Matching a current bid

MrBusso

Hi,

Viewed a property yesterday that has been on the market for a number of months. We were the only people there and were told that an offer is in below the asking, however, that buyer has been very slow to push things forward.

I have dealt with this particular EA on a previous unsuccessful bid and found him most unhelpful and very poor at communicating. I do not want a similar experience this time round so, if I was to formalise a bid matching the existing offer, outlining the fact we are not in a chain, have approval and are ready to go would this be conveyed to the seller or, because it’s not a larger bid than the current one can it be dismissed?

Thanks.

mkdon

I have found EA s are the most unprofessional sorts I have ever come across.... is there any proof of the bid from other person?

averagejoe123

MrBusso wrote: »

Hi,

Viewed a property yesterday that has been on the market for a number of months. We were the only people there and were told that an offer is in below the asking, however, that buyer has been very slow to push things forward.

I have dealt with this particular EA on a previous unsuccessful bid and found him most unhelpful and very poor at communicating. I do not want a similar experience this time round so, if I was to formalise a bid matching the existing offer, outlining the fact we are not in a chain, have approval and are ready to go would this be conveyed to the seller or, because it’s not a larger bid than the current one can it be dismissed?

Thanks.

I would match current bid and say that you are a cash buyer. The EA wants to shift the house. The fact you are not in a chain is a huge bonus. I have seen quite a few cases where sellers have accepted a lower offer because people weren't in chains as they were looking for a quick sale

averagejoe123

averagejoe123 wrote: »

I would match current bid and say that you are a cash buyer. The EA wants to shift the house. The fact you are not in a chain is a huge bonus. I have seen quite a few cases where sellers have accepted a lower offer because people weren't in chains as they were looking for a quick sale

But it appears from the opening post that the op is not a cash buyer, I assume “approval” relates to a mortgage.

Op, if the property isn’t sale agreed, that means 2 things, the owner hasn’t accepted the bid you are planning to match, and the seller is not in a rush. If the bid the same, EA just goes back to other bidder and tells them to move the process on or they are going with your bid. Bid above though, and tell the EA you are looking at other properties and you might get the desired effect.

Cushie Butterfield

I don’t know what good matching the current bid would do for you. If seller was happy with that figure they probably would have gone with it, or at least go with other interested party as they bid first.

I think you should at least offer more than other party.

How much below asking is the current offer?

averagejoe123

If other party is in a chain there could be all sort of difficulties and delays. If sellers want a quick sale someone not in a chain will be a lot more desirable.

If other party is in the same position as you then bid more provided you can afford it and you think the house is worth it.

Fol20

averagejoe123 wrote: »

If other party is in a chain there could be all sort of difficulties and delays. If sellers want a quick sale someone not in a chain will be a lot more desirable.

If other party is in the same position as you then bid more provided you can afford it and you think the house is worth it.

Yes, theee is more problems with a chain however being a mortgage buyer isnt exactly that enticing either. Cash buyers are king and yoy could match an offer if cash. Everything else wouldnt entice a customer tbh

averagejoe123

Fol20 wrote: »

Yes, theee is more problems with a chain however being a mortgage buyer isnt exactly that enticing either. Cash buyers are king and yoy could match an offer if cash. Everything else wouldnt entice a customer tbh

What you will find is a lot of people saying they are cash buyers when they require a mortgage. As long as you have all your ducks in a row mortgage approval can be a quick process. Even if you are a cash buyer the process can take months.

og2k7

Based on the experience there might also be issues with the house: we had it some many times you wouldn't believe. The reason might be simple - as in they are not in rush or super slow but there might be a probate (or even more than one - we had that) that could be the reason. The seller might be in the chain (for example trying to settle some debt by selling more than 1 property - we also had that). Best bet is to offer a tad more than then highest bid if you really want to buy the house to see if there is a counterbid. If they want a higher price or dont want to sell, you will find out this way quicker I think

Good luck - a crappy EA doesnt help and makes the process even worse than it is (and its beyond bad in general)

Fol20

averagejoe123 wrote: »

What you will find is a lot of people saying they are cash buyers when they require a mortgage. As long as you have all your ducks in a row mortgage approval can be a quick process. Even if you are a cash buyer the process can take months.

Your not a cash buyer imo if you are getting a mortgage. I meant you are paying for the property using savings. And savings alone.

GingerLily

averagejoe123 wrote: »

What you will find is a lot of people saying they are cash buyers when they require a mortgage. As long as you have all your ducks in a row mortgage approval can be a quick process. Even if you are a cash buyer the process can take months.

If your require a mortgage and you claim to be a cash buyer then your lying, pure and simple.

Bad tactic, the EA will not be pleased that you're blantly lying.

