proof of funds to bid?

freelancerTax · 04-06-2015 9:15pm #1

hi
bidding on a house and ea has come back saying i need to provide proof of finance to show to the reciever. is this normal for a property in recievership?

i am a cash buyer and have told him so... is it just me or would it be insane if hes asking to see my bank statements..lol

Atlantic Dawn · 04-06-2015 9:18pm

If he knows how much you have to bid he will know how much to ask, it's like playing poker and showing the player your against your hand before be plays.

freelancerTax · 04-06-2015 9:23pm

Atlantic Dawn wrote: »

If he knows how much you have to bid he will know how much to ask, it's like playing poker and showing the player your against your hand before be plays.

yep thats exactly what i thought, i have no intention of showing some EA my bank statements btw, he can keep the house in that case. just wondering is it normal for properties handled by a reciever?

CBFi · 04-06-2015 9:41pm

This can happen with estate agents for a straight forward sale too. For a cash buyer, a letter from your solicitor stating that you have the cash in place to purchase should suffice without stating the amount.

bulleyes · 04-06-2015 9:50pm

I'm currently buying a property thats in recivership and EA needed proof of funds for reciver. Cash buyers only due to issues with management co. A quick email from my accountant simply saying bulleyes has funds available to purchase property was suffcent.

I would never show bank statements to an EA. Your bank account is none of their business.

Barely Hedged · 04-06-2015 10:17pm

freelancerTax wrote: »

hi
bidding on a house and ea has come back saying i need to provide proof of finance to show to the reciever. is this normal for a property in recievership?

i am a cash buyer and have told him so... is it just me or would it be insane if hes asking to see my bank statements..lol

Why not ask the estate agent what qualifies as proof of funds rather than Boards.ie?

freelancerTax · 04-06-2015 10:22pm

Barely Hedged wrote: »

Why not ask the estate agent what qualifies as proof of funds rather than Boards.ie?

i already have but he's hardly goin to answer at This time of night is he? hard enough to get a response from them during business hours.

if you dont like the thread feel free not to read or post silly comments

Barely Hedged · 04-06-2015 10:57pm

freelancerTax wrote: »

i already have but he's hardly goin to answer at This time of night is he? hard enough to get a response from them during business hours.

if you dont like the thread feel free not to read or post silly comments

You were talking to him/her at some stage if they told you. Would be a fairly obvious question to ask if you didn't know?

Why carry out a large financial transaction if you don't know the implications of it. Seems bizarre behaviour to me

markpb · 04-06-2015 10:59pm

bulleyes wrote: »

Cash buyers only due to issues with management co.

What?

MarkAnthony · 04-06-2015 11:00pm

It's alight saying I'm not doing X or Y and Z is no one's business but if you're not prepared to play ball there will probably be half a dozen bidders that are so bear that in mind.

quadrifoglio verde · 04-06-2015 11:03pm

markpb wrote: »

What?

I'd there are issues with the management company, banks won't give mortgages as far as I know. Think it's to do with ownership of management company.

markpb · 04-06-2015 11:05pm

quadrifoglio verde wrote: »

I'd there are issues with the management company, banks won't give mortgages as far as I know. Think it's to do with ownership of management company.

If there are issues with the OMC that scare the banks, I'd be very wary about buying a property there.

freelancerTax · 04-06-2015 11:09pm

Barely Hedged wrote: »

You were talking to him/her at some stage if they told you. Would be a fairly obvious question to ask if you didn't know?

Why carry out a large financial transaction if you don't know the implications of it. Seems bizarre behaviour to me

i love all the assumtions here.

i didnt talk to him he emailed me a 20:30 to update me - i emailed back almost right away to ask him what he wanted as proof of funds.

what are the implications oh wise one?

freelancerTax · 04-06-2015 11:12pm

MarkAnthony wrote: »

It's alight saying I'm not doing X or Y and Z is no one's business but if you're not prepared to play ball there will probably be half a dozen bidders that are so bear that in mind.

yep im aware that there would be others willing to do x, y and z -

i dont have an accountant in ireland anymore and have not got a solicitor yet, would get one as soon as an offer is accepted - i just dont see why i would need proof now as no offer is accepted. wont be showing them bank statements anyway

Barely Hedged · 04-06-2015 11:20pm

freelancerTax wrote: »

i love all the assumtions here.

i didnt talk to him he emailed me a 20:30 to update me - i emailed back almost right away to ask him what he wanted as proof of funds.

what are the implications oh wise one?

