Buying a repossessed property

I_love_Harrison

I've offered the full asking price on a repossed house & my offer has been accepted.

I've been told that they have to advertise the fact that they have had an offer in the hope that they might get further higher offers for 7 days.

The estate agents want me to start the ball rolling with the surveyor & conveyencor but I'm reluctant to spend the money until after the 7 days have passed as there is no guarantee I'm even going to get the house until they withdraw it from sale.

Is this unreasonable of me? Could they decide not to accept my offer after all as I'm not showing willing?

I've been told that you have to complete in 28 days on repossessed properties but I'm a cash buyer with no chain so I'm hoping the 3 weeks will be adequate.

Has anyone else been in this position? What should I do?

tommie1shunt

Normally they will not withdraw a property from the market until it is sold, indeed they will try and get a better price and outbid you at any stage of the buying process, but the nearer you are to completion the less chance they will accept another offer.
Beware of the phantom offers tho.

kingstreet

The mortgagee in possession has to obtain the best possible price for the property. This means it remains available right up to exchange of contracts.

The seven day notice period isn't the end point where no-one else can make an offer, so delaying until it's over is not going to remove the risk of another offer being made.

You might as well get on with your purchase, as the further into it you get, the less likely the lender will be to sell to someone else making a similar offer.

This is how it works when you buy a repossession. The quicker the better, being the watchwords.

I_love_Harrison

Thanks for the replies.

Sounds like its a pain in the bum buying a repossessed property.

Jonesy_McJones

I_love_Harrison wrote: »

Thanks for the replies.

Sounds like its a pain in the bum buying a repossessed property.

I bought a repossession almost two years ago, as a FTB. Took about two months to go through, even though they wanted me to exchange in 28 days. The delays were down to the mortgage lender (not me!) but yes, it was very stressful wondering whether another offer was going to appear... But worth it in the end :T

hartcjhart

beware of rogue estate agents
I saw a house in the paper on its '7day' notice went to the agent and made a higher offer,he phoned me saying that my offer was accepted by the mortgagees.

a couple of days before the 7days were up he called again to say my offer had been rejected! strange eh considering it was 10k above the only other offer

I found out who the mortgagees were and phoned them to be told my offer had not been put to them.

I was asked to fax my offer to their office which I did and they immediately accepted and sent me a fax saying so,

it turned out the agent was playing games trying to put me off so his mate could buy it at a lower offer:mad:

needless to say his firm were sacked by the B Society

Louise.H

hartcjhart wrote: »

beware of rogue estate agents
I saw a house in the paper on its '7day' notice went to the agent and made a higher offer,he phoned me saying that my offer was accepted by the mortgagees.

a couple of days before the 7days were up he called again to say my offer had been rejected! strange eh considering it was 10k above the only other offer

I found out who the mortgagees were and phoned them to be told my offer had not been put to them.

I was asked to fax my offer to their office which I did and they immediately accepted and sent me a fax saying so,

it turned out the agent was playing games trying to put me off so his mate could buy it at a lower offer:mad:

needless to say his firm were sacked by the B Society

I think this happened to me, I did not pursue it by calling the mortgage company as another house I liked for less money came along. Very good piece of advise to find out who the mortgagees are, you can usually find out who they are by the land registry deed for the property I believe. Though there may be a easier and free way I don't know of.

hartcjhart

Louise.H wrote: »

I think this happened to me, I did not pursue it by calling the mortgage company as another house I liked for less money came along. Very good piece of advise to find out who the mortgagees are, you can usually find out who they are by the land registry deed for the property I believe. Though there may be a easier and free way I don't know of.

the house was in a smallish village and an enquiry at the local ale house gave me the number for the 'owners', when I explained what was going on they were more than happy to give me the banks name

I_love_Harrison

Jonesy_McJones wrote: »

I bought a repossession almost two years ago, as a FTB. Took about two months to go through, even though they wanted me to exchange in 28 days. The delays were down to the mortgage lender (not me!) but yes, it was very stressful wondering whether another offer was going to appear... But worth it in the end :T

I'm a cash buyer so I'm hoping that the bank bear that in mind if they get any further offers.