GingerLily

GingerLily wrote: »

If your require a mortgage and you claim to be a cash buyer then your lying, pure and simple.

Bad tactic, the EA will not be pleased that you're blantly lying.

So you’re saying they don’t like being played at their own game?

GingerLily

GingerLily wrote: »

If your require a mortgage and you claim to be a cash buyer then your lying, pure and simple.

Bad tactic, the EA will not be pleased that you're blantly lying.

So you’re saying they don’t like being played at their own game?

q85dw7osi4lebg

Most agents won't accept matching bids.

And if they do, the vendor most likely won't take the matching bidder seriously (for good reason).

averagejoe123

averagejoe123 wrote: »

What you will find is a lot of people saying they are cash buyers when they require a mortgage. As long as you have all your ducks in a row mortgage approval can be a quick process. Even if you are a cash buyer the process can take months.

If you are relying on a lender to buy a property, the lender will require a survey and valuation before draw done. If there are any issues with either, drawdown can be delayed and/or refused. A cash buyer is required to have neither to complete the sale so the process is faster. Why would a cash buyer take months to complete unless there was a problem on the sellers side?

Fol20

Dav010 wrote: »

If you are relying on a lender to buy a property, the lender will require a survey and valuation before draw done. If there are any issues with either, drawdown can be delayed and/or refused. A cash buyer is required to have neither to complete the sale so the process is faster. Why would a cash buyer take months to complete unless there was a problem on the sellers side?

Oddly enough. I didnt need a survey to complete mine. They were newer build apartments and btl mind you.

GingerLily

barrier86 wrote: »

GingerLily wrote: »

If your require a mortgage and you claim to be a cash buyer then your lying, pure and simple.

Bad tactic, the EA will not be pleased that you're blantly lying.

So you’re saying they don’t like being played at their own game?

If you want to piss off the EA and seller go ahead, but your unlikely to go sale agreed if you start playing games.

GingerLily

OP, I'd just offer 500e or 1k more then the current bid.

daheff

OP -a couple of things

If you are offering the same as the existing offer you need to be able to show that your bid is better. Why is it better?


If you are a cash buyer (ie have all the cash yourself and don't require borrowings) then you are top of the pile.

If you are borrowing but have no property to sell on, then you'd be next preference.

If you are borrowing but have a property to sell then you'd be at the bottom.

you need to convey which of these options is you to the seller/EA. If the other bid is a better option, then don't expect the seller to accept your offer.


also- you mentioned the other bidder hadn't moved things along. Maybe they are in the background. Maybe they've done a survey and found some issues that they are looking into resolving.

Don't expect the EA to tell you the whole truth unless you ask the pertinent questions. They shouldn't lie to you, but they may hold back information unless you ask them.

Cazale

Marvin Millions Lockjaw wrote:

Most agents won't accept matching bids.

Marvin Millions Lockjaw wrote:

And if they do, the vendor most likely won't take the matching bidder seriously (for good reason).

You don't know if other bidders exist, how serious they are if they do and if they are in a chain. Bid what you think the property is worth paying. I bid slightly less than the bid the estate agent claimed was already in and it was accepted the next day.

q85dw7osi4lebg

Cazale wrote: »

You don't know if other bidders exist, how serious they are if they do and if they are in a chain. Bid what you think the property is worth paying. I bid slightly less than the bid the estate agent claimed was already in and it was accepted the next day.

If you suspect other bidders don't exist yet proceed to deal with the EA and go sale agreed (despite not trusting them ) you are somewhat of a house / naive bidder.

I presume you reported then to the PSRA for lying about a bid.

averagejoe123

Marvin Millions Lockjaw wrote: »

Most agents won't accept matching bids.

And if they do, the vendor most likely won't take the matching bidder seriously (for good reason).

This is untrue. Especially if the buyers circumstances are different.

q85dw7osi4lebg

averagejoe123 wrote: »

This is untrue. Especially if the buyers circumstances are different.

This is untrue.

I can point you in the direction of many who don't take matching bids.

D3V!L

Would submitting a max bid be a bad move ? Obviously you would end up paying that amount.

averagejoe123

mkdon wrote: »

I have found EA s are the most unprofessional sorts I have ever come across.... is there any proof of the bid from other person?

What proof are you looking for here? The agent has told them there is a bid on the property. The agent must log all bids on each property.

The OP can either walk away or put their own bid in.

averagejoe123

D3V!L wrote: »

Would submitting a max bid be a bad move ? Obviously you would end up paying that amount.

That would depend on how much the "max" bid is relative to the current offer on the house.

I have tried this tactic before where I felt a property was worth it but was outbid unfortunately. As least there was no if's or buts.

q85dw7osi4lebg

D3V!L wrote: »

Would submitting a max bid be a bad move ? Obviously you would end up paying that amount.

