How much can agents typically lie to increase offers?

HMF_3

Hello

I am thinking about making an offer on a very nice house in a popular area. This is my first experience of buying a house.

The agent tells me that other offers have been made at a certain level (around the very upper limit of my budget) and so my offer needs to be above them. This does seem probable but how can I find out for certain if it is true? I don't want to lose the chance to secure the house as for various reasons I need to move soon but I don't like this sense of being bullied into a quick decision and having to be so dependent on what the agent claims...

Any advice gratefully received. Apologies if this has already been covered in the forums - if so please could you direct me to the relevant post?

Thank you.

FireWyrm

Ack, it's always a !!!!ing contest. They tell you one figure, you tell them another. You pays your money and you takes your chances. There is no way to find out for sure what other offers have been made, if any, but there's nothing stopping you going directly to the vendor and enquiring...

BornAtTheRightTime

When selling my house the agent was quite open with me in that he told me about making up 'other interested parties' to pressure viewers into offering near to asking price. I also had a noticeboard in a prominent place on which I wrote times and names of scheduled viewers, including some make-believe ones. In other words, don't believe what they tell you!

Millie_Millsters

HMF wrote: »

Hello

The agent tells me that other offers have been made at a certain level (around the very upper limit of my budget)

I didn't even consider offering when this happened to me but walked away. There are plenty more houses for sale in my area.

funkyparott

Did you see a financial adviser tied to the estate agents?
If so, I'd be concerned. (previous experience)

I'm sure that FA's aren't meant to, but whats to stop him telling the agent how much money you can afford / have been approved for? This can work against you when putting offers in, causing the agent to push for higher offer fees.


Anyway, I'd make an offer and stick to your guns. If you doubt the agent, you can always go and check with the vendor yourself (a hand written letter works wonders in my experience). The agent will be breaking the law if they don't pass your offer on.

WebGuru

I went to see an Financial Advisor though a Estate Agent. Spoke with the EA the next day and he knew exactly what I could borrow, and said that I was looking at properties which weren't expensive enough! The EA then told vendors that when we went to look at properties we were good for our money.

They are a bunch of lying, cheating filth.

Vincenzo

HMF wrote: »

Hello

I am thinking about making an offer on a very nice house in a popular area. This is my first experience of buying a house.

The agent tells me that other offers have been made at a certain level (around the very upper limit of my budget) and so my offer needs to be above them. This does seem probable but how can I find out for certain if it is true? I don't want to lose the chance to secure the house as for various reasons I need to move soon but I don't like this sense of being bullied into a quick decision and having to be so dependent on what the agent claims...

Any advice gratefully received. Apologies if this has already been covered in the forums - if so please could you direct me to the relevant post?

Thank you.

There is no point in analysing the agent speak too much. Work out what you can afford and what you are prepared to pay and make an offer you are happy with. The agent has to report it to the vendor. Then sit tight and wait for the response. Any reputable agent will confirm the offer you have made in writing and if not you should insist upon it.

On my last house it took nearly 2 weeks of negotiation before we secured it. Very stressful but worth it in the end.

Good luck.

kingstreet

It doesn't matter "what you can go up to."

All that matters is you communicate effectively that "I am making my highest final offer and will walk away if unsuccessful."

MissMotivation

I can only speak for myself but I can honestly say that I have never made up the existence of another offer and had never disclosed the amount of another offer (should there be one).

I *know* it happens as I suspect I have been on the receiving end of it but as to how much it happens is anyones guess.

My advice? Make an offer based on how much you feel the property is worth and how much you want the property.....that way you can't go wrong and it matters not what other people have offered...if any!

JimmyTheWig

As a general rule, I would disregard anything a salesman (including an estate agent) says about what they are selling which they are not prepared to put in writing to be verified.

In this instance you have no way of verifying these other offers (the agents wouldn't be allowed to give you specific details) and so I'd just ignore it. Put in an offer of what you think it's worth / what you're prepared to pay for it.

HMF_3

Thank you very much to everyone who posted advice - I have put in an offer and will see what happens...