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EA going sale agreed without informing bidder

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  • 17-11-2016 10:22pm
    #1
    Conrad83
    Registered Users Posts: 155 ✭✭


    Hello,

    Just looking for some advice on bidding on a property.

    I had been bidding on a property for the last week or so and put a bid in with the EA (highest at time) on Wednesday morning. There was myself and 2 other bidders in the running. I now see tonight that the property has gone sale agreed but was not informed of this by the EA even though I was in on the bidding.

    Does anyone know if I have a leg to stand on here legally or otherwise? I know EA's can do what they like as such but surely all bidders must be informed before going sale agreed??

    Pissed off is not the word.

    Thanks!


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    #2
    Peregrinus
    Registered Users Posts: 26,511 ✭✭✭✭Peregrinus


    It's not the EA who can do what he wants; it's the vendor.

    The short answer to your question is, no, the vendor (or his agent) does not have to communicate with unsuccesful bidders before (or indeed after) going sale agreed with the successful bidder. I can understand that you're ticked off, it's shoddy behaviour. But no rules have been broken.


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    #3
    Car99
    Registered Users Posts: 2,530 ✭✭✭Car99


    Peregrinus wrote: »
    It's not the EA who can do what he wants; it's the vendor.

    The short answer to your question is, no, the vendor (or his agent) does not have to communicate with unsuccesful bidders before (or indeed after) going sale agreed with the successful bidder. I can understand that you're ticked off, it's shoddy behaviour. But no rules have been broken.



    Unless the vendor wasn't made aware by the EA of other bidders than the winning one.


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    #4
    Peregrinus
    Registered Users Posts: 26,511 ✭✭✭✭Peregrinus


    If that were the case, the vendor could complain about that. The other bidders, not so much.


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    #5
    Parchment
    Closed Accounts Posts: 2,203 ✭✭✭Parchment


    You should have been told - even if its just to allow you to say you wanted to stop bidding. I would call the EA and complain but i doubt you will want to deal with them after this.

    The buyers market is ruthless - but you will get something, stick with it.


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    #6
    tradesman
    Banned (with Prison Access) Posts: 390 ✭✭tradesman


    I was involved with my family house sale we were told there was a buyer paying €xxxxx & i was informed a few days later other parties were interested & would pay more than €xxxxx we were never told that by the EA. I got 2 friends to enquire about the property & make a higher offer but they didn't even get a chance to make an offer as they were told sorry its sold. Have I any recourse with this EA?


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    #7
    maximum12
    Closed Accounts Posts: 666 ✭✭✭maximum12


    tradesman wrote: »
    I was involved with my family house sale we were told there was a buyer paying €xxxxx & i was informed a few days later other parties were interested & would pay more than €xxxxx we were never told that by the EA. I got 2 friends to enquire about the property & make a higher offer but they didn't even get a chance to make an offer as they were told sorry its sold. Have I any recourse with this EA?

    Did It go sale agreed? Once the ea had accepted a booking deposit then he's right to tell enquirors the property is off the market.


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    #8
    4ensic15
    Banned (with Prison Access) Posts: 4,691 ✭✭✭4ensic15


    maximum12 wrote: »
    Did It go sale agreed? Once the ea had accepted a booking deposit then he's right to tell enquirors the property is off the market.

    He still has to pas on offers to the vendor. Until a contract is signed, the property is not sold.


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    #9
    Conrad83
    Registered Users Posts: 155 ✭✭Conrad83


    I have now been informed by the EA this morning of a higher bid than mine which I made on Wednesday. He is now asking if I want to continue bidding even though the property is listed as sale agreed on the Internet.

    What are they playing at?? Any thoughts?


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    #10
    maximum12
    Closed Accounts Posts: 666 ✭✭✭maximum12


    Conrad83 wrote: »
    I have now been informed by the EA this morning of a higher bid than mine which I made on Wednesday. He is now asking if I want to continue bidding even though the property is listed as sale agreed on the Internet.

    What are they playing at?? Any thoughts?

    Why didn't you ask him?

    Possible they have decided not to have any more viewings as the bidding had reached an acceptable price and want to wrap up the bidding this week.

    When I bought my first house there was two of us left in the bidding and the EA called me on a Friday and said thE house would be going sale agreed that day and I had been out bid by 1k. So I went another 1k and he called me back five minutes later to say it was mine.


