Dodgy Estate Agents?

[Deleted User]

Guest101 wrote: »

You can also tell the 226 couple to up to 228, offer the property as first to exchange gets it, and get the deal done quickly too!

I agree with Jahoooly, I think this is totally unethical. If I was told I was in a race to contract I would walk.

rrtt

I had a situation where my offer on house A had been accepted but the EAs being used for it also had on their books house B for £100K more which they knew I'd been interested in so they knew what my budget was.

On the day of supposedly exchanging contracts, my solicitor emailed to say that our signed contract and deposit cheque had been returned, as the vendors now wanted £70K more than the agreed price! needless to say I pulled out.

Would never be able to prove anything, but I always wondered if the agents at least tacitly encouraged the price hoick knowing that it would still be within my budget ...

kwmlondon

[Deleted User] wrote:

I agree with Jahoooly, I think this is totally unethical. If I was told I was in a race to contract I would walk.

It took me weeks to actually organise the viewing on the place I'm buying at the moment. I was going to put in an offer without seeing it as I knew it needed a lot of work doing but had conveyancers in place as I'd accepted an offer on my own property. When I got to see the house there were other people viewing and although I offered the asking price then and there one other couple did the same shortly afterwards and I was told the first party to get conveyancers in gets the property. As mine were in place for the sale already I managed to secure the place.

It's a horrible process for everyone, but that's the way it's set up in England and Wales.

kilby_007

kwmlondon wrote: »

It took me weeks to actually organise the viewing on the place I'm buying at the moment. I was going to put in an offer without seeing it as I knew it needed a lot of work doing but had conveyancers in place as I'd accepted an offer on my own property. When I got to see the house there were other people viewing and although I offered the asking price then and there one other couple did the same shortly afterwards and I was told the first party to get conveyancers in gets the property. As mine were in place for the sale already I managed to secure the place.

It's a horrible process for everyone, but that's the way it's set up in England and Wales.

I would have pulled out, personally. They often say things like that even when the other offer is a phantom offer (i.e. made up) to get you to pull your finger out and complete quickly. As has been said above, it's stressful enough purchasing a property without somebody telling you there's an uphill race to the finish...

C_Mababejive

It works like this. Estate agents are the pimps and their vendor clients are simply wh&res. They simply cut the best deal which suits them,often not referring to the clients. This country badly needs EA reform.

Tancred

EAs are largely scumbags in my experience.

In the Berkshire area, I've been scammed by Prospect, Arins, Whiteknights and Romans. I've found that the smaller ones are generally the most reputable ones. Telling lies seems to be a job requirement for an EA.

The issue about 'backhanders' is certainly true. I've seen quite a few houses that I would have bought but sold mysteriously even before going to Rightmove - this speaks for itself.

dominoman

Estate Agents can be awful. Treat them all as if they are unscrupulous and dishonest, and you won't be far wrong.

It sounds like these buyers are genuine. You need to confront the agent about it. Nothing is done yet

kilby_007

Apparently £500 is the standard backhander for an estate agent. It works better for the EA, because 1.5% of e.g. 200k is £3000. If they let you have it for 180k and turn down all other offers above this they make 1.5% of 180k = £2700 + £500 (tax free) = £3200 with the added bonus of selling the property quickly and a nice tax-free supplementary income source for the EA, or the owner of the EA - however it is set up.

rrtt

Tancred wrote: »

EAs are largely scumbags in my experience.

In the Berkshire area, I've been scammed by Prospect, Arins, Whiteknights and Romans. I've found that the smaller ones are generally the most reputable ones. Telling lies seems to be a job requirement for an EA.

The issue about 'backhanders' is certainly true. I've seen quite a few houses that I would have bought but sold mysteriously even before going to Rightmove - this speaks for itself.

Cripes! well if we're into naming names (is this OK to do here?) I found Hopkinsons of Yorkshire incredibly poor - apart from anything else, even my normally v. speedy and patient conveyancing solicitor got fed up to the back teeth with incessant phone calls and emails from not just one of them but two agents in same office who never seemed to communicate with each other! gave conflicting info, and sent double requests etc for info ...

Dacre Son & Hartley + Verity Frearson on the other hand were excellent.

Oh - and PS edit - if in North London, Hotblack Dixon were absolutely brilliant in selling my late mother's house, which was complicated because said to have subsidence (actually historic and had been underpinned years earlier after which no further movement, but we couldn't find the guarantees amongst her papers). Real personal service and superbly efficient, organised, speedy, helpful. A small 2-man band (well 1 man 1 woman ie)

Re properties mysteriously disappearing from the market and reappearing as immediately sold, this can be perfectly legit, as happened with me...Agents emailed me a new instruction as they thought it would be a perfect match for me (it was) and they knew I'd been looking a long time. I viewed it by appointment with them next day, loved it, put in an offer same afternoon, offer accepted the following day! I immediately instructed solicitor and the SSTC sticker went up the day following. So 3 days inclusive from new instruction to 'under offer', 4th day sstc - agents hadn't even had time to put up a board or print the brochure except a 1-off copy for me! and luckily my solicitor is exceptionally fast and wasn't on hol ...

Edit - I didn't think I needed to say this, but just in case - no backhander/s involved :eek: I didn't even know that some people do this, and certainly wouldn't have had the nerve to even consider it!

kwmlondon

kilby_007 wrote: »

I would have pulled out, personally. They often say things like that even when the other offer is a phantom offer (i.e. made up) to get you to pull your finger out and complete quickly. As has been said above, it's stressful enough purchasing a property without somebody telling you there's an uphill race to the finish...

Maybe. I tend to work on the principle that anything an EA tells you could be b******t. However, they don't want to mess you about too much because they really, really want t sale. If they pile on the pressure they could lose a genuine buyer.

Also, all the EA wants is a sale. They don't care about the price. I've offered on one property, just a couple of grand under the asking price and had a rejection saying "the vendor wants the asking price." I've had other EAs tell me that a property has been on for a while and the sellers will probably take 220k on a 235k asking price.

At the end of the day if you know what you are prepared to pay and stick to it then the EA is simply your liaison with the seller.

All of my headaches have come from the solicitors.