Estate agent rant

[Saddlesore]

We made an offer on a house on Monday, which was rejected. We increased the offer yesterday and the vendors' estate agent phoned this morning to say the vendor accepted it. Cue congratulations from estate agent ("You're a great buyer", "we'll put 'Under offer' on its notice" etc etc - we aren't in a chain and have a 65% deposit + mortgage in principle). Then an hour later, the estate agent phoned saying, "you're not going to believe this, but a higher offer came in by email around the time I was phoning you, and I'm legally obliged to inform the seller."

WTF! Damn right, I don't believe him. But we now have to wait to see if vendor wants us to go to "best and final".

Any estate agents out there care to comment?..

Any estate agents out there care to comment?..

Yep - why do you think this is the estate agents fault? They are legally obliged to put forward any offers received to the vendor, irrespective of whether an offer has already been agreed.

Why don't you believe him? What do you think is in it for the estate agent to make this up?

To give you an example:

Property price: £500,000
Fee to firm of estate agents: 1% = £5000
Commission to individual EA: 10% = £500

Property Sale price: £515,000
Fee to firm of estate agents: 1% = £5150
Commission to individual EA: 10% = £515

Do you seriously think an estate agent is going to go through the trouble, and additional aggravation, of making up another offer just to get another £15 (before tax!!) of commission? It doesn't make any sense.

I understand it's hugely frustrating, and disappointing, but it should not automatically follow that the EA is lying. Especially when there is no logical justification for them doing so.

And some would sell their grandmothers for less. Just saying...

I understand your frustration. But I think it’s unfair to blame the EA, and accuse them of lying.

And most wouldn't. Just saying....

You're letting your established distrust of estate agents cloud your judgement here.

My house had three offers come in on the same day, it’s not unusual. The estate agent has to pass on any offers they receive. I don’t think they have done anything wrongs

*wrong

But Orange, had you already accepted one of the offers before they all came in? And if so, did you have any twinges about going back on that acceptance?

Surely it's the sellers fault for considering another offer, when they had already accepted yours?

The estate agent is right, they are legally obliged to put forward any offers even if an offer has been accepted. They can discourage the vendor from messing you about but they have to put forward the offer.

Maybe - it may depend on what tactics the estate agent uses. Sounds like you know more about these than I do.

An extra £5k, £10k or £15k makes very little difference to the commission paid to the estate agent. All an EA really wants is a straightforward sale.

However, they are legally obliged to put forward any offer that is made at any point, up until the time contracts are exchanged. It is then up to the seller to decide how they respond. As chillaxing says, the EA can dissuade a seller from considering another offer, but the seller makes the decision.

I hope everything works out for you, but it's probably not a good idea to take your frustrations out on the EA, as it's unlikely to be anything they've done wrong.

I used to work at an estate agents. The vendor is the customer, paying the bills, not the buyer. Our job was to get the best deal for the vendor. However, a certain amount of kindness comes into it too, so if another offer is put in after or as one is accepted, we would have to tell the vendor but would point out that they had already accepted an offer, but also help them weigh up the plus points, e.g. first time buyer, cash buyer, versus someone who has a property to sell/ is in a long chain etc.

Cmon, you can’t really think he’s doing this to get an extra tenner of commission for his company can you?

If a higher offer came in and the agent broke the law and didn’t pass it on their could be hell to pay. He’s also not going to lie and say there is another offer when there isn’t just to get another tenner of commission.

Someone else offered, it’s shit, but just wait it out. It’s not the agents fault.

Wow how deflating for you after such great news previously, Hopefully they will look at what position the other buyer is in, You sound like you are still in a pretty good position being chain free and ready to go, Some people would rather take less money for less hassle in the buying process, I personally would, Chains can be a headache.