Urgent; is agent right to do this?

haylibo

Would appreciate a quick (and knowledgeable) response. Found a flat with my sister that we liked and paid the landlord a holding deposit. Everything was fine and we were to move in on the 4th October.
Noticed the agent was being slow with the paperwork and when I phoned this morning he said that another interested party put in another, higher offer which he rejected but they have come back with a 'too good to refuse' offer which he has accepted subject to us not trumping it. He told us the first offer they came up with but not the second.
Look forward to any help.
xx

tek-monkey

Never heard of a bidding war on rentals, so not sure where you stand TBH.

loisa

What a horrible agent. Sounds like you've had a lucky escape as long as you get your deposit back.

laughingcow81

If you've paid a holding deposit to the landlord surely the flat should be yours as you've paid it to be held?

It doesn't sound at all right to me, like tek-monkey I have never heard of a bidding war on rentals before but then again I'm no expert on the matter.

Sorry can't be of much help - you should get your deposit back and find somewhere else.

Regshoe

I've seen a couple of posts like this and been quite surpirsed . Perhaps somebody with some legal experience or one of the EAs / ex- EAs who I believe frequent these boards could answer, but surely by giving cash consideration to hold a property they are legally obliged to...you know "hold" the property? I imagine this would depend on what was in writing, but still seems a little off.

haylibo - did you get anything in writing - if so what does it say?

carolinosourus

If they won't give your deposit back, then you've got a problem. Have you approached them about this? Maybe you should ask them what a holding deposit actually does and maybe embarrass them a little... And report back to us what they say too!

Are you sure they're not just trying to get more money out of you?

PasturesNew

I have no idea, but I had always believed a holding deposit meant it was yours - so you had the OK to give notice at your current place and make all your plans to move into the new place.

But, it would seem, that until a tenancy agreement is signed, nothing's set in stone.

It will be interesting to hear a formal/legal answer to this.

welshy_2002

If the 'holding deposit' does not hold the properly, then what exactly is it for lol..

Never heard of anyone paying more than the displayed monthly rental fee either.

Weird..

laughingcow81

welshy_2002 wrote: »

Never heard of anyone paying more than the displayed monthly rental fee either.

[\QUOTE]

No, me either. I don't see why you would even think to do that, unless you are desperate to be in that property. Otherwise you'd just find somewhere else, right?

BASFORDLAD

A holding deposit means nothing legally.I dont know why people bother giving them over.

kidcat

welshy_2002 wrote: »

If the 'holding deposit' does not hold the properly, then what exactly is it for lol..

Never heard of anyone paying more than the displayed monthly rental fee either.

Weird..

Rental markets seem to be quite strange at the moment, I know I have looked at several properties and been advised that the rent was negotiable, I had always assume that the price advertised was the price you paid. But agents are trying to get properties filled even at reduced price so are taking big drops in rent figures ( in this area anyway).

Holding deposit was explained to me as being to "hold" the property while I got the papers together etc or if there was a gap of a month or more between my viewing the property and moving in. I was told that once I had paid the holding deposit it was mine unless my paperwork didnt check out.