Selling - direct approach to seller

2012paddy2012

My friend has an interest in a house that an estate agent is selling. He made a bid which the auctioneer said was too low. He made a further bid and the auctioneer said it was too low and that a bid higher , had been made and accepted by the seller. The auctioneer (2 weeks ago) said to my friend " I will be straight back on to you if anything happens that the house sale didnt go through.
After passing by the house looking in the general area at other houses it was noted the for sale was still there with no sale agreed.
So yesterday in daft the house shows " open viewings " again.
A call to the auctioneer it now transpires the bid agreed did not materialise.
No call back as promised by the auctioneer.
This I find incredible , it is a fact that subject to a survey being completed without issues of any significance, the seller would have got the price asked. My friend is a cash buyer seeking a quick closing date. No chain or hold ups.
The seller has no way of knowing this of course.
If i were the seller I would be very angry (/particularly if a sale was desired to clear debt or for any other reason)/ with the "service " this auctioneer is providing for his large 2% most likely fee.
My question.
Can my friend approach the seller direct ( it is rented may be difficult) and make an offer?
Can generally speaking a seller , walk away from an auctioneer without any recourse from them ?
Especially if a seller was to discover that the auctioneer conducts his professional service in this manner.
Thanks

Paddy

Glass fused light

The seller can be approached directly but as they have a contract with the auctioneer there is no savings by cutting out the auctioneer. The best option may be checking if the house is occupied by the owner and dropping in a letter. If the idea is to approach the seller in person there is the risk that the seller won't want the hassle and has been told of the offer but is still holding out for a higher price.

That being said there is no harm in trying, the worst case is that the seller says no.

2012paddy2012

Glass fused light wrote: »

The seller can be approached directly but as they have a contract with the auctioneer there is no savings by cutting out the auctioneer. The best option may be checking if the house is occupied by the owner and dropping in a letter. If the idea is to approach the seller in person there is the risk that the seller won't want the hassle and has been told of the offer but is still holding out for a higher price.



That being said there is no harm in trying, the worst case is that the seller says no.

Thanks for quick reply. Letter I was thinking.
When you say no saving I thought that might be the cherry. If. He doesn't have to pa
y auctioneer charges ...which would take couple of 1000s that does not have to be deducted from price he gets? Say 291 is current bid. He will get 291 minus auctioneer fee? If I offered say 290...would it not be better I get it for grand less than official bid ...he gets more as auctioneer is out of picture ? Once there is no come back for seller or buyer I'm happy

Glass fused light

The contract will cover this so the auctioneer would still have to be paid and remember the seller chose to engage a auctioneer so as not to have do deal with buyers negoations.

bleary

I had something similar when buying. I turned up to the open viewings. Walked around then cornered the estate agent when leaving asking why I wasn't contacted. Still no reason why exactly but someone got in trouble . I dealt with the owners of the agency from that point on and closed on house within 6 weeks.

If it is rented difficult to ensure that your letter would be passed on but I think if ea not dealing with you and you can't deal with anyone else in the agency then it can't do much harm. Still ea probably would look to be paid for introducing you

2012paddy2012

bleary wrote: »

I had something similar when buying. I turned up to the open viewings. Walked around then cornered the estate agent when leaving asking why I wasn't contacted. Still no reason why exactly but someone got in trouble . I dealt with the owners of the agency from that point on and closed on house within 6 weeks.

Fair enough. I wasn't sure if the seller had a no obligation.. Get out of deal arrangement. Or was it a formal arrangement nowadays.
I did sell q house a long long time ago..if I recall correctly I. Paid for on line adds but I could change auctioneers if I wished. Its a different set up these days so. Thanks for advice

cstaff

I bought my house about 20 years ago so I am pretty sure things have tightened up since then - but when I went to view the house I saw some correspondence on the counter and it turned out that I knew the person who was selling so I approached her directly. She took her house off the market - I offered her what she wanted, she had no auctioneer fees and I got the house I wanted without getting into a bidding war with anyone else.

2012paddy2012

cstaff wrote: »

I bought my house about 20 years ago so I am pretty sure things have tightened up since then - but when I went to view the house I saw some correspondence on the counter and it turned out that I knew the person who was selling so I approached her directly. She took her house off the market - I offered her what she wanted, she had no auctioneer fees and I got the house I wanted without getting into a bidding war with anyone else.

That's exactly what I was thinking. From a sellers point of view they are not getting best service anyway...I'd be slow to say what exactly happened as its at worst bad communication to try sell the house ..by not contacting interested buyers ..if it was me that auctioneer be gone ,when he could have missed an ideal buyer by his lax attitude. Thanks

Claw Hammer

The position in law is that if an Agent introduces a buyer, then that Agent is entitled to a fee. That appears to be what happened in this case. The O/p has negotiated with the Agent. He can't now approach the owner and shaft the Agent. If the O/P thanks that his bids are not being passed on, he should try and find out who the owners solicitors and send a written letter of offer. The situation appears to be at the moment that the offer is conditional. If the desire is to get a quick sale and force the Agents hand, then the survey should be done and an unconditional offer made.

myshirt

I normally wouldn't recommend a direct approach. They have hired the auctioneer to do the leg work. If it's a shoddy auctioneer, that's between them and the auctioneer.

But if you really want the house and you have a good offer, you are not low balling, going up in the small thousands etc, go for it. My wife had a word with the former owner of our place after getting nowhere and we found out the auctioneer had told her to ignore us, that we were from Limerick and hadn't two brown pennies to rub together, when in fact we had 60% LTV. The man couldn't stomach the idea a Limerick person was buying a house for over 700 grand. Only God knows what the auctioneer you are dealing with is at.

Claw Hammer

myshirt wrote: »

I normally wouldn't recommend a direct approach. They have hired the auctioneer to do the leg work. If it's a shoddy auctioneer, that's between them and the auctioneer.

But if you really want the house and you have a good offer, you are not low balling, going up in the small thousands etc, go for it. My wife had a word with the former owner of our place after getting nowhere and we found out the auctioneer had told her to ignore us, that we were from Limerick and hadn't two brown pennies to rub together, when in fact we had 60% LTV. The man couldn't stomach the idea a Limerick person was buying a house for over 700 grand. Only God knows what the auctioneer you are dealing with is at.

Maybe he thought you're one of these guys
https://www.irishexaminer.com/breakingnews/ireland/nomadic-businessmen-challenge-cab-tax-assessments-over-work-as-tarmac-contractors-857440.html

myshirt

Claw Hammer wrote: »

Maybe he thought you're one of these guys
https://www.irishexaminer.com/breakingnews/ireland/nomadic-businessmen-challenge-cab-tax-assessments-over-work-as-tarmac-contractors-857440.html

I will neither confirm nor deny the rumours

2012paddy2012

myshirt wrote: »

I will neither confirm nor deny the rumours

I think it is probably underhand so will leave well enough alone. Appreciate advice tho