You didn't provide any of the details initially that you just have now. What else do you expect a person on an internet forum to do but make assumptions unless the details are presented explicitly?

The obvious answer is to engage an independent third party to act as a "guarantor". If you'd engaged your brain, you might have just realised this

pickyb · 04-06-2015 11:21pm

i sold my house recently! and this is the norm.. it is so easy to bid on a home so therfor they want proof that you are a serious buyer - a letter/email from the solicitor should do the trick! goodluck

freelancerTax · 04-06-2015 11:25pm

pickyb wrote: »

i sold my house recently! and this is the norm.. it is so easy to bid on a home so therfor they want proof that you are a serious buyer - a letter/email from the solicitor should do the trick! goodluck

thanks for the info

i guess i will look into that in the morning

thanks to all the helpful posts
ft

freelancerTax · 04-06-2015 11:32pm

Barely Hedged wrote: »

You didn't provide any of the details initially that you just have now. What else do you expect a person on an internet forum to do but make assumptions unless the details are presented explicitly?

so if i dont know the answer i should ask (which i did btw, and also asked here for peoples opininos) but if you dont know the answer you should assume.... double standards much?

Barely Hedged wrote: »

The obvious answer is to engage an independent third party to act as a "guarantor". If you'd engaged your brain, you might have just realised this

that doesnt answer my question - what are the implications of carrying out a large financial transaction?

why would i need a guarantor? - isnt that somone who will service my debt if i dont?

Barely Hedged · 04-06-2015 11:43pm

freelancerTax wrote: »

so if i dont know the answer i should ask (which i did btw, and also asked here for peoples opininos) but if you dont know the answer you should assume.... double standards much?

that doesnt answer my question - what are the implications of carrying out a large financial transaction?

why would i need a guarantor? - isnt that somone who will service my debt if i dont?

I didn't assume anything. I answered based on the scenario you presented initially. You then at a later time presented additional information and then retrospectively suggested that I assumed based on this new information. How am I supposed to know what the full scenario is on an internet forum if you don't present the full facts initially?

A guarantor provides an independent source of verification of your credit worthiness. They don't need to service your debt if you default, per se

freelancerTax · 04-06-2015 11:47pm

Barely Hedged wrote: »

I didn't assume anything. I answered based on the scenario you presented initially. You then at a later time presented additional information and then retrospectively suggested that I assumed based on this new information. How am I supposed to know what the full scenario is on an internet forum if you don't present the full facts initially?

A guarantor provides an independent source of verification of your credit worthiness. They don't need to service your debt if you default, per se

you did assume though you assumed i had not already asked the ea.

anyway thanks for explaining the gaurantor to me.
i have my brain engaged now

what are the implications of carrying out a large financial transaction so i can understand why im a silly billy?

Barely Hedged · 04-06-2015 11:56pm

freelancerTax wrote: »

you did assume though you assumed i had not already asked the ea.

anyway thanks for explaining the gaurantor to me.
i have my brain engaged now

what are the implications of carrying out a large financial transaction so i can understand why im a silly billy?

But I didn't assume anything because you didn't present the full facts. When you post, particularly an opening post, on an internet forum how do you expect people to interpret your post? An opening post is considered to be the full story then a discussion ensues based on it.

The implications are you get shafted for more money than you would have paid otherwise because of your naivety

freelancerTax · 05-06-2015 12:11am

Barely Hedged wrote: »

But I didn't assume anything because you didn't present the full facts. When you post, particularly an opening post, on an internet forum how do you expect people to interpret your post? An opening post is considered to be the full story then a discussion ensues based on it.

