Auctioneer issue

ghostparticles

Hello,

Hopefully someone can advise.

Put an offer on a house recently, offered full amount - cash.
Auctioneer has come back and said we have a competitor, who offered +2k

So we offer another 1.5k on top of that offer to test the water, as we're not sure
if we are bidding against ourselves or a genuine buyer. But auctioneer refuses to pass on offer to vendor, and won't entertain any offers less than 2k. Is this normal practice?

Cheers.

gp

ABajaninCork

I'd leave your offer on the table. Tell the EA it's good for one week.

ghostparticles

Cheers - but the auctioneer won't present that offer to the vendor, which I think is unfair as it's a genuine offer.

Cat.OR

They are legally obliged to tell owner of all offers even if they are telling truth and they know it will be rejected.

ghostparticles

Thanks - So they're legally obliged to pass on my offer to the vendor, but they wont.
I'm sure if I was the owner I'd be interested in an extra 1.5k for my house.

Any advice?

ABajaninCork

I'd tell the EA to present the offer to the vendor as he's legally required to do. As before, tell him it for one week, then you'll be withdrawing from the process without further ado.

Of course, you could present your bid in writing direct to the vendor . He'd be crazy to turn down a cash buyer...

ghostparticles

Ok, thanks - will see how that goes down tomorrow. If they won't take my offer to vendor - I'd consider approaching them directly.

davo10

If the auctioneer is refusing to inform the seller it is probably because he has been told not to. The advertised price is not always the price which the seller will accept, it is only the price at which it was brought to the market. Very often (I have done this myself) the seller will tell the EA that he/she will not consider an offer below a certain price or will not consider an offer below a certain increase in this case 2k.

If you want the property, under no circumstances should you tell them the offer is only good for a week. No seller in today's market would care less, particularly when there is another bidder (always assume that if there is a reason why you want this house, there is also a reason why somebody else would want it). If the week passes, you look foolish if you don't pull your offer, your bids won't be taken seriously after that.

The seller dictates what will be considered so it's either go to €2k or just stand at your previous offer. If your competitor went up by €2k then the same rules apply to all bidders.

In regard to cash buyers, there are lots of cash buyers out there and though a cash buyer would be preferable to most sellers, it is also dependent on achieving a certain minimum price and on whether the vendor needs to sell/sell quickly. Lots of sellers are in no rush and are simply interested in achieving the maximum sale price irrespective of how the buyer comes by the money.

spaceHopper

Assume there is another bidder. Who is the ea and is 2k much compared to the asking. Find out about the seller do they live there are they buying are they in negative equity. Are they under any pressure to sell. Find out about the other bidder are they cash too ask the ea has he checked their finance approval. .. stress your strong points. For the sake of 500 euro is call his bluff.

Nekarsulm

Put your offer down in writing , with the facts you have outlined here, address it to Owner and post it in the door of the house. Seller might get it, or Auctioneer might get it first. Is house occupied?