Buying a house without going via the estate agent?

escapingthecity · 01/06/2023 15:56

They have entered into a contract with the agent and may not be able to do a private sale. In any case, it's the seller who pays the agent fees, not the buyer, so it wouldn't necessarily save you money if they've had interest at the advertised price. And it won't save you money on stamp duty.

Twiglets1 · 01/06/2023 15:57

It could work as long as you make absolutely no contact at all with the agent.

I would drop a note through their door explaining your interest. Though they may still ask you to go through the agent if they don’t want the hassle of a private sale 🤷🏼‍♀️

OakleyStreetisnotinChelsea · 01/06/2023 15:57

Going privately save the vendor the estate agent fees but you'll still need a solicitor and still pay stamp duty, survey and so on so I'm not sure how you think it will save you money I'm afraid.

MyDogStoodOnABee · 01/06/2023 15:57

If you’re willing to buy, so will others, the buyer instructs estate agent to get the best price for them, not get you a bargain and save a couple of £k 🤷‍♀️

WhimHoff · 01/06/2023 15:58

Depends on their contract but they would probably have to pay the agent anyway.

Christmascracker0 · 01/06/2023 15:58

It’s usually in the terms of the contract that sellers still have to pay estate agent fees if the estate agent introduced a buyer.. I would guess a buyer seeing the ad on Rightmove counts?

Whinge · 01/06/2023 16:01

You know the house is for sale as it's on rightmove, presumably that means they have an EA who has listed it there.

There's no avoiding EA fees as they're already in a contract, and the work the EA has done (for sale board / listing on rightmove etc) is how you found out the property being for sale.

SOBplus · 01/06/2023 16:02

Done it and usually they have to pay a commission for any buyer brought by the agent or agent's firm - which includes looking at websites. In my case, drove past, made an offer to them face to face and agreed that I had no contact with any estate agent or websites. They agreed to use the saved agent fee to pay legals and we were done with them saving a bit and me too, no chain helped.

Christmascracker0 · 01/06/2023 16:06

Also estate agent fees are usually around 1% or maybe 2% plus VAT so unless it’s an expensive house, the sellers might not actually be saving that much.

SDLT is 0% on the first £250k then 5% thereafter up to £925k, so it may not be as much as you think? There’s a calculator here - https://www.tax.service.gov.uk/calculate-stamp-duty-land-tax/#/intro

Stamp Duty Land Tax Calculator

https://www.tax.service.gov.uk/calculate-stamp-duty-land-tax/#/intro

LibertyLily · 01/06/2023 16:12

You obviously only knew it was for sale as a result of the EA's ad on Rightmove. In that case I would assume they'd be liable to pay their EA the fees due.

Which is different to when a few years back an associate told me her FIL was thinking of selling a (tenanted) house in a road I'd long dreamed of living in. We were put in touch, he showed us over the property which we loved and - having discussed the price he'd like to achieve - we made an offer that was accepted. Our own house was already sstc but when the vendor of the private sale house drove by and saw our EA's board had gone, he instructed an agent for his place, believing we'd changed our minds.

Fortunately it was a misunderstanding (our sign had been subject to vandals) and the purchase proceeded without him needing the services of his EA or having to pay their fee.

Twiglets1 · 01/06/2023 16:14

Christmascracker0 · 01/06/2023 15:58

It’s usually in the terms of the contract that sellers still have to pay estate agent fees if the estate agent introduced a buyer.. I would guess a buyer seeing the ad on Rightmove counts?

No seeing a house on Rightmove doesn’t count

Original poster

stirling · 01/06/2023 16:24

Everyone, thank you. Your replies have helped me a great deal. I didn't realise they could still have to pay a fee.
OK glad I posted this, I can proactively call the agent tomorrow t and take it from there

OP posts:

KievLoverTwo · 01/06/2023 16:30

stirling · 01/06/2023 15:53

Hello, wonder if you could shed some light or share experiences.

