Hi all,
I thought when you put in an offer on a property that it was confidential and that the offer was not allowed to be disclosed? Over the past few weeks Ive had a look at a few places and some agents, without me even asking if there were any offers, came out and said that that they have already had offers of $XXX. I thought that if an offer has been placed then the agent isnt allowed to tell other potential buyers what the other offer is. Is this true?
There is no hard and fast rule however making you aware of offers which have been knocked back is a strategy to induce you to put in a higher offer. The agent will generally not disclose who has put in an offer – this would be a breach of their duty to their clients.
I was in a position which the agent told me the place was sold at X amount and disclosed the figure. However as no contract was signed and it was suject to finance I was told buy another member of staff No its not sold yet. I was encorage to make my best offer as there is another offor on the table right now. Well boys and girls the place is still for sale 3 weeks after. I did put in an offer and was pushed to make it my best and I may not get another chance (all sales talk). Some agents will tell you there is another offer, some will even tell you the price but untill you see it in writing dont beleive it, Why should you? You will never know if there is another offer 100%, however its not seen as ethical to tell others peoples offers. Make your offer on what you think the place is worth to you, end of story. If some one whats to pay more fine. I called ther bluff about the other offer and it never surfaced as it was 6k more than mine, so is it still on the market. Remember an Agents job is to sell for the best price your job is to buy for the best price. If you really like a place (try not to get to emothional) try to make your term more attractive 30 day settlement no finance, 10 % deposit on the table tomorrow morrning and give them 24 hours to make up there mind. However never slam the gate behind you, If your offer gets knoked back stay firm as they may get back to you or give them the hint you may be able to go a bit higher but only a bit then see what happens. I feel like others now is a buyers market, cash is the king not Elivis.
Good luckTony
As a Real Estate Agent I personally NEVER disclose other offers. I find it unethical and a form of dutch Auction.I have a leaflette that I provide to all intending purchasers that reads as follows:
A Buyers guide to property pricing and making an offer I have prepared this to try and answer most of the common questions that are posed by potential purchasers that wish to know more about making an offer on a property I have for sale. If you require any further details, please ask. Price ranges: Advertised price ranges are an indication of price only and are based on the most recent sales results for real estate in the location of the subject property. A price range of 10% is used and will incorporate the most likely sales result based on past sales. In a rising market, it is often difficult to determine a more accurate price as area sales have occurred in the past – in some cases up to six or twelve months earlier, but would initially expect offers to fall in the higher 1/3 of the indicated price range based on this information. It is also possible (but not always the case) that offers may exceed the advertised price range as competition between purchasers ultimately will determine the final sale price.What you should do:
• Complete the intention to offer form supplied
• Determine what price you are prepared to purchase the property for
• Your offer should be your HIGHEST and BEST offer
TIP: offer up to what you are prepared to lose the property for – in other words if someone else offers even a small amount more, you know you have done what you can to secure it for yourself
• Determine when you wish to take possession of the property (settlement)
• Determine the conditions of the sale (i.e. is the offer subject to any terms and conditions such as finance, building or pest inspections)
• Ensure that the intention to offer is given to the Agent either personally, by fax or email at the earliest opportunity and no later than midday on the Tuesday following your inspection (or earlier if indicated).
• CALL BEFORE SUBMITTING by fax or email to ensure its receipt.
What happens now? I will confirm receipt of your offer by phone (if not provided personally) The vendor will be advised of ALL offers submitted following the close of submissions. In the event of 2 or more similar offers, each purchaser will be contacted (but ONLY THE HIGHEST AND BEST OFFERS) and given an opportunity to negotiate further if required. If your offer is NOT considered close to the highest and best offers, you will NOT be given further opportunities to amend your offer. At a specified time (usually on the afternoon or evening of when offers close), the purchaser who has submitted the most suitable offer will be contacted with acceptance and will be required to formalise the offer by signing a contract to purchase. Please note that the Vendor is most likely (but may not limited to) consider the most favourable offer that is: The shortest settlement (or most suitable to them) Please do not hesitate to talk to me if you require further information or clarification
Thanks for the input guys. Looks like it could have been crap that the agent was talking. I put in a lower off and it was accepted. If only there were more agents out there like you Bill.
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