In England, is it okay to put offers on more than 1 house at a time?

veejayteekay

My partner and I have been looking for a a house for 6 months with some difficulty. We are in a strong position - first time buyers with a 10% deposit, no onward chain obviously and ready to move tomorrow. We have seen a couple of houses before and put offers on but the first was not accepted as they were looking for more than we were prepared to pay (we think the house was overvalued) and the second we took the weekend to think about it and by then it was too late and someone had beaten us to it.

We have seen 3 houses today we really like and in a bid to be a bit more proactive and avoid the situation of "putting all our eggs in one basket" and hanging all hopes on 1 house (and then missing out if we get rejected on all 3) we have put in offers with all 3. They have all said they will get back to us once they have spoken to our mortgage advisor. Is there any reason why we shouldn't be doing this or this is risky financially? (I should add that our offers have been verbal over the phone, not written). Part of me is worried but the other part of me thinks this must be quite usual in the current competitive market - what do you think???

jaylee3

I don't think there is anything illegal about making offers on more than one property, but it does seem a bit cruel and unfair on the sellers who you will ditch in favour of the one you pick.

Also, be careful, in case there are charges/fines/penalties for dropping out after you have made an offer.

davidmcn

jaylee3 wrote: »

Also, be careful, in case there are charges/fines/penalties for dropping out after you have made an offer.

Can't think why there would be any financial liability, but you might get a reputation as time-wasters.

martin1959

Not illegal but totally immoral.....


Another reason why I would always suggest NO SELLER takes their property off the market until the buyer has a survey carried out....despite what Phil and Kirsty always seem to get agreed....


This would stop people like the OP playing silly games.....

cte1111

I've put in multiple offers when buying, and also had the same happen when selling my Dad's flat, e.g. the potential buyer put in offers on another flat in the block at the same time. I can understand why the buyer did it, he was looking for a good reduction and offering on 2 at the same time was his tactic for getting it. We didn't accept the first offer but negotiated a slight reduction in the end.

I wouldn't start proceedings with more than one property at a time, e.g. if both offers are accepted then you need to pull out on one, preferably sooner rather than later. You probably wouldn't want to be having surveys, searches etc taking place on more than one, as that would cost a fortune and guarantee wasted money, one way or the other.

When we were buying the house that we live in now, we had previously put in offers, that had been rejected on 2 other houses first. One of the other properties later came back accepted the earlier offer, but it was too late by then. I think vendors often think that you will come back with a better offer, but that's not always the case.

I know that we were looking for effectively a bargain and were happy to accept less than ideal condition properties in return. We actually paid the full asking price for this house, as it was much bigger than other houses up for the same money, it was just filthy, badly laid out and suffering from 70s decor plus zero kerb appeal (unless you're a fan of wishing wells in the front garden).

veejayteekay

Thanks guys, I do understand that it's not the most ethical way of approaching things and does make me feel bad for the sellers but bearing in mind at this stage we have only put in verbal offers over the phone - they are all houses that generated a lot of interest (all had open days) and over the last 6 months despite being a considerate person, I have also learnt enough to know that we are going to struggle to get anything if we don't play things a bit more tactically, as otherwise you only put an offer in on one, in the meantime someone else will have snapped up the other 2 and you could be strung along by the seller trying to get more money out of you and eventually declining your offer. I wouldn't dream of going so far as getting surveys, putting in written offers and giving over any deposit money etc yet - this is literally just expressing an interest verbally and making an initial offer. I would of course not string along sellers making them think I was seriously going to buy if I already had something else lined up. The process of negotiations in my experience last a while and not much seems to happen in first few days but this will give us an initial sense of where all 3 sellers are in terms of what they would accept and how much other interest they have had - the first one we hear back from to say they have accepted we will go with and won't put other sellers in the position of receiving our paperwork, solicitors stuff etc. I think it is incredibly unlikely that more than 1 of our offers will be considered seriously in the current market - 1 of the houses had so many couples looking in the open day I think there is a distinct possibility they will be pushing for above the asking price which we wouldn't be willing to pay anyhow, and the other had a fair few look over it as well, so I think it's important to remember that sellers do what they have to do too! I hate it as stuff like this makes me anxious and on edge but I guess this is the reality of buying a home...thanks guys anyway helpful to hear everyone's feedback

jaylee3

Hmmmmm, I can see why you're doing it, but also it is a bit naughty.

It's really up to you (if you think it's best for your situation,) but as someone above said earlier, you could pick up a reputation for being a PITA and a time waster. and could find it difficult to be taken seriously as a buyer. (You may even find people refusing your offers.)

jjlandlord

I don't see how it is immoral...

When you offer on a house, it just the starting point of negotiation.
The seller will likely decline the first offer, then you may increase your offer and the seller may enquire more about your situation, etc.

Now, once you have an offer accepted you should make up your mind because that's when you will have to start spending money and the seller will also get the ball moving on his side.

jaylee3

I think it's a matter of opinion jj. Some may see it as a good idea as a safeguard to make sure you get a property, and other may see it as the (potential) buyer being a timewaster.

The OP could do it, as long as they don't make a habit of it.

I think it's largely subjective whether it's wrong. I think it is (a bit,) but I can see why the OP is doing it.

jjlandlord

jaylee3 wrote: »

I think it's a matter of opinion jj. Some may see it as a good idea as a safeguard to make sure you get a property, and other may see it as the (potential) buyer being a timewaster.

Of course it is a matter of opinion.

When people are looking for a job they send CVs to several employers, interview with several, and may get offers from several employers before making their mind.
I just don't see why that would be acceptable but expressing interest in several properties would not.

IMHO, wasting people's time is going in with no intention whatsoever to buy. However if you are seriously considering buying then that's different.

Now, estate agents may tell you you are wasting their time, but they have a vested interest so I would not take anything they say seriously. It is obviously to their (and seller's) advantage that a potential buyer should become 'infatuated' with a property without any backup plan.

jaylee3

Fair enough ^^

Like I said, it's really up to the OP.