How honest do EAs have to be?

Horizon81

First off, let me say this isn't intended as an EA bashing thread, rather I was pondering the answer to quite a specific question.

I recently pulled put of a house sale following a survey which found evidence of structural movement in several parts of the house. Until I had the results of the survey the Sold board was up outside the house and it was marked as Sold on the website. Now it's back For Sale again so if a buyer asks the question "I see property X was sold, but it's now for sale again. What's the story?', is there any code (legal, moral or otherwise) that dictates the EAs answer?

mlz1413

The EA can give a general answer that the buyer they had pulled out.

The EA and vendors have no responsibility to tell the next prospective buyers about your survey results. I think as long as they don't lie to a direct question then they would not be breaking any code of conduct.

When HIPS were first discussed the survey was to be part of the sellers responsibility, which most people where in favour of and makes the most sense.

Horizon81

So you're saying they can tell a limited version of the truth for their own ends? What if the potential buyer says 'Was it the result of a bad survey?'
There's no truth to that other than 'yes'!

googler

"Was it the result of a bad survey?"

"The viewer/buyer withdrew after commissioning their survey. I can't comment on the results of that survey - that's between that viewer and their surveyor. They didn't share their survey with me"

A possible scenario?

princessamy86

If someone asked me directly whether or not it was the result of a bad survey, I would probably say yes. It's pointless to let another buyer get to the same stage and pull out. I'd be having a word with the vendor to either get the work done or reduce the price accordingly, and then I could say "Yes, it was a bad survey but the vendor is doing x,y and z to sort it out" or "Yes, bad survey but the price has been reduced to reflect the work that needs doing".

I would be recommending to the vendor that we made it clear at offer stage that the bank weren't happy with the survey last time-at the end of the day it needs to be on their instructions.

Chinkle

Just because you pulled out, doesn't means others will. I think the EA will conduct viewings as normal and see what develops. Plenty of sales fall through for numerous reasons and I can't see it making any buyer unduly suspicious, unless of course they walk round what is clearly a house falling to bits.

The only situation I've come across is where the survey comes back and the mortgage company won't lend on it. Then the EA has put it back on the market as 'cash buyers' only, simply as they don't want to waste their time with prospective buyers who need to borrow to fund the purchase.

googler

It works both ways, as well.

Perfectly possibly for viewer/buyer to say "The survey was fine. I've just changed my mind" when it was really due to the survey.

Perfectly possible for viewer/buyer to say "I've got lending in place" when they haven't.

etc etc