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    #11
    maximum12
    Closed Accounts Posts: 666 ✭✭✭maximum12


    4ensic15 wrote: »
    He still has to pas on offers to the vendor. Until a contract is signed, the property is not sold.

    If people call up to inquire they will say it's sale agreed.


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    #12
    tradesman
    Banned (with Prison Access) Posts: 390 ✭✭tradesman


    If an estate agent goes sale agreed & takes a deposit, the intended purchaser can & do pull out at the last minute. The booking deposits don't mean a thing. As 4ensic15 said until a contract is signed it is not sold & even then a sale can still fall through. Although after contract is signed that would really get messy! The EA job is to get the best possible price for the vendor. In theory he / she gets a higher commission the more they can get for the property but they wont risk losing a sale over dealing with another potential offer. They will only gain another €200 or so. It is not worth the risk on their part but imo they are not doing their job because they have to try to get the best price for the property for the vendors. What really got me was they had 2 enquiries which i know of because i set them up & a couple of enquiries that i had heard of through others which they never pursued. This was like putting their hands in my pockets taking my money & i was paying them to do it!


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    #13
    Xrok12
    Registered Users Posts: 125 ✭✭Xrok12


    There are so many different variations of buyers it's not always the highest bidder, some EA/Vendors give preference to those who can close quickest. Take the following 4 people as examples:

    House for sale €350,000

    Bidder 1: Has €340,000 cash in bank ready to go, provides proof of funds to EA, bids €340,000
    Bidder 2: First time buyer has €50,000 deposit and mortgage approval for the rest, bids €350,000
    Bidder 3: Downsizing from a more expensive house, needs to sell current house before having funds to buy, bids €350,000
    Bidder 4: Non-ftb couple with apartment trading up, selling apartment (sale agreed), mortgage approval for the rest, bids €355,000

    I know of a situation using very similar figures to above in which the vendors went with lowest bidder because they could close quickly. (Was a probate sale).

    Don't get personally attached to any house until the contracts are signed is my advice here. It is as much your house as it is the man on the moon's until the vendor signs the contracts.


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    #14
    tradesman
    Banned (with Prison Access) Posts: 390 ✭✭tradesman


    xrok12. I do agree with what you have written but my gripe was that we were never informed of the other bidders. The EA is working for us he does not have free reign to do as he pleases. His / her customer should be informed of all bids on the table not just what he /she thinks we should know about


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    #15
    4ensic15
    Banned (with Prison Access) Posts: 4,691 ✭✭✭4ensic15


    tradesman wrote: »
    xrok12. I do agree with what you have written but my gripe was that we were never informed of the other bidders. The EA is working for us he does not have free reign to do as he pleases. His / her customer should be informed of all bids on the table not just what he /she thinks we should know about

    Perfectly right. Complain to the PSRA.


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    #16
    Conrad83
    Registered Users Posts: 155 ✭✭Conrad83


    maximum12 wrote: »
    Why didn't you ask him?

    Possible they have decided not to have any more viewings as the bidding had reached an acceptable price and want to wrap up the bidding this week.

    When I bought my first house there was two of us left in the bidding and the EA called me on a Friday and said thE house would be going sale agreed that day and I had been out bid by 1k. So I went another 1k and he called me back five minutes later to say it was mine.

    The EA advised me he has it listed as Sale Agreed as he is just bidding it out among the final 2 bidders (which I am one of).

    The last few bids have been going in the €500 mark on this property and as there is only 2 of us left bidding I am just wondering should I stick with the €500 or could I bid €250? Would that look to the other bidder like I am at my end? I have a little more (approx €2k) but it's so hard to know with these bidding wars what is the best way to go!

    Thanks!


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    #17
    maximum12
    Closed Accounts Posts: 666 ✭✭✭maximum12


    Conrad83 wrote: »
    The EA advised me he has it listed as Sale Agreed as he is just bidding it out among the final 2 bidders (which I am one of).

    The last few bids have been going in the €500 mark on this property and as there is only 2 of us left bidding I am just wondering should I stick with the €500 or could I bid €250? Would that look to the other bidder like I am at my end? I have a little more (approx €2k) but it's so hard to know with these bidding wars what is the best way to go!

    Thanks!

    I'd guess they won't accept bids as low as 250. It's potentially counter productive to bid in too small increments as it makes it less painful for the other side to go another round.


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