Deposits and fees when buying a house confusion?!

nic3510

We recently viewed a house and loved it so decided to put in an offer. We are now a bit confused as to the info we have been given...

The company it is up with is Springbok properties but is also with a local agent who arrange the viewings. It has also been to auction but didn't sell.

We made an offer (not at auction) which was accepted subject to getting our mortgage sorted.

The agent has told us we now need to pay them £3000 deposit plus a £600 admin fee... which if we didnt get the motrgage or the seller pulled out we would lose.

I was under the impression that the buyer does not pay any agent fees. And why would the agent want the deposit?

My husband has bought a property before and did not pay any fees like this and deposit was done through mortgage company and solicitors

Is there something dodgy here or have things changed? Just feels a little risky and if it means losing a house we love to protect our money then so be it.

Any advice appreciated, complete novice here so forgive me if i'm missing something

Thanks

Leo2020

You don't need to pay the money. I'd imagine that the vendor has specified this as part of the sale - the vendor can ask for a non-refundable deposit but that's it, they can ask - you can refuse.

I would not pay it.

polarization

nic3510 wrote: »

... which if we didnt get the motrgage or the seller pulled out we would lose.
Thanks

This sounds a bit dodgy to me if the seller pulled out, you still have to pay the fees. The seller should pay the fees.

This will turn me away as I won't pay anything apart from the usual cost (survey, solicitors...) to a property.

If you really like the property. I will clarify with the agent and see what this fee is about and under what condition you can get it back. But think carefully before you pay them as it is not a small amount compared with other expenses needed.

cattie

Springbok properties are one of the many sell your house fast agencies & I certainly would not be comfortable with handing over any kind of a deposit, especially if non refundable. No solicitor would be happy with this either & would be advising any client against it.

Look for a house to buy that is sold in the more usual & acceptable way, don't risk losing a chunk of your hard earned savings in buying a house with such financial demands as this one.

nic3510

Thanks for the replies so far. Such a shame as we love the house a great price for a large property:(

We are going to get some financial advice before we do anything. I have learned the hard way in the past that a mortgage in principle ain't worth the paper its written on!
And my husband has already told the agent she is living in cloud cuckoo land if she thinks we just gonna hand over a large sum of money like that! (edited clean version lol)

Apparently as they are auctioneers this is how they work and we will have to pay but we never went to auction and made a straight offer as you normally would. not once did we bid or sit in a room with a little paddle or anything!

RAS

Walk

then run

Annie1960

Do you have a solicitor line up? If so, and if you really love the house, talk to the solicitor who will advise you.

SternMusik

They want you to pay fees? Fine. Reduce your offer amount by the total amount of fees (incl. VAT) and tell them you will pay their fees upon completion.

(I would run a mile though.)