it.

gaius c

You're "fairly certain" of it, I.e. you're applying your interpretation on what he said.

I'm watching doctor who at the moment and there's a great one liner, "the doctor lies". EA's lie too. Best to assume that as a default position and not get too worked up about what they say. You bid well below asking. A bid has now come in at just below asking. Unless the property is way overpriced, it's not that surprising.

Galtee65

Thanks for all responses, any other suggestions as to how to proceed (if at all) with a max budget of 290k?

P. Breathnach

Galtee65 wrote: »

Thanks for all responses, any other suggestions as to how to proceed (if at all) with a max budget of 290k?

The first thing is to accept that you have probably been outbid, and are likely to lose.

The second thing is to hope that the top bidder is unable to come up with the money. Tell the EA that you might still be interested if the other party fails to complete the deal.

Then go and look at other properties.

Galtee65

Thanks for all responses, just a quick update: no change! Current offer is 300k, I'm mortgage approved for 290k! I would like to offer 302k!
An extra 12 k seems minimal to me over 35 yrs! But I haven't got it at the moment.

In terms of our mortgage application we match the 3.5 times income but haven't got the deposit to match €302k!

Is there any way I can get the extra 12k?
Credit union loan? Or speak to the bank?

MarkAnthony

Galtee65 wrote: »

Thanks for all responses, just a quick update: no change! Current offer is 300k, I'm mortgage approved for 290k! I would like to offer 302k!
An extra 12 k seems minimal to me over 35 yrs! But I haven't got it at the moment.

In terms of our mortgage application we match the 3.5 times income but haven't got the deposit to match €302k!

Is there any way I can get the extra 12k?
Credit union loan? Or speak to the bank?

A credit union loan could be problematic and potentially derail your entire mortgage.

If its out of the price range then I'm afraid that's it. I know it's hard but don't get too invested. Plenty more houses out there!

BabysCoffee

As well as coming up with the extra 12k, do you have 10% + for the deposit?

The_Conductor

Credit unions are now governed under stricter Central Bank codes- and include declarations to credit agencies etc- aka you cannot borrow the deposit from the credit union without the bank finding out........

April 73

Galtee65 wrote: »

Thanks for all responses, just a quick update: no change! Current offer is 300k, I'm mortgage approved for 290k! I would like to offer 302k!
An extra 12 k seems minimal to me over 35 yrs! But I haven't got it at the moment.

In terms of our mortgage application we match the 3.5 times income but haven't got the deposit to match €302k!

Is there any way I can get the extra 12k?
Credit union loan? Or speak to the bank?

Unfortunately you don't know the budget available to the other bidder. If you offer €302k they could go to €304k and so on.

Everyone has a budget & it looks like this one is outside yours at the moment. Other houses will come up.

Jen44

if you are really interested in the property then why dont you ring EA say you have been in contact with your bank the absolute budget is 290k so if the other offer of 300k falls through you would like your offer to be considered. Let him know that you are ready to go etc.

gaius c

BabysCoffee wrote: »

As well as coming up with the extra 12k, do you have 10% + for the deposit?

His sums would seem to indicate that deposit is an afterthought. He can borrow 290k and is talking about borrowing the remaining 12k to make up 302k, i.e. a 100% mortgage.

realdanbreen

Galtee65 wrote: »

Looking for people's views on a recent bid I put in on a property and the estate agent tactics that followed.

The property was advertised at 310k. I went to the first open viewing on a Saturday, about 10 people there, estate agent advised me 3 or 4 seemed genuinely interested.

I rang the EA the following Monday and arranged another viewing for Tuesday. EA told me Monday that he had another viewing on Wednesday.

EA advised me on the Tuesday that there were no other interested parties so I took it that there was no viewing on Wednesday.

I was happy with the property and put in an offer of 260k on Wednesday evening. EA told me he knows it won't buy it but hel pass it on. I didn't expect to buy it at that either but I was under the impression I was the only one interested and I said that's where I'd start.

Thursday morning the EA rang me to tell me the viewer on Wednesday put in a bid of 300k.

I get the impression that he's just trying to get rid of me for the low ball offer and that there's no other bid.(obviously I could be wrong and there is a bid). The property needs a good bit of work and is in a popular area so I think he will sell it easily.

My max budget is 290k which I am willing to go to but at the moment I feel like he's frozen me out!

Any views much appreciated!

