Pre qualification of offer on house?

hjt32

Hoping those of you more versed in buying houses can help...

We have a mortgage agreed in principle with a broker, this amount plus our planned deposit goes just over the amount we would like to pay.
We have just put in our first offer on a house. It is 10% lower than asking price.
The agent is insisting that we discuss it's affordability with their associated, but independant, broker today before the agent will put the offer to the vendor. He says to ensure that it is plausable and that it is company policy.

Does this sound right? Do I run the risk of showing my hand and them all being in cahoots and pushing us to pay more? or is this standard.

What should I do now?

All advice very welcome... thanks

Boatdweller

Tell the agent to call your own broker to confirm you are proceed-able.

mattk_180

It's common to have to show affordability before your offer is put forward, but them saying it has to be done by their in-house broker just sounds like sales tactics to me.


As suggested above, just get the evidence from your broker/bank or alternatively get the agent to contact them to confirm details.


As far as I'm aware, you don't have to tell them how much money you have or what you can afford, but just confirm that you can afford at least what you are offering.

dgtazzman

Worst case, show them the DIP, but I'd try to give them as little financial information as possible at this stage. Would rather see them accept a yes/no answer from your own adviser, without any firm details being given.

If that fails, maybe try contacting the vendor directly and inform them you are interested in buying, but their agent is trying to pressure sell unwanted financial products to you before putting forward your offer.

G_M

Advice as above, but you can also write a letter to the agent with your offer (with the name of your broker and/or copy of MIP) and send a copy to the seller at the property.

Thrugelmir

Vendor has a figure in mind. Likewise so should you. Just because you can go to a higher figure doesn't mean you will. Not least that you may be offering more than the property is worth.

alan0356

I am a mortgage broker and in these situations I ring the Estate Agent direct on behalf of my clients and advise Estate Agents they are in the position to proceed and usually this does the trick.

Estate Agents will try to get business / commission for in house Mortgage Advisers and will say that you have to see their Advisers - this is simply not true - a good mortgage broker will sort this out for you.

As stated I am a mortgage broker and this reply is for information only.

Alpaca

The mortgage is part of it and, as others have pointed out, your DIP/broker should give some reassurance on that front. The other consideration (and this may be part of what the agent would like more info on from their associated broker) is where the rest of the money is coming from. Firstly, are you dependent on the sale of another property to raise funds. And if not, where is your money? They'll want to know whether it's readily move-able of whether it's tied up in investments that may take a while to liquidate and/or the value of which may fluctuate.