The implications are you get shafted for more money than you would have paid otherwise because of your naivety

^^ again with the assumptions

im sorry i didnt post up to your very high standards. ill try harder next time.

you did assume i hadnt asked the ea already otherwise why would you have posted telling me i should ask him.

anyway i dont see why you are posting here you clearly dont want to help and just want to try to throw thinly veiled insults at me.

MarkAnthony · 05-06-2015 12:46am

freelancerTax wrote: »

yep im aware that there would be others willing to do x, y and z -

i dont have an accountant in ireland anymore and have not got a solicitor yet, would get one as soon as an offer is accepted - i just dont see why i would need proof now as no offer is accepted. wont be showing them bank statements anyway

Because people make stupid offers they cant fund and then the process has to start over. It's fairly common for the EA to ask you to prove you can fund the offer your making, especially where receivers are concerned as they may have a specific requirement.

I've never understood the issue with showing bank statements, with the required data protection etc. Maybe it's an Irish thing. Personally I couldn't give a rats behind if someone sees my subscription to a dirty website or my mobile costs €30 a month.

freelancerTax · 05-06-2015 12:53am

MarkAnthony wrote: »

Because people make stupid offers they cant fund and then the process has to start over. It's fairly common for the EA to ask you to prove you can fund the offer your making, especially where receivers are concerned as they may have a specific requirement.

I've never understood the issue with showing bank statements, with the required data protection etc. Maybe it's an Irish thing. Personally I couldn't give a rats behind if someone sees my subscription to a dirty website or my mobile costs €30 a month.

yep i agree people make stupid offers but usually they are people who seek a mortgage i would guess? i have the cash, but i get your point - there are messers out there.

johnnyskeleton · 05-06-2015 2:09am

bulleyes wrote: »

I'm currently buying a property thats in recivership and EA needed proof of funds for reciver. Cash buyers only due to issues with management co.

Danger Will Robinson!

johnnyskeleton · 05-06-2015 2:15am

MarkAnthony wrote: »

Because people make stupid offers they cant fund and then the process has to start over. It's fairly common for the EA to ask you to prove you can fund the offer your making, especially where receivers are concerned as they may have a specific requirement.

I've never understood the issue with showing bank statements, with the required data protection etc. Maybe it's an Irish thing. Personally I couldn't give a rats behind if someone sees my subscription to a dirty website or my mobile costs €30 a month.

Its the fact that my current bid is say 210k but i have 250k in the bank that i dont want to disclose. If i do that, its like going into a negotiation saying im offering X but i am able to pay x+y.

As an aside, do people still pay for pornography these days?

handlemaster · 05-06-2015 6:20am

freelancerTax wrote: »

hi
bidding on a house and ea has come back saying i need to provide proof of finance to show to the reciever. is this normal for a property in recievership?

i am a cash buyer and have told him so... is it just me or would it be insane if hes asking to see my bank statements..lol

This is normal. There's alot of jokers out there

Arbiter of Good Taste · 05-06-2015 8:03am

freelancerTax wrote: »

yep i agree people make stupid offers but usually they are people who seek a mortgage i would guess? i have the cash, but i get your point - there are messers out there.

How does the EA know you have the cash unless he's psychic? Or is he just supposed to take your word for it? :rolleyes:

Of course they are going to ask for some sort of proof.

freelancerTax · 05-06-2015 8:25am

Arbiter of Good Taste wrote: »

How does the EA know you have the cash unless he's psychic? Or is he just supposed to take your word for it? :rolleyes:

Of course they are going to ask for some sort of proof.

how do i know the house is for sale or should i take his word for it? or does it only extend one way?

P. Breathnach · 05-06-2015 8:50am

johnnyskeleton wrote: »

Its the fact that my current bid is say 210k but i have 250k in the bank that i dont want to disclose. If i do that, its like going into a negotiation saying im offering X but i am able to pay x+y....

Your bank can write a letter to confirm that you have funds in place to cover your bid of €210k. Bank staff are used to situations like yours, where their customers have good reason to limit the amount of information provided.

hognef · 05-06-2015 9:06am

freelancerTax wrote: »

how do i know the house is for sale or should i take his word for it? or does it only extend one way?

