Yopa large overvaluation- chance to get fees back?

Woolsery

A lot of posting on here is of the cautionary tale variety, but looking on the matter broadly most of us posting have experienced problems and losses in the property market.

Look at this another way; I employed a financial adviser last year and asked for some of my funds to go into a relatively safe haven rather than somewhere risky. They're £4k down at present and looking like they'll do even worse. I thought when I met him he wasn't as clued-up as I'd have expected, but I didn't speak to anyone else. Mea culpa. With any financial transaction comes an element of risk.

jimmyb78

Woolsery said:

A lot of posting on here is of the cautionary tale variety, but looking on the matter broadly most of us posting have experienced problems and losses in the property market.

Look at this another way; I employed a financial adviser last year and asked for some of my funds to go into a relatively safe haven rather than somewhere risky. They're £4k down at present and looking like they'll do even worse. I thought when I met him he wasn't as clued-up as I'd have expected, but I didn't speak to anyone else. Mea culpa. With any financial transaction comes an element of risk.

This of course is true. I've not sold a house before and it seems I've been stung. I certainly wouldn't do a similar deal when you get paid if you don't even sell the property again. But it's a rough time, i won't lie. Hopefully i can claw something back

canaldumidi

Woolsery said:

canaldumidi said:

jimmyb78 said:

eddddy said:

jimmyb78 said:

Certainly legally apparently they can do whatever they want which is rather depressing 

Well... not really.

They can do what you and the agent agreed they can do.

You shouldn't really walk away from this thinking that "estate agents (and other companies) can do whatever they want" - because it's not really true.

It's better to walk away thinking that you should read and understand contracts before agreeing to them. Then you're less likely to get nasty surprises.

(I guess that if you had read, understood and thought through Yopa's contract at the outset, you wouldn't have agreed to do business with them and you wouldn't have agreed to pay them £1199.)

Perhaps I should rephrase my question to asking if anyone could offer some actual useful advice rather than 'You should have done this' or 'you'll learn a lesson won't you'.  

If not, feel free to scroll on by. I believe the point of the forum is to help other users, not patronise them. 

jimmb78y provided useful advice and explanation of your rights (such as they might be) as well as his reference to 'yous hould have....."

This is an open forum and we who offer advice here tend to do so not just to help the Original Poster, but also for the many other people who read these threads and might find themselves in similar positions. Hence the 'should have done this' comment.

..... By the way, jimmb78y is the OP! It was edddy who gave the advice and they're one of our more tactful posters!

Oops. The weather's too hot for my brain!

Sarah1Mitty2

jimmyb78 said:

'(I guess that if you had read, understood and thought through Yopa's contract at the outset, you wouldn't have agreed to do business with them and you wouldn't have agreed to pay them £1199.)' 

This part riled me, as it suggests I didn't read the contract. I genuinely did. I did though, expect to get offers within an acceptable margin of the initial valuation, in exchange for my 1199. They have not done that and I'm im a position where I now lose badly either way. I'm more looking for ways to approach a complaint to Yopa as legal options would probably be a waste of time. 

I accept you weren't meaning to be patronising. I'm just very stressed and trying to see what I can do to minimise the damage. 

I don`t think you should "expect to get offers" of certain amounts at the moment, the economy is very volatile and it is much harder than it was for people to get mortgages.

NameUnavailable

The other point here is that the OP chose an agent that charges a fixed up front fee, rather than the more traditional arrangement where you pay a % commission on sale, but it's usually more expensive. 

OP you say you can't sell at 80K so why not just leave the place on the market and hold out for a higher offer, given that you will probably have to pay the full fee in any case.

Zerforax

If I understand it, Yopa basically use a different business model. They take on properties and basically take a fee for advertising the property on the portals and do some of the liaising with potential buyers. A traditional estate agent might charge more on a sale but often will only be paid if the property is actually sold.

How long has your property been on sale for? I don't think you have to accept the £80k offer if it is too low for you. You can just leave it listed and use up the full 10 month listing period and pay at the end? Zopa do offer a no sale, no fee option but I presume it is more expensive to use.

Sarah1Mitty2

Woolsery said:

A lot of posting on here is of the cautionary tale variety, but looking on the matter broadly most of us posting have experienced problems and losses in the property market.

Look at this another way; I employed a financial adviser last year and asked for some of my funds to go into a relatively safe haven rather than somewhere risky. They're £4k down at present and looking like they'll do even worse. I thought when I met him he wasn't as clued-up as I'd have expected, but I didn't speak to anyone else. Mea culpa. With any financial transaction comes an element of risk.

Isn`t that a buying opportunity if they are sound investments? Expecting  a financial adviser to be able to outrun the biggest inflation and volatility for 40 years or whatever it is is asking a lot I think.

the_lunatic_is_in_my_head

Services must be carried out with due care and skill, where they aren't the service should be reperformed and if it isn't or the service still doesn't conform to the contract then a price reduction (up to the full contract amount) can be sought. 

If you had 3 agents value your home and they all come in at significantly less than the 95k that might give you a point to argue upon. 

The other avenue is misleading actions that will alter the economic behaviour of the average consumer, i.e did they over value to earn your business. 

Rights to redress are detailed here but beyond my understanding:

https://www.legislation.gov.uk/uksi/2008/1277/part/4A

Out of interest what is the benefit of an agent that gets a fee regardless of whether or not the property sells? I'd have thought the traditional commission aspect gives the agents incentive to sell and for the best price? 

Sarah1Mitty2

the_lunatic_is_in_my_head said:

Services must be carried out with due care and skill, where they aren't the service should be reperformed and if it isn't or the service still doesn't conform to the contract then a price reduction (up to the full contract amount) can be sought. 

If you had 3 agents value your home and they all come in at significantly less than the 95k that might give you a point to argue upon. 

The other avenue is misleading actions that will alter the economic behaviour of the average consumer, i.e did they over value to earn your business. 

Rights to redress are detailed here but beyond my understanding:

https://www.legislation.gov.uk/uksi/2008/1277/part/4A

Out of interest what is the benefit of an agent that gets a fee regardless of whether or not the property sells? I'd have thought the traditional commission aspect gives the agents incentive to sell and for the best price? 

Fair point, but the agent still can`t control how much people want to offer for a property, or how much their lender decides it is worth.

Woolsery

Sarah1Mitty2 said:

Woolsery said:

A lot of posting on here is of the cautionary tale variety, but looking on the matter broadly most of us posting have experienced problems and losses in the property market.

Look at this another way; I employed a financial adviser last year and asked for some of my funds to go into a relatively safe haven rather than somewhere risky. They're £4k down at present and looking like they'll do even worse. I thought when I met him he wasn't as clued-up as I'd have expected, but I didn't speak to anyone else. Mea culpa. With any financial transaction comes an element of risk.

Isn`t that a buying opportunity if they are sound investments? Expecting  a financial adviser to be able to outrun the biggest inflation and volatility for 40 years or whatever it is is asking a lot I think.

Strangely enough, I've managed better than him by putting other funds elsewhere. Diversification of risk and all that.