You really should try and make direct contact with the seller. It amazes me that in this day and age we feel the need to use these <mod snip> in order to buy or sell anything.

m'lady

From personal experience do nothing for the next week or so, if he's playing games he will come back to you, if not then you know he was being genuine.

Pac2015

Galtee65 wrote: »

Looking for people's views on a recent bid I put in on a property and the estate agent tactics that followed.

The property was advertised at 310k. I went to the first open viewing on a Saturday, about 10 people there, estate agent advised me 3 or 4 seemed genuinely interested.

I rang the EA the following Monday and arranged another viewing for Tuesday. EA told me Monday that he had another viewing on Wednesday.

EA advised me on the Tuesday that there were no other interested parties so I took it that there was no viewing on Wednesday.

I was happy with the property and put in an offer of 260k on Wednesday evening. EA told me he knows it won't buy it but hel pass it on. I didn't expect to buy it at that either but I was under the impression I was the only one interested and I said that's where I'd start.

Thursday morning the EA rang me to tell me the viewer on Wednesday put in a bid of 300k.

I get the impression that he's just trying to get rid of me for the low ball offer and that there's no other bid.(obviously I could be wrong and there is a bid). The property needs a good bit of work and is in a popular area so I think he will sell it easily.

My max budget is 290k which I am willing to go to but at the moment I feel like he's frozen me out!

Any views much appreciated!

What area / county is the house in ?

davo10

realdanbreen wrote: »

You really should try and make direct contact with the seller. It amazes me that in this day and age we feel the need to use these <mod snip> in order to buy or sell anything.

Probably to stop people like yourself from knocking on their door at nine o'clock at night. EA's market the property and deal with all the enquiries and crap that go with the buying and selling of a property, all the seller has to do is reject or accept the offer,

witchgirl26

realdanbreen wrote: »

You really should try and make direct contact with the seller. It amazes me that in this day and age we feel the need to use these <mod snip> in order to buy or sell anything.

I would whole-heartedly advise against this approach. We popped round to a house we'd viewed & were interested in. The EA wasn't able to answer a question we asked so we thought we'd ask the owners. Chatted away, all seemed grand. They told the EA that we'd been round & we got a call from the EA afterwards about it. Created some problems as they thought we were trying to go around the EA to do a direct purchase. We didn't get the house.

OP - can I just ask if you knew your max budget was 10k shy of the asking price, why did you view the house? When we were looking we wouldn't even go to a house that was over our max budget on the asking as generally they are going over the asking price & not under it now. I think the previous advice given about letting the EA know that your 290k offer is there should the other fall through is the best piece & not trying to over stretch yourself with extra loans to potentially be outbid again.

I Am The Law

witchgirl26 wrote: »

I would whole-heartedly advise against this approach. We popped round to a house we'd viewed & were interested in. The EA wasn't able to answer a question we asked so we thought we'd ask the owners. Chatted away, all seemed grand. They told the EA that we'd been round & we got a call from the EA afterwards about it. Created some problems as they thought we were trying to go around the EA to do a direct purchase. We didn't get the house.

OP - can I just ask if you knew your max budget was 10k shy of the asking price, why did you view the house? When we were looking we wouldn't even go to a house that was over our max budget on the asking as generally they are going over the asking price & not under it now. I think the previous advice given about letting the EA know that your 290k offer is there should the other fall through is the best piece & not trying to over stretch yourself with extra loans to potentially be outbid again.

Why not go and view the house? And make a low offer. If we all decide not to view because the asking price is above our budget, we will never see houses prices fall to realistic affordable levels, prices will continue to rise, 10% and 20% will be harder to save for, and around and around and around we go ...............................................:rolleyes:

Henry Ford III

I think your initial low ball offer scuppered you OP.

Whether or not the €300k bid is real or other wise you've seemingly blown your credibility with the EA.

Best you can do take a back seat, and then get someone check back with the EA in a couple of weeks and see if the property is still on the market.

If it is get your plant to ask "What might interest the seller?" put in another bid, and proceed from there.

amdublin

If you offer 302k now. The 300k bidder will offer 305k.

I think you think that the 300k bidder does not exist. From my interpretation of your posts they do.

I think you are going to have to accept this house is gone for you

Btw I note you have mortgage approval for 290k and want to get a loan of 12k and offer 302k. Am I missing something but do you not have have to 10% deposit yourself? ??