I've just had an auctioneer ask me for €10k in cash to close a deal

Cerbera

I thought that the days of the brown envelope were a thing of the past, particularly in the property sector, but obviously that's not the case

I've just been told by an auctioneer that he'll provisionally accept my offer but I will have to come up with another €10k in cash before the deal will be completed

I was in shock and should have just told him there and then to go fu(k himself but didn't and just said something along the lines of having trouble getting my hands on that kind of cash

He's selling the place for some bank

Is there any way I can find out what bank own it now and can I just contact them directly and see if I can buy it directly from them?

b4bmm

Name and shame.

Paulw

b4bmm wrote: »

Name and shame.

Mod Note: No naming and shaming on boards.ie

Please read the charter b4bmm.

Michael D Not Higgins

I assume this is separate to a booking deposit? If so, report to the PSRA.

Tefral

Are they a member of the Society of Chartered Surveyors? I implore you to call them and tell them of this. This is actually rampant and they are taking a very strong line on it.

The Society of Chartered
Surveyors Ireland
38 Merrion Square
Dublin 2:

Tel: (01) 6445500
Email: info@scsi.ie
Web: www.scsi.ie

gordongekko

Jesus what's the big deal. Either pay it or walk away. Nobody is forcing you to accept the terms.

dickwod1

gordongekko wrote: »

Jesus what's the big deal.

€10,000 in a brown envelope

this is very common in these situations from what I've heard. (auctioneers selling for bank).
auctioneer knows bank will accept [x] price.
auctioneer wants cash on top for himself.

cruizer101

Try ring him back to ask about it and record the phone call, then send it on to the bank and regulatory authorities.

intheclouds

Tell a journalist.

Pawwed Rig

I would write to the bank outlining the full details too.

drunkmonkey

cruizer101 wrote: »

Try ring him back to ask about it and record the phone call, then send it on to the bank and regulatory authorities.

It's illegal to record the call without informing him.

If your getting a great deal and want the house pay the 10k

Once you've the keys you can worry about getting some of the 10k back, little threat of a call to the revenue will fix that.
Get the house first before doing anything.

Cathmandooo

Are you sure it was for his pocket or was it that the bank will only sell it for your offer +10k?

If your offer was in cash then the "10k in cash" would just imply they don't want to go down the road of mortgage approval.

If I'm getting the wrong end of the stick then definitely report them to the PSRA and SCSI

Oral Surgeon

Is the asking price plus the €10k good value for you?? Will it seal the deal and stop bidding wars that may cost you more than €10k? If so, pay it and be happy. If not, move on, reporting him gets you what??

Avatar MIA

drunkmonkey wrote: »

It's illegal to record the call without informing him.

It cannot be used in evidence. However, what has been heard cannot be unheard. If his regulatory body hears the tape the auctioneer will be audited back to when he received his confirmation money.

Avatar MIA

Oral Surgeon wrote: »

If not, move on, reporting him gets you what??

That's a terrible attitude. Are you okay with corruption?

L1011

Oral Surgeon wrote: »

Is the asking price plus the €10k good value for you?? Will it seal the deal and stop bidding wars that may cost you more than €10k? If so, pay it and be happy. If not, move on, reporting him gets you what??

Because its is facilitating a criminal offence, leaves you open for Revenue investigations (yes, the stamp duty on a 10k difference is tiny but that doesn't stop them) and its very likely that the bank being stiffed for the 10k by the illegal act is owned by the state - e.g. us - in the first place.

Auctioneer needs to be reported and if the bank is known they need to be informed.

m'lady

Honestly are people suggesting that the OP should pay this 10k to this scheming Auctioneer serious? This is how this sort of thing is allowed to continue and how people get in a financial mess for that matter.

OP, you need to be sure that the Auctioneer meant the extra money for his pocket and not the banks, and then please report it to the relevant authorities.

intheclouds

Deeply worrying that anyone would advocate doing this.

L1011

m'lady wrote: »

OP, you need to be sure that the Auctioneer meant the extra money for his pocket and not the banks, and then please report it to the relevant authorities.

That he asked for it in cash guarantees that its not for the bank. Its either for him or for the soon to be former 'owner' in a distressed sale - which is far more likely.

Stealthfins

drunkmonkey wrote:

If your getting a great deal and want the house pay the 10k

Are you the auctioneer ?

m'lady

L1011 wrote: »

That he asked for it in cash guarantees that its not for the bank. Its either for him or for the soon to be former 'owner' in a distressed sale - which is far more likely.

Very true, which is what I would assume too but I think it's important the OP establish the facts first.
Why would the Auctioneer put his job and reputation on the line to arrange 10k to the soon to be former owner? Especially when he's obviously selling on behalf of the bank.

If its good value at the price +10k paying him is definitely an option to be considered if it saves you money in the long run. People can say this and that about it but at the end of the day you need to look after your own pocket first. The world is cut throat and the next person that comes won't think twice about it. That being said I'd want some serious guarantees that the house was mine for sure.

Johngoose

Could I just ask what county is this happening in?Is the auctioneer selling a commercial/residential property?I find it a bit shocking myself to be honest.

Johngoose

Johngoose wrote: »

Could I just ask what county is this happening in?Is the auctioneer selling a commercial/residential property?I find it a bit shocking myself to be honest.

I'd be pretty confident in saying that this happens in every county in Ireland, unfortunately.

OverRide

It may be possible that it's not a bank actually selling the property but the owner who is in trouble with the bank and that the 10k is for them so the bank won't know about it

Markcheese

I think i'd do the deal (but with news paper rather than euros)... but record the lot.. i'd be looking for very explicit verbal conformation that i'd got the property for a bargain ,and that this wasnt the booking deposit,will I get a receipt haha.....before I handed over the "paper" money....
Have your exit planned and maybe a large friend in the car too...
Info to the bank, his boss,trade body ect..

intheclouds

Emersyn Helpful Metro wrote: »

If its good value at the price +10k paying him is definitely an option to be considered if it saves you money in the long run. People can say this and that about it but at the end of the day you need to look after your own pocket first. The world is cut throat and the next person that comes won't think twice about it. That being said I'd want some serious guarantees that the house was mine for sure.

Doing it leaves the OP open to trouble with the Revenue and a criminal record for fraud.

You cant just hand someone 10k in an envelope and not tell the Revenue Commissioners!

nhunter100

OverRide wrote:

It may be possible that it's not a bank actually selling the property but the owner who is in trouble with the bank and that the 10k is for them so the bank won't know about it

Irrelevant as to whom the money is for, it's still illegal.

afatbollix

Last I checked folks a bribe is illegal in Ireland. We all know Ireland has a dodgy past with bribes with not much done about it.

We even have it in this thread, 'If you want the house pay it and forget it'

I wouldn't pay the bribe, number one fraud, The other if they are a scam artist, what would stop them taking the money from 5 people and turning around and saying the bank won't sell now but the money is gone.

Report it to everyone who will listen, Don't go to the indo as they are funded by them but the times might like your story.

Gumbo

L1011 wrote: »

That he asked for it in cash guarantees that its not for the bank. Its either for him or for the soon to be former 'owner' in a distressed sale - which is far more likely.

I bought last year and I had to pay the deposit in cash. It was only €5k though.
It made sure I was serious about the purchase. All was above board and that was to a registered auctioneer also.