Estate agents who only allow viewings after seeing a mortgage DIP

deadendwaterfall

I know it's understandable for estate agents to only allow viewings of a property after a mortgage decision in principal has been shown to filter out the time wasters, but has anyone here ever come across any estate agents who refuse viewings of properties to cash buyers even if they have proof of available funds such as a bank statement and only allow property viewings if a mortgage DIP can be shown? 

Carl2510

Seems strange especially if you can provide proof of funds.

eddddy

My guess would be that you were speaking to an 'office junior' who hadn't been briefed properly on what questions to ask and/or didn't understand about cash buyers.

deadendwaterfall

eddddy said:

My guess would be that you were speaking to an 'office junior' who hadn't been briefed properly on what questions to ask and/or didn't understand about cash buyers.

Actually, I only started this thread because of another thread I read upon about estate agents asking to see a DIP before allowing a viewing to take place.  

Thrugelmir

Possibly they've encountered problems in the past. The "cash buyer" subsequently struggles to obtain a mortgage.......Cover all bases. 

Slithery

deadendwaterfall said:

eddddy said:

My guess would be that you were speaking to an 'office junior' who hadn't been briefed properly on what questions to ask and/or didn't understand about cash buyers.

Actually, I only started this thread because of another thread I read upon about estate agents asking to see a DIP before allowing a viewing to take place.  

If a statement of the full balance was available to the EA then I don't see why they'd need a DIP.

Which other thread are you talking about?

eddddy

deadendwaterfall said:

eddddy said:

My guess would be that you were speaking to an 'office junior' who hadn't been briefed properly on what questions to ask and/or didn't understand about cash buyers.

Actually, I only started this thread because of another thread I read upon about estate agents asking to see a DIP before allowing a viewing to take place.  

Do you mean you're asking a hypothetical question about something that hasn't actually happened?

In that case, you've misinterpreted the other thread.  What the other thread would have meant is... most EAs will want to check that you are a serious buyer before arranging a viewing. The things they might ask about include:

• If you require a mortgage, that you have a DIP
• If you are a cash buyer, that you have cash in place (or will get the cash from a property that you're selling)
• If you have a property to sell, that it is under offer (or maybe on the market)
• etc

Most EAs will ask you about the above points before arranging a viewing - but some may ask to see evidence.

If your 'story' sounds implausible and/or you can't provide any evidence to support it, the EA may push-back from arranging a viewing.


 

Scotbot

I would expect them to allow a bank statement in the same way that they do for proof of funds when an offer is made. Yes a cash buyer can back out , so can a mortgagee. The proof of funds is only an indication of affordability not a guarantee.

NaughtiusMaximus

Thrugelmir said:

Possibly they've encountered problems in the past. The "cash buyer" subsequently struggles to obtain a mortgage.......Cover all bases. 

In which case proof of funds would surely suffice instead of a DIP.

eddddy

Scotbot said:

I would expect them to allow a bank statement in the same way that they do for proof of funds when an offer is made. Yes a cash buyer can back out , so can a mortgagee. The proof of funds is only an indication of affordability not a guarantee.

It depends on what definition of "cash buyer" you are using.

If you mean "buying without a mortgage, but using equity from a property sale", there won't be any funds to show on a bank statement.

As above, it's really just the EA checking that you seem to be a serious buyer (as opposed to a dreamer/time waster).