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Original poster

EA refusing to take offer until we speak to mortgage adviser

40 replies

Wooosh · 12/06/2020 10:06

We put in an offer on a house today and the EA is saying the offer has to be given to their mortgage adviser and won;t put it forward until I speak with her. Can they do that?
I already have a broker and mortgage offer in place which I can provide evidence of.
My understanding was any offer given had to be put to the vendor. Is that wrong?

OP posts:

HavelockVetinari · 12/06/2020 11:17

We had this 10 years ago when we bought our first flat in London. We'd already decided to go with HSBC, but were being pushed by the broker to take an identical offer from some 2-bit building society. We were told that HSBC had loads of problems getting mortgages approved and it could delay the sale etc.

We went into our HSBC branch to speak to our adviser, he said this kind of tactic is illegal and brought in the head of mortgages who happened to be in the branch that day. I was asked to forward all correspondence with the EA/broker - they were daft enough to put it in writing - and as far I as know HSBC were planning to report them to the FSA.

Original poster

Wooosh · 12/06/2020 11:39

Thanks for your responses everyone. I will be very cautious about what I tell this adviser because I don't want them to know the extent of our budget, that would huge disadvantage in the negotiation.

OP posts:

Talulahoopla · 12/06/2020 11:42

Sounds like the EA is vetting potential viewers more than normal. The EA I'm dealing with on my flat sale told me this week they have properties with 60 viewings lined up when restrictions ease (we're in Scotland). To conduct 60 viewings with social distancing in place is going to take one person at least three whole days. If they had to do that with every property they wouldn't get anywhere so if they can filter out those that aren't in a position to proceed, that can't show the house is affordable or that are generally wasting time then I can see why it makes sense.

That said, she does sound a bit overzealous if you can evidence affordability. If I found out the EA was rejecting people that had a mortgage offer obtained elsewhere I'd be annoyed.

Jo4Laurie · 12/06/2020 11:47

I have an EA who wants proof of mortgage agreement before even allowing me to VIEW. They also wanted me to have finances ‘validated’ by their mortgage broker. I think they try to use as sales opportunity.

BuzzShitbagBobbly · 12/06/2020 11:50

I think they try to use as sales opportunity.

I'd be more impressed if they were at least honest about it.
Trying to lie about it makes it worse.

Viviennemary · 12/06/2020 12:12

Ask them to put that in writing. The fact they won t pass on your offer. Seems like that's illegal. I wouldnt trust an estate agent an inch.

intheningnangnong · 12/06/2020 13:45

I’d also report them to trading standards as it is illegal.

Treacletoots · 12/06/2020 13:52

@firstpregnancy1 thanks for this. Shocked but not surprised and will bear in mind if I ever decided to move again. Every day's a school day.

MarieG10 · 12/06/2020 13:53

It is just yet another scam to get you to use their own mortgage services. The only difference is they are going in heavy refusing to out your offer forward. I don't even think that is legal...or at least isn't compliant with their code of practice.

It is unfortunate that there are scum estate agents like this. We had something similar and I told him in no uncertain terms what I would do if he dared try that one. Backed off straight away and admitted they were required to push us to their mortgage advisor...he didn't know we didn't need a mortgage anyway at that point

TeaStory · 12/06/2020 13:58

That happened to us. The estate agent refuse to let us view properties without meeting with their mortgage broker first, even though we had an AiP.

Asdf12345 · 12/06/2020 16:03

This all seems rather murky. We went and viewed a place, the estate agent asked what we did for a living, the price was haggled, an offer accepted, then sorted out a mortgage.

We were spending about half of our top budget though.

3rdNamechange · 12/06/2020 16:22

I had a row about this with an EA. I asked the manager if they were refusing to put my offer to the buyer if I didn't see their advisor, he wouldn't answer me. I had just remortgaged and gone through a broker and been assured by my lender I could port my mortgage.
I said I'd put a note through the owners door and if I said I had funds in place they should believe me , it almost makes you feel like they think you're lying.
In the end for various reasons I didn't buy the house but it completely put me off that EA.
I understand they need proof of funds , which I was happy to provide , but shouldn't pressure you into using their in house services.

Shinesweetfreedom · 12/06/2020 17:39

@GrumpyHoonMain
You’re an estate agent aren’t you

ListenToIronMaidenBaby · 12/06/2020 20:04

We had this when we were FTBs and then they tried it when we were second time buyers. I only went along with it as I was desperate for the house and strangely it was a good chat and we worked out it was better to pay the penalty to get out of our current mortgage and our own mortgage advisor hadn't advised. We used our own still but was useful in the end!

Smallgoon · 12/06/2020 20:44

Their mortgage advisor usually checks your mortgage offer to ensure it’s legitimate. It’s not a selling technique but a genuine way to filter out timewasters / fraudsters.

A mortgage in principle would solve this issue. So why doesn't the EA simply accept the MIP rather than trying to force the buyer to go with their broker?

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