Or, how do I know you're able to sell at the agreed price? It may not be enough to clear the mortgage, so the bank might not allow it.

Should I ask for mortgage account statements?

freelancerTax · 05-06-2015 9:38am

hognef wrote: »

Or, how do I know you're able to sell at the agreed price? It may not be enough to clear the mortgage, so the bank might not allow it.

Should I ask for mortgage account statements?

its funny i was bidding on another house and asked this exact question - i requested to know if the bank had given consent to sell - i was told nothing would be furnished untill sale agreed.

CaoimheSquee · 05-06-2015 11:53am

Not sure if this has been said (I did scan read everything!) but it is taken as a given that you blank out how much you are approved for. It is totally the norm though and also means it is a bit more fair in that everyone who is bidding are actually ready to buy and there is isn't a bidder in the equation pushing everything up when they are not even in a position to buy to begin with.

All that is needed is a letter from bank/solicitor stating you have the funds or have been mortgaged approved.

This cuts out doing a deal and then finding out later that the bidder hasn't even applied for a mortgage yet or only has approval in principle etc.

Good luck!

CIARAN_BOYLE · 05-06-2015 12:42pm

You mention that you are a cash buyer, ie you have said to him I'll cause you no hassle accept my offer and the sale will go ahead straight away no muss no fuss. You might not have said this but its implied when you say you are a cash buyer. Well he wants evidence of that. Perhaps the seller is considering accepting your bid ahead of a slightly higher one which is pending mortgage approval but feels there needs to be evidence. It happens often enough. I know you don't have a solicitor or an accountant in Ireland as of yet but either would be used to providing such letters on request. Might be a good idea to get a solicitor ahead of going sale agreed.

Best of luck.

Arbiter of Good Taste · 05-06-2015 1:38pm

freelancerTax wrote: »

how do i know the house is for sale or should i take his word for it? or does it only extend one way?

Fine, don't comply. I'm sure there is someone else who will

Victor · 05-06-2015 6:21pm

freelancerTax wrote: »

what are the implications oh wise one?

Drop the sarcasm.

Barely Hedged wrote: »

If you'd engaged your brain

Please do not post like this.

Do not reply to this post on-thread.

Moderator

hognef · 05-06-2015 6:48pm

freelancerTax wrote: »

its funny i was bidding on another house and asked this exact question - i requested to know if the bank had given consent to sell - i was told nothing would be furnished untill sale agreed.

Yep, it does indeed only work one way, unfortunately... That's been my experience too. Everything appears to be in order, until things start to slow down and the EA eventually reveals that there's an issue with the bank, and weeks later again announces that the property has been withdrawn from the market. Happened to us a couple of times, which is why I started asking that question too (if nothing else than to make a point).

hognef · 05-06-2015 7:01pm

CaoimheSquee wrote: »

Not sure if this has been said (I did scan read everything!) but it is taken as a given that you blank out how much you are approved for. It is totally the norm though and also means it is a bit more fair in that everyone who is bidding are actually ready to buy and there is isn't a bidder in the equation pushing everything up when they are not even in a position to buy to begin with.

All that is needed is a letter from bank/solicitor stating you have the funds or have been mortgaged approved.

This cuts out doing a deal and then finding out later that the bidder hasn't even applied for a mortgage yet or only has approval in principle etc.

Good luck!

What's needed is making an offer acceptance binding both for the seller and the buyer.

That'd force both parties to have everything ready up front, which in turn would force the EA, the banks and other stakeholders to have their stuff ready up front.

freelancerTax · 05-06-2015 7:18pm

turns out the ea didnt fully read any of my emails all clearly stating i am a cash buyer ( also told him in person when viewing )

he was looking for mortgage approval.

lol
thanks for suggestions

ft

MouseTail · 06-06-2015 4:58am

freelancerTax wrote: »

yep im aware that there would be others willing to do x, y and z -

i dont have an accountant in ireland anymore and have not got a solicitor yet, would get one as soon as an offer is accepted - i just dont see why i would need proof now as no offer is accepted. wont be showing them bank statements anyway

A receiver will not consider your offer until they see proof of funds, just the way it is.

proof of funds to bid?

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