Are estate agents obliged to pass on offers for LETTINGS?

SideB

Hi there -

I understand that estate agents are legally obligated to pass on all offers made before contracts are exchanged, in sales. But does this also apply to lettings?

I just saw a property that I really liked, called the estate agent, who said they'd already received an offer today, below asking price. I was willing to offer asking price, but he said that he could not take any other offers until the landlord accepts/refuses the other one, even if mine is higher.

I'd really appreciate any advice!

Thanks

camptownraces

Whether all offers are passed on depends on the contract between the landlord and the letting agent. It seems that landlord has not yet responded to the earlier offer - and although below the asking rent, the agent may quite correctly be waiting for a response on this. Of course, it's possible that these potential tenants may appear to the agent to be a very good prospect).

Have you actually viewed the property? If so, I wonder why the agent let you view before knowing whether to proceed?
If you just saw the property advertised, and viewed from the outside, the agent may have put it up as a teaser - quite a common practice.

It's not the case that the first offer secures the place with rentals, especially in areas of high demand. Another approach for landlords is to say "we'll see what offers we get within the next few days, and proceed with the one who seems most likely, providing of course that references etc come back OK".

slopemaster

SideB wrote: »

he said that he could not take any other offers until the landlord accepts/refuses the other one, even if mine is higher.

Sounds like rubbish to me - as a landlord I would want to know about all offers before deciding.
Perhaps the offer is from the letting agent's mate?
Or perhaps the LL has told the agent not to bother passing on offers from people in certain categories (eg smokers, single parents..)

PasturesNew

The other people might have paid a "holding fee" and been assured that nobody else could trump them. A holding fee is usually presented as "it's yours - dependent upon credit checks".

Annie1960

http://www.tpos.co.uk/downloads/IEL02-3%20Code%20of%20Practice%20for%20Residential%20Letting%20Agents.pdf

See para 6b.

This is what they are supposed to do. Whether or not they actually do this is a different matter.

You could make sure you put your offer in writing, which may make it more difficult for the agent to ignore. A quick email to follow up your conversation should suffice.

sacha28

I'm somewhat confused......having rented for many years I have never heard of 'offers' on rental properties. I thought the price you see is the price you pay, have things changed lately?

Annie1960

sacha28 wrote: »

I'm somewhat confused......having rented for many years I have never heard of 'offers' on rental properties. I thought the price you see is the price you pay, have things changed lately?

Of course you can make an offer! I'm sure they are priced with this in mind.

Mercurial

My LA always considers offers for the flat I rent out though it's always been let at the advertised amount due to location and it being a nice building.

sacha28

Annie1960 wrote: »

Of course you can make an offer! I'm sure they are priced with this in mind.

Sorry, may be being REALLY stupid here but please can you clarify......we're going to look at a house in Cornwall on Monday, it's on for £750pcm. I can go into the office after the viewing and say 'I like it, it's nice, but I think it's only worth £700pcm and that's what I'm going to offer you'?

Am I reading this right?

[Deleted User]

Of course you can do that. But the offer may not be accepted, particularly if its in an area of high demand. In some places, you get the rpm price, and people, if they want the property will offer higher than that to ensure they get it because they know there will be more than one offer on the place.

dancingfairy

I always assumed that the price it was being advertised at was the price it was. I discovered though that people expect you to haggle (well in some places anyway). I guess this just means they put the price up higher to start with if they expect to be haggled with?
I think it varies hugely. I thought it was mainly in big cities like London (although this was some years back). I guess now in London demand is so high that you have to pretty much decide on the spot and be first to view so there is no chance to haggle.
df