estate agents tactics

zaksmum

We have been looking at houses for sale with the intention of purchasing as soon as possible, and have viewed five in the last two months.

In every case the estate agent has insisted on "open viewings" whereby they tell you the time and date of viewing and other interested parties will be viewing at the same time.

If that time and date doesn't suit you it's just too bad. you either view then or not at all. Again in every case when we have asked about making an offer they have said they already have offers above the asking price, so will only submit offers on our behalf if they are also above the asking price. One agent told us they had offers at 30% over asking price!

These are houses at the lower end of the market, probably around first time buyer prices, all needing work, and all with vacant possession, i.e. no chain. Seems the agent wants to start a bidding war - all offers have to be in writing like a tender, too. They won't tell you what actual offers they have, just that you have to expect to pay "well above asking price".

That has totally put us off and we have walked away, and other viewers have told us they feel the same. So what's going on? Is this a tactic to make it look like the market is picking up?

Has anyone else experienced this?

pizzagirl

There's no low to which Estate Agents will stoop to in order to ramp the market.

zaksmum

I agree, but how can it get the market moving again if potential buyers are just going to walk away in disgust?

Kavanne

zaksmum wrote: »

I agree, but how can it get the market moving again if potential buyers are just going to walk away in disgust?

because some people (like me, unfortunately) will fall for it!!!

david29dpo

Are all these houses empty or repros?

Lindy_Loo_3

Sounds like the houses you are viewing are repos (in need of work, in vacant possession, low price etc) and unfortunately what you are experiencing is happening almost everywhere at the moment.

We looked at 2 repos but the agents only seemed interested in getting the highest bidder; both times it went to sealed bids and we've vowed not to entertain looking at any more repos.

Unfortunately, whilst we may see these houses as potential for our families to tend to and live in, those with money are eying them up too as investments and this is who we lost out to both times.

Try looking around at houses that have been on the market a while (use propertybee) that are slightly over your maximum spend as they might be willing to come down for a FTB.

Good luck, try not to lose hope

googler

"In every case the estate agent has insisted on "open viewings" whereby they tell you the time and date of viewing and other interested parties will be viewing at the same time."

... to make it look like there's lots of interest and get people bidding against each other. Remember they're working for the seller, not you.

"...in every case when we have asked about making an offer they have said they already have offers above the asking price, so will only submit offers on our behalf if they are also above the asking price. One agent told us they had offers at 30% over asking price!"

"... the agent wants to start a bidding war - all offers have to be in writing like a tender, too. They won't tell you what actual offers they have, just that you have to expect to pay "well above asking price"."

Since I'm based in Scotland, there's aspects of the English way that baffle me - such as how an agent can have received multiple offers, and just be 'sitting on them' - if I'd made an offer to this agent, I'd be expecting a Y/N within 24 or 48 hours. I wouldn't expect him and his vendor to be still 'thinking about it' days or weeks later, and still running open viewings. Accept an offer, and take it off the market - or - decline the offer and continue marketing.

They must pass all offers to the vendor unless the vendor has specified that they should disregard any below a certain level. So it's possible the vendor has done this.

You could always call the agent's bluff and ask to see the previous written offers (he could cover up personal data) if you doubt that they exist, but yes - the general tactic is to start people bidding against one another - that's what his clients are paying him to do - maximise their selling price, and sell as soon as poss.

goldbyron

I would just make the offer you want to anyway - even if below the market price. It has to be passed onto the sellers and if the agents are bluffing it may well be accepted. Don't let them put you off.

googler

pizzagirl wrote: »

There's no low to which Estate Agents will stoop to in order to ramp the market.

'Open House' is a standard selling practice, there's nothing unusual about it.

Why do you consider it a 'low' ?

SeanOg_3

i've sent this letter to my local council hoping for help. any other advice much appreciated...

Dear Sir or Madam


I am a student living in private rented accommodation. Now that the end of the academic year has arrived it is time to move out of our property. However, as usual, there are complications.

Firstly, in July 2008 the house we moved into was not suitably clean; in fact it was a disgrace the way landlord left it for us. They did address one or two issues, painting over stains when asked, however they did not have the house 'deep-cleaned' as promised. A mistake on our part was not to gather photographic evidence and keep an audit trail of correspondence.

Now that we must move out within the next few weeks, the landlord has sent a letter asking for the property to be 'deep-cleaned!' And have detailed how this will be achieved, moreover, they have sent a list of prices that we will be charged if any of these conditions are not met. It is unacceptable that they should do this, having not cleaned it before we moved in.

Also, there is a document relating to the house in which it states, it is passed for occupancy for 5 persons. However, since July there have been 7 people living here, £59 per week, and the house was advertised as a 7 bed property. This is not only generating a massive additional income, but also against the regulations passed i.e. house with a maximum occupancy of 5 people. Additionally, we signed the contract, pay our rent and paid our deposit as individuals, now they wish to pay deposits back to one person and leave it to us to split it which is another unwarranted inconvenience.

It seems to me that having broken conditions of your contract with them, then their contract with us will therefore be either void or compromised. Could you please advise on how to deal with this issue and how it may be resolved.

zaksmum

goldbyron wrote: »

I would just make the offer you want to anyway - even if below the market price. It has to be passed onto the sellers and if the agents are bluffing it may well be accepted. Don't let them put you off.

Trouble is, the agent won't agree to pass it on to the seller as they say the higher offers make my offer "disregardable" and therefore of no interest to the seller.