estate agents

woody2234

I want to put an offer in for a property and have a "mortgage certificate" and "mortgage offer" with the facts and figures from my hsbc bank, the estate agent tells me before I put an offer in I have to send these documents to EA so their financial advisor can try and offer me a better rate, but what happens if they put my details in the system with lots of lenders without my permission, will it effect my credit scores, im a first time buyer. I dont want to get the EAs financial advisor involved If I buy a house from them

G_M

I would not give the EA your figures - nor do you have to.

Indeed, remember the EA works for, and is paid by, the vendor. Once they know exactly how much £ you have, they can use this during price negotiations....

Put your offer in writing so they have to forward it to the vendor. Maybe enclose a copy of the mortgage certificat if you want.

No need to see their advisor. Indeed it is illegal for them to make that a condition I believe,

Yorkie1

IF the seller had expressly told the EA that they wanted any potential buyers to be vetted by the financial chap before an offer should be put forward by the EA, then the EA isn't doing anything wrong.

I'm not sure it's actually a criminal offence in any event? Perhaps a breach of the EA Code of Practice? (Happy to be proved different).

Cariad71

By all means get a mortgage quote from their financial agent. But do not reveal your current deal. The EA probably gets commission for passing work to mortgage advisors. Also, why do they need to know your current offer to get you the best deal? They should be able to offer you the best deal without knowing this!

googler

The EA Act, and both codes of practice (NAEA and TPOS) all say that EAs should not discriminate (i.e. refuse to pass on offers) against clients who decline to use the EA's primary or secondary services (such as mortgage advice).

However, the codes also state that an EA can automatically decline any offer which the seller has instructed them not to pass on (i.e. those for which the buyer hasn't been financially qualified, or hasn't seen the EA's mort advisor)

If both of the above apply, it's unclear which takes precedence, for they contradict each other.....

Gromitt

Personally, I would refuse to send such certificates to the EA until such time that an offer had been accepted. I remember one EA telling me they couldn't put forward an offer without proof of funds, but about 3 hours after I refused to provide such documents, they rang me to say they had spoken to the vendor but they wanted a higher figure and would I like to increase my offer.

One EA in particular (I think it was Muller), wanted me to post bank statements to prove my deposit for an offer! Needless to say, I refused, stating that confirmation can be retrieved from my solicitor, should they wish to pay for the cost of doing so. They then withdrew the "requirement". I withdrew my offer after a survey.

eddddy

Hi Woody

If it were me, I'd consider two options:

1) Tell the EA you're happy with your mortgage offer from hsbc, and to put the offer to the vendor on that basis.

or

2) Tell the EA that if the vendor accepts your offer, you will then give the EA's mortgage adviser the opportunity to give you alternative mortgage quotes.

Option 2 might make the EA push the vendor a little harder to accept your offer - because the EA firm might get 'double bubble' - i.e. commission on the sale and commission on the mortgage. But you might end up having to resist a hard sell from the EA's mortgage advisor.

woody2234

thankyou for all replys, I am happy now