First Time Buyer in need of help!

Totoro_2

Hi.

I put in an offer on a repossessed house last wednesday. The estate agents said, because a company are selling the house, that they can't tell me whether the offer has been accepted until I've met with the estate agent's mortgage advisor. I was told the reason for this was to make sure I could afford the property. However, I faxed a copy of my Agreement in Principal as they requested when I put the offer in so feel they are taking a bit of a liberty!

Is this normal?

Thanks for taking the time to read this. Any advice would be so welcome!

BenL

You have proven to them you can get a mortgage so the offer should be put forward.

The estate agent is being very naughty with this, they want you to talk to their in-house or affiliated IFA so they get more commision and maybe so they can get more money from you for the seller.

They are not meant to talk to each other though about what you can afford - looks like common place that they do though.

I have always avoided using the IFA the estate agent recommends and never had a problem buying a house with a agreement in principle.

The IFAs eyes are probably seeing £signs for the extra insurances, term cover, sickness etc etc - 1st Time buyers with little knowledge of what extras they really need are easily pressured/scared into loads of extra products.

I know I was until looking into it all afterwards. We cancelled and shopped around for the mortgage decreasing term cover afterwards and the other level term assurance etc etc was cancelled

AMILLIONDOLLARS

Agreed, they're just trying to get you to take our a mortgage with their advisor. Now that you have faxed over your Agreement in Principle get them to put your offer forward. They should do this verbally and in writing.


Here's a link to the NAEA, they have an advice section for members of the public, give them a call

http://www.naea.co.uk/default.asp

AMD

cassius19

agree with the above two

Jorgan_2

The above advice is normally correct.

We have been asked only once to ensure that our broker had actually qualified all parties that had offered on a repossession. We had multiple offers in that instance.

The important word is to 'qualify' not 'use' the broker.

Angelboots

I also agree with the above. Also find out from the estate agent if they intend on keeping the property on the open market after you have submitted your offer; which is common for repossesed properties.

The company will try and gte the highest price for the property to recoup any lost money and therefore some may keep it on the open market until you exchange contracts.

This happened when i put in an offer to buy a similar property which was accepted then three weeks later a cash buyer under cut me.

Good luck
K

geoffky

how did you find out about it..how did you know it was a repo

Totoro_2

We were told by the estate agents that house had been repossessed when we phoned for details.

Jorgan_2

geoffky wrote: »

how did you find out about it..how did you know it was a repo

Most repossession are sold via estate agents, the ones that can't be shifted there go to auction. There are a few things that give it away, the most obvious one is the taps & W.C. being covered in 'Do not use' tape due to the system being drained down.