It would at least guarantee an immediate decision. If the bid is accepted, the house is yours, if not, someone else can make it their own.

Cazale

Marvin Millions Lockjaw wrote:

If you suspect other bidders don't exist yet proceed to deal with the EA and go sale agreed (despite not trusting them ) you are somewhat of a house / naive bidder.

You were telling people earlier to bid above whatever random price an estate agent told you. That's naive.

I'd trust nobody especially when it comes to buying a house. I'm my experience if I only went with someone I trusted 100% I'd probably be living in a tent.

daheff

D3V!L wrote: »

Would submitting a max bid be a bad move ? Obviously you would end up paying that amount.

Doing this only means you end up overpaying.


If you are really eager to get this moved along, then maybe bid half way between current bid and your max

eg current bid is 100k, your max is 150k - you bid 125k.

a sizeable higher bid might tempt the seller and flush out the other buyer.

q85dw7osi4lebg

Cazale wrote: »

You were telling people earlier to bid above whatever random price an estate agent told you. That's naive.

I'd trust nobody especially when it comes to buying a house. I'm my experience if I only went with someone I trusted 100% I'd probably be living in a tent.

You mustn't be aware of the fines or prison terms applicable to agents for made up bids I take it. Likewise if they don't record and relay all bids to a vendor.

Claw Hammer

Decide what you think the house is worth. Say to the agent that if the house was available for x amount you would be interested. After that wait for the agent to make an approach.

Cazale

Marvin Millions Lockjaw wrote:

You mustn't be aware of the fines or prison terms applicable to agents for made up bids I take it. Likewise if they don't record and relay all bids to a vendor.

I've never heard of any estate agent going to prison. If they don't record or relay all bids then surely your point of estate agents not accepting matching bids falls under that description.

q85dw7osi4lebg

Cazale wrote: »

I've never heard of any estate agent going to prison. If they don't record or relay all bids then surely your point of estate agents not accepting matching bids falls under that description.

If you put a gun to their head they will, but they will recommend you don't (in your own interest) as you will appear as a messer to the vendor, compared to the person who has already placed the same bid. Think of it from the vendors perspective. :rolleyes:

Fol20

Cazale wrote: »

You were telling people earlier to bid above whatever random price an estate agent told you. That's naive.

I'd trust nobody especially when it comes to buying a house. I'm my experience if I only went with someone I trusted 100% I'd probably be living in a tent.

I think this is the tinfoil hat coming out that EA's are creating fake bidders. An extra 5k offer equates to an extra 50 quid commission. It isnt worth the hassle of a deal falling through or risking your EA license for that type of money. Honestly from my experience, their not in it for the seller or buyer, they are in it for themself to get a sale to close out as many fail and need to be re advertised again.

averagejoe123

Marvin Millions Lockjaw wrote: »

If you put a gun to their head they will, but they will recommend you don't (in your own interest) as you will appear as a messer to the vendor, compared to the person who has already placed the same bid. Think of it from the vendors perspective. :rolleyes:

If I'm a vendor I'm delighted if another bid comes at the same level from people not in a chain if I am looking for a quick sale

Fol20

Cazale wrote: »

I've never heard of any estate agent going to prison. If they don't record or relay all bids then surely your point of estate agents not accepting matching bids falls under that description.

I have never heard of them going to prison either. I also havent heard them getting caught for phantom bids. I have experienced them reject bids however this was mainly down to the situation the deal was under so for example, problems with the deeds so they would only accept mortgage free deals etc.

q85dw7osi4lebg

averagejoe123 wrote: »

If I'm a vendor I'm delighted if another bid comes at the same level from people not in a chain if I am looking for a quick sale

I have been a vendor too so I suppose it is a case of different stroke for different folks. I would prefer my EA to get me the best price possible though, encouraging bids above the current one would be standard enough to achieve that.

averagejoe123

Marvin Millions Lockjaw wrote: »

I have been a vendor too so I suppose it is a case of different stroke for different folks. I would prefer my EA to get me the best price possible though, encouraging bids above the current one would be standard enough to achieve that.

Absolutely they should but the bidder not in a chain presents a more favourable position IMHO.

I am currently selling and looking for a new place. I have been told by the last 2 EAs i've bid on property with that they have offers from people currently renting ready to move. They are much more attractive as it eliminates a large number of potential pitfall and time delays.

I am in a position to up my offer on the latest property but am unsure if I will as it will more than likely only be used as leverage to get the other party to up their bid. The sellers are looking for a quick sale and we can't do that as the only bids on our property are from people in chains.

MrBusso

Thanks for all the replies.

In the end we decided against bidding on that particular property as we found there was planning permission granted on a large site right next to the estate and it is quite built up already.

The painful hunt continues.