Reposesed House

Dodgysailor

Hi all,

A few weeks ago we went to see a reposesed house which is the market for £194.950. The state agents had an offer of £186.000 which being a reposesed house had to advertise in the local newspaper. They stated in the advertisment that if after a week no other offers were made, the house would be sell for £186.000 to the initial bidders. We did not saw this in the newspaper after more than three weeks passed. We went to see the house in two ocassions and we made then an initial offer of £190.000 to which we did not get an answer at all. 5 days after making the initial offer and as we really wanted the house we offered the full asking price in written (By email and fax) to see if we can get a better response but again without an answer. Anyone can tell me wheather what they are doing is legal or not? it sounds to me as they are selling the house to a "friend".
Thanks for any comments,
D.S

seabright

A lender has to get the best possible price for a house which they repossess and sell. Maybe contracts have already been exchanged with the first buyer?

However, it is very rude of them not to respond. Can you call in at the office? They can hardly ignore you if you are there in person.

Dodgysailor

But if they have why do they let us watch the house? probably to have someone to grasp just in case the original bidders pull off?

em1977_2

If you offer on the house before it is exchanged then this should be put forward to the Bank. However, an offer may not be accepted until you have been qualified, this means that along with your offer you have to provide proof of funding to the Estate agent to show you can purchase (eg: a bank statement for a cash buyer or a mortgage promise with proof of deposit). You should be asked to provide this when you give your offer to the Estate Agent. The Estate Agent should also tell you when the public notice is going in the paper and which paper it will be advertised. If I was you go down to the Estate Agent with your proof and let them call them whilst your there. They will then have to go back to any other party to get there best offer too, you may have to increase again if two parties have the same offer. Good Luck, keep pushing as your offer seems the best price and that is what they are after.

Dodgysailor

We went to the State agent and they were happy wiht our financial situation. We thought to go there and ask them to call the company which owns the house while we were there but we think it is very easy to make a fake call unless they use loudspeakers.
Can you calrify if our offer shall also appear in the same newspaper or is only the first offer that they got?
Thanks for any clarification,
DS

Milliewilly

If the 186K is cash I can't see them taking your offer of £190K. They don't always advertise the price which is probably why you haven't seen it. 3 weeks on though the first bidder is probably ready to complete as these things are normally done and dusted in 28 days.

lincroft1710

What part of the newspaper did you look in? Some agents put details of repo offers in their ad, others put it in Public Notices section.

Dodgysailor

It was advertised in the weekend magazine of the local newspaper. Our layer called yesterday and told us that what they ar doing is ilegal and urged them to forward our offer to the company selling the house and give us an answer today. Apparently if the other buyers do not make a better offer the house is ours...I am not sure about that...