What do I need to make an offer on house whose owner is in administration

Helene45

I have seen a house advertised in administration through an estate agent. Ive been told it has to be advertised for a certain amouny of time but I cant find out how long this will be.can this date change or does the estate agebt have to let me know an exact date if asked for? Also, ive been told i need a mortgage approval to make an offer - if this the decision in principle or do i have to have gone through the full application process? Many thanks - any info useful

pyueck

It will normally be on the market for around a month after an acceptable offer to allow other offers to come in. Don't be pressured by it though.

You will need a mortgage offer in principal and be ready to act.

Argghhh

beware of being gazumped of your offer is accepted you need to be ready to exchange asap before anybody else offers higher

Helene45

So if i have mip now should I be progressing to full application before i know if my offer will be accepted?

w00519772

The estate agent will let you know if the vendor accepts the offer. However up to exchange you could be gazumped or you may decide to pull out.

G_M

Helene45 wrote: »

So if i have mip now should I be progressing to full application before i know if my offer will be accepted?

No. as soon as offer accepted, go full steam ahead with legals, mortgage, survey etc and get to Exchange asap.

Helene45

The EA say they will only accept a mortgage aproval which i assumed meant an approved application. They want more than mip unfortunately and I think I will run out of time as property has already been advertised for two week and I understand approval can take weeks.

G_M

Is the property under offer? Is there another buyer proceeding?

If yes, then you will need to make a higher offer and have it accepted before that other buyer Exchanges Contracts.

If there is currently no other offer on the table, the property will continue to be marketed until you or another buyer make an offer and Exchange, or the seller decides to go to auction instead. There is no set timescale for this.

As for you assumption above, I find it hard to believe. In order to get a firm mortgage offer the lender will need access to the property for Valuation. The seller is unlikely to permit access until an offer has been accepted.

Helene45

Thank you for clarifying

Helene45

An offer has been made of 10percent below the asking price. I offered the askig price and the other bidder immediately came back with an offer of 1k more. Can the bank accept this offer without me being asked if i want to bid higher? I dont want ro miss out on the property but dont want to get into a bidding war. Should i hold my ground aasuming they cant proceed until i let them know if i want to offer more or not? Or should i bid another 1k more? Should i be acting fast or waiting? Or should i be going all out and offering the price i have as my limit and which i cannot go beyond - all or nothing? Any advice appreciated!

pelirocco

Argghhh wrote: »

beware of being gazumped of your offer is accepted you need to be ready to exchange asap before anybody else offers higher

My son and daughter in law got to date of exchange and the administrators decided they could get £50k more. They accepted £25k more and son had just a few hours to get the extra funding