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Original poster

URGENT Help! Have been outbid on a house we put an offer on. Strategic advice anyone?

75 replies

Tinker · 30/08/2006 13:23

Offer put in last week and accepted (but house still to be marketed. Not confirmed in writing to us, ony over the phone)

Rang now to update vendor's agent of our situation - our purchaser has had survey done on my house, to be told on phone that vendor has accpeted a higher offer.

Accept this is business but am pissed off not told about this.

However, what do we do now? Don't want to get into gazumping situation, no other houses available that are suitable/we like. Help please.

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Original poster
Tinker · 30/08/2006 14:07

This is on at "offers over", no asking price. So can go up all the time

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Original poster
Tinker · 30/08/2006 14:08

Actually, is the other offer supposed to be confidential? Agent has told us what it is.

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LIZS · 30/08/2006 14:09

No don't think so , at least in neither case (different agents) were they prepared to tell us the other offers.

Original poster
Tinker · 30/08/2006 14:10

So, it is confidential?

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LIZS · 30/08/2006 14:10

I mean I don't think they should have said, but perhaps that is up to the vendor if not actually sealed bids.

Original poster
Tinker · 30/08/2006 14:11

Oh, I see.

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mazzystar · 30/08/2006 14:13

TBH I think putting in s higher offer with the intention of negotiating back down is pretty unethical myself. And may backfire if there's someone else interested - very interested - in the property.

The way that we thought about it when outbid on our house was how much was the property worth to us. We raised our offer by 7k in the end, which we think was about 2k above the other bid. But we really really wanted the house.

UnquietDad · 30/08/2006 14:14

I've heard of that happening too, wheelybug.

It always annoys me on "Location" when they advise to "get in early with a low bid" and even advise the buyer to make it a condition of the bid to get the house taken off the market.

There is NO WAY that would happen in any vaguely desirable area round here, where things regularly go for above the AP.

The vendor/agent would just say, "Okay, thank you very much, we'll kepe you informed," and sit on the offer until a higher one came in - at which point you are in a bidding-war.

Original poster
Tinker · 30/08/2006 14:21

But how long did you leave it before putting in 2nd bid? Does it really matter anyway?

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shrub · 30/08/2006 14:22

i agree it is unethical but the whole house price market/buying process is unethical around here - house prices in south hams are now 15 times average salary. the only reason i know of this happening is because our buyer did this to us. she sent the agent around with the survey highlighting all works needing to be done with costings and we realised we had to accept the lowering of her original offer or market house again or take it off market do the works required and then put it on the market again at a later date. it put us in a position where we did the same thing to the house we were buying and it worked. since found this to be quite common with people putting in 10 thousand plus over asking price to secure property. though these are all properties that needed work doing to them.
if it doesn't work then i would post handwritten flyers in every house on that street and see what happens (could have a private sale without agents therefore saving more money). was told to always go for the worst house in best street and therefore if you do pay slightly over odds you will recoup money in improvements/renovations
good luck! it took us 3 years to find the right house but was worth it in the end

Original poster
Tinker · 30/08/2006 14:23

This is worst house in good street...

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LIZS · 30/08/2006 14:25

any others for sale or recently sold along there that can give you a steer as to the maximum they might be expecting ?

Original poster
Tinker · 30/08/2006 14:26

Well, one is for sale for quite a lot more - out of our range.

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Original poster
Tinker · 30/08/2006 14:27

But this is truly quite horrid inside.

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KathyMCMLXXII · 30/08/2006 14:28

You can find out about recent sales in the area on www.ourproperty.co.uk - quite interesting, if you don't already know about it.

mazzystar · 30/08/2006 14:29

We had already blown the playing it cool thing because we made our offer on the evening of our second viewing. Rang them back an hour later. It was all very tense and exciting ina Location Location type way. Ours is also the worst ( ie most knackered) house on the best street.

Original poster
Tinker · 30/08/2006 14:34

Have just looked at difference in mortgage repaymnets - hardly anything actually for mortgage we were going for!

Just want it over and doen with.

No other houses on that road are on teh house sales thing, have been looking

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LIZS · 30/08/2006 14:40

Is it horrid as it dirty , yukky, uninhabitable or horrid as in functional but not to your taste and in need of an update ? Assuming the more epxensive one is similar to what you could eventually achieve how much are you looking to have to spend to get there, then work backwards .

Original poster
Tinker · 30/08/2006 14:44

It's habitable but smelly and yukky and in need of complete makeover plus extension looks a bit iffy to me

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shrub · 30/08/2006 14:45

sorry my post doesn't sound clear - what i mean is financially we had no choice but to try doing the same to the people we were buying from also very popular area but house an absolute wreck. if you really want house i wouldn't try the time bluff thing but to go straight in with an offer that would be hard for them to refuse. it shows how serious you are and remind them you had your first offer accepted. i would also ask the agents if they have any written record of your original offer and remind them it was verbally accepted. try going in to office in person

shrub · 30/08/2006 14:49

is the one out of your range completely done up? have you viewed it? might be worth it just to see and compare and if its been on market for a while you could put a cheeky offer in and see what happens.......

wannaBe1974 · 30/08/2006 14:49

tbh, I would walk away. These people have accepted a higher offer without even having the courtesey to tell you, how do you know they won't do the same again? If you go ahead and put in a higher offer and they accept it, this will be a very stressful time for you, you will spend the whole time wondering if/when you will be gazzumped, whether they're still marketing the property on the quiet ... you'll have no way of knowing.

I think it's highly unlikely that the agent will have made it up, as what reason would they then give to the venders for you suddenly increasing your offer?

Original poster
Tinker · 30/08/2006 14:50

This is form the Estate Agent s' Ombudsman site -

Continuation of Marketing
6c
When an offer has been accepted subject to contract, you must consult and take your client's instructions as to whether the property should be withdrawn from the market, or continue to be marketed. In the latter case, you must so advise the prospective purchaser in writing.

We weren't advised in writing. Hence think they're sharks

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Original poster
Tinker · 30/08/2006 14:51

Would love to walk away really but just no other houses for sale and would hate my purchase to fall through because of that.

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wannaBe1974 · 30/08/2006 14:53

most estate agents are. I'm lucky in that ours are actually very good and are charging me a flat fee as opposed to their usual 1.25% fee, as I used them before. Had a very good relationship with them last time and tbh wouldn't use any other agent in the area.