Offer accepted contingent on Legals+Mortgage through Seller's EA?

rtho782

Hopefully a quick question.

Friend has had an offer accepted on a property they wish to purchase, contingent on using the conveyancing and brokerage services of the seller's Estate Agent.

My gut feel is that this is either illegal or against a code of practice somewhere but I can't find any info.

Anyone have a link to hand?

Surrey_EA

"You must not discriminate against potential buyers because they don’t want, or might refuse, to take services from you or a connected person, or someone from whom you or a connected person may receive financial benefits"

Page 8

http://www.cimaglobal.com/Documents/ImportedDocuments/The_estate_agency_guide_jan06.pdf

googler

TPO code of practice

"By law you cannot make it a condition of passing on offers to the seller that the buyer must use services offered by you or another party"

https://www.tpos.co.uk/images/documents/rules-codes-obligations/residential-estate-agents/TPOE27-6_Code_of_Practice_for_Residential_Estate_Agents_A4_-_effective_from_1_Oct_2016.pdf

Haven't got a link to the legislation at present

ReadingTim

Out of interest, what if the EA could demonstrate that the instruction came from the vendor? The codes talk about it not being a condition of passing on the offer, but not about conditional acceptance. Similarly, what if it's the seller discriminating, not the agent?

rtho782

Thanks both.

I guess the vendor could refuse an offer if you don't use an EA's conveyancing and brokerage, but what possible reason could they have for this? I can't see a logical reason why, as a Vendor, I might want this.

ReadingTim

rtho782 wrote: »

Thanks both.

I guess the vendor could refuse an offer if you don't use an EA's conveyancing and brokerage, but what possible reason could they have for this? I can't see a logical reason why, as a Vendor, I might want this.

I'm sure an EA could spin something along the lines of stressing the speed and certainty of the transaction completing if everything was done in-house, coupled with the fact it's completely cost and hassle-free to the vendor compared to chancing it with the buyers using their own slow, unreliable people, and the easily led may fall for this 'helpful' suggestion....