Process of sealed bids

Green3

How exactly does the process of sealed bids take place? A property is viewed on a Sat for 15 mins with 30 others. By 5 pm or earlier the estate agent's office closes as it is Sat. Sunday too their office is closed. They need the sealed bids by Mon. You need to go to work on Mon morning. So do people write out their offers on paper, put it in a sealed envelope and go personally to the estate agent's office to hand it over, or do they send it by courier (which may not reach before the specified time usually 12 noon Mon). Where is the time to go personally or even to go in search of a courier on a Mon morning which is a working day? So how does this happen?

anselld

You've got all day Sunday to deliver to the office if you are serious about bidding... or is this just another rant about the London market?

princeofpounds

Sealed bids does not normally mean actually sealing an envelope. It just means everyone putting in an offer before a deadline, in ignorance of other offers. It's a competitive situation meant to bring out your best and final offer without messing around with several counterbids.

The weakness in the process is that if the EA is not honest, they may let the preferred buyer know the highest bid and allow them to beat it. However even sealing an envelope doesn't guard against this. [EDIT: I should add that this isn't actually that common, most of the time the vendor just wants best price and the EA wants an easy completion. I just mention it because the point of 'sealed' is not really total secrecy, certainly not to the EA and vendor]

PS there is no 'official' process so variations can and do occur depending on the individual EA running the bidding.

Mrs_Z

E-mail was acceptable by our Estate Agent.

jackyann

I had longer than this, and took the bid in person. Unless it is impossible on Sunday for other reasons, that is what I would do.
I would ask the EA to talk you through the process - as Prince says, it varies. When we bid on the lovely plot that we built on, we were told that the highest bid would not necessarily be accepted (as the vendors had other considerations) and we had to include evidence that the money was available. We were also advised not to put in a round number - we successfully bid £xxx,101.25p!

Davesnave

jackyann wrote: »

I We were also advised not to put in a round number - we successfully bid £xxx,101.25p!

:rotfl::rotfl::rotfl: I like that!


I just added a whole pound, making mine £9251.

The agent said it was "extremely close."

Yes, it was a long time ago, in a housing market very far away....

Annie1960

Green3 wrote: »

How exactly does the process of sealed bids take place? A property is viewed on a Sat for 15 mins with 30 others. By 5 pm or earlier the estate agent's office closes as it is Sat. Sunday too their office is closed. They need the sealed bids by Mon. You need to go to work on Mon morning. So do people write out their offers on paper, put it in a sealed envelope and go personally to the estate agent's office to hand it over, or do they send it by courier (which may not reach before the specified time usually 12 noon Mon). Where is the time to go personally or even to go in search of a courier on a Mon morning which is a working day? So how does this happen?

There is a programme about estate agents on TV at the moment. Last week they had 'best and final offers' which I think is the same as sealed bids, and these arrived by email.

dominoman

Sealed bids would normally be via email.

Ask the agent at the viewing how we wants the bids and by what time. Also make sure you know what happens if you lose.

I got my house by sealed bids (last and final offers) by offering 45k over asking. Then 3 days later another person who had offered a little less came back and offered an extra 20k. The agent put it to the vendor and he accepted. Grrrr. All I am saying is don't assume sealed bids are always final.