I'm very interested in a particular house I've seen on rightmove in an area I've longed to live in. It seems ideal and I drove past the house yesterday and just felt great standing outside!
I'm a single mother with two teen dcs. I had my own house evaluated yesterday and it's the exact same cost as the new house. Trouble is I don't really have much for stamp duty (5%?) plus solicitors fees etc.
I wondered how the vendor would take to me randomly approaching ( letter? Ring on doorbell?) and if it holds risks for me...

the idea is that I could offer a little less, and they could save on estate agent fees. But do agents provide protection and is this unethical if you haven't ever been introduced via an agent first?
Thank you

When you do your sums, bear in mind that a lot of houses in a lot of areas are not going for the full asking price at the moment.

It's relatively safe to assume that you might be able to get it for 5% or even less than advertised.

Have a look through old threads (recent ones here) by searching 'asking price' for further information on how people are dealing with offer amounts at the moment.

Mildura · 01/06/2023 16:52

is this unethical if you haven't ever been introduced via an agent first?

Very likely under the terms of the agent's contract with the vendor, you will have been deemed to be introduced to the property via by the agent, as you're aware that it's for sale as a result of the agent's marketing efforts.

Mildura · 01/06/2023 16:53

Twiglets1 · 01/06/2023 16:14

No seeing a house on Rightmove doesn’t count

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I would argue it does.

Twiglets1 · 01/06/2023 17:57

Mildura · 01/06/2023 16:53

I would argue it does.

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On what evidence?

CellophaneFlower · 01/06/2023 18:08

Twiglets1 · 01/06/2023 17:57

On what evidence?

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You're being introduced to the house via the ad the agent has put on Rightmove.

GladysHeeler · 01/06/2023 18:35

How can it not count, seeing it on RightMove? It wouldn't be on there if the agent hadn't put it on there and written the spec and taken the photos.

Twiglets1 · 01/06/2023 18:39

CellophaneFlower · 01/06/2023 18:08

You're being introduced to the house via the ad the agent has put on Rightmove.

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No evidence then.
Ive seen the terms & conditions estate agents impose & for them to get the commission, they have to have the name of the person who ends up buying the house.
That’s why if you switch estate agents after a few weeks or months & go with a different agent, they send you a typed list with the name of every person who viewed your house through them. If you end up selling to one of the names on that list, they are legally entitled to the commission.

Farmerking · 01/06/2023 18:46

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This has been deleted by MNHQ for breaking our Talk Guidelines.

Mildura · 01/06/2023 18:58

Twiglets1 · 01/06/2023 18:39

No evidence then.
Ive seen the terms & conditions estate agents impose & for them to get the commission, they have to have the name of the person who ends up buying the house.
That’s why if you switch estate agents after a few weeks or months & go with a different agent, they send you a typed list with the name of every person who viewed your house through them. If you end up selling to one of the names on that list, they are legally entitled to the commission.

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You might get away with it then, due to insufficient evidence, but in the same way if you saw a for sale board and then knocked on the door you had become aware of the house being for sale as a result of the agents marketing activity.

Twiglets1 · 01/06/2023 19:03

What do you think happens when properties are multi agency? Both estate agents could claim they should get the commission as the property is on Rightmove & both could have their boards outside?
The agent who gets the commission is the one who has the buyers name because they organised the viewing.

Mildura · 01/06/2023 19:07

Just to clarify, you’re saying it’s perfectly acceptable behaviour to see an advert for a house for sale and then approach the owner direct in the Hope of getting a better deal as the seller saves some fees?

GladysHeeler · 01/06/2023 19:17

Twiglets1 · 01/06/2023 19:03

What do you think happens when properties are multi agency? Both estate agents could claim they should get the commission as the property is on Rightmove & both could have their boards outside?
The agent who gets the commission is the one who has the buyers name because they organised the viewing.

'What I think happens' is that most agents charge more commission when you have a multi-agency contract. Which is why most people don't use more than one agent.

Some split it, the commission, but that is rarer.

Twiglets1 · 01/06/2023 19:27

GladysHeeler · 01/06/2023 19:17

'What I think happens' is that most agents charge more commission when you have a multi-agency contract. Which is why most people don't use more than one agent.

Some split it, the commission, but that is rarer.

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Yes they charge more commission. The reason they do that is because one of the agencies will end up getting no commission at all so they both have to accept that risk.
If they shared the commission they would be happy to do multi agency but they prefer sole agency so they know they are getting the commission.