Auctioneer wont pass on bid to his clients

G

gavinfitz

Guest
Can anyone give me some advice on the following situation.

I'm an FTB & i've seen a house on the market which i have viewed & i'm very interested in.

The seller wants a very quick sale & has reduced his asking price because of this.
House is also being sold fully furnished.

I've called the auctioneer this morning placing a bid of 10k under the asking price & saying that we already have approval for the mortgate.

The auctioneer has rebuffed my offer saying the seller will not accept it.

My point is that the auctioneer wont even communicate the bid to his seller?

Is this an illegal practice or is it something that happens common place?

I am very interested in this property but because of the current market conditions and lack of buyers out there i'm not willing to offer the asking price on any property as there is no demand.

Any help would be appreciated
 
I think the auctioneer has a duty to pass on all bids to the client, but I'm not sure. Is the auctioneer a member of the IAVI or IPAV? If so, check with them and also threaten to report him to the appropriate one.

Write a nice letter to the vendors detailing your bid and explaining that th reason you're contacting them directly is because the auctioneer refuses to pass on your bid. Tell them that you're a FTB with mortgage approval and can therefore move quickly. Drop it in their door.
 
If they have just reduced their price - It is reasoanbly feasable that they will not consider a lower offer than the new price.

Thus if they have instructed the EA not to pass on lower bids, then EA is just following their clients wishes..perfectly normal to act on clients wishes!

Paddy
 
paddyodoors said:
If they have just reduced their price - It is reasoanbly feasable that they will not consider a lower offer than the new price.

Thus if they have instructed the EA not to pass on lower bids, then EA is just following their clients wishes..perfectly normal to act on clients wishes!

Paddy
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I'd agree with above.

how much has the vendor dropped his price below similar propperties in the area? he proably has told the EA that he will not entertain anything below the asking price.


For example when i sold my place i had dropeed it 15k below other similar properties and was selling it part furnished. the asking price was the absolute lowest i could go, so i told the EA i would not except any lower than the asking price. simple as.
 
The EA must pass on the offer, he surely must also WANT to pass on the offer as it might result in a (rare these days) sale. He may be saying it as some sort of negotiating ploy (but a poor one).
 
thomasmc01 said:
The EA must pass on the offer, he surely must also WANT to pass on the offer as it might result in a (rare these days) sale. He may be saying it as some sort of negotiating ploy (but a poor one).
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You are incorrect - the AE works on behalf of the vendor - as already stated above if the vendor has explicitly told the EA they are not interested in offers below x - then they are obliged to follow thier clients instructions - regardless of where the market is at.

Paddy
 
An auctioneer or agent which this person is acting as due to it being a private treaty sale is an agent for their Client. They advise their Client and are normally instructed to get the best possible price. Considering the AMV has come down the agent has clearly been consulting in detail with their Client and has clear instructions. 9 times out of 10 if you tell a Client you have an offer of x the Client will say how much more do you think you can get. The agent is paid to negotiate which is exactly what they are doing rejecting your offer.
 
The EA must pass on the offer, he surely must also WANT to pass on the offer as it might result in a (rare these days) sale. He may be saying it as some sort of negotiating ploy (but a poor one).
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You would be surprised at how the market is fairing at the moment. There has definitely been an upturn in the last 4/5 weeks.
 
I would have to agree with MrMans comment on a recent upturn. Maybe its only a blip.
 
Be careful accepting local experiences on markets recovering or going badly etc.

When everyone was saying things were bad I saw no price drops in my area, whereas in the past 3/4 weeks I've seen anything from 8% drops on new builds to 20% drops on 2nd hand props. All areas are different with local factors such as a new development flooding the area or low supply which keeps prices stable...

Gavinfitz - if you feel things are still tight in your area or getting tighter -hang tough. A work colleague of mine is delighted she just had an offer accepted on a house recently. She offered below the asking a few months ago (over summer I think) and was told the vendors expected to get well above the asking and weren't considering offers on (and obviously below) the asking... she walked away disappointed but resigned to the fact she wouldn't get the place. The estate agent rang back a couple of weeks ago wondering if her original offer is still on the table! She was delighted. I don't know if she played hard ball and offered even less than her originally lower offer or if she was just happy that her first low offer was accepted - either way, things changed big time.
 
Do you have some information that nobody else has?
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Just offering personal hands on experience on the matter. We look at how we are fairing in our local market on a weekly basis and discuss each subsection in detail. It has been clearly evident to us that a pick up has occured especially in semi and detached houses.

Delboy is right aswell, because I am in the Limerick market and figures here suggest that there has been a slight increase in some sections of the market and some new developments here are actually moving at a fast rate, this will not correlate with every other local market. Unfortunately when the 'property market' is discussed people (media) tend to use the scenario that is evident in the capital and apply it everywhere else.
 
My God. So prices are falling and sales are increasing. There must be some new type of economics at work here.
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And where in my post did I mention a fall in price. 4 bed detached in Limerick have actually risen in the last quarter by 1.08%.
 
MrMan said:
4 bed detached in Limerick have actually risen in the last quarter by 1.08%.
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What is the sample size, what periods are being compared (Q2 v Q1?), are the figures based on actual sale prices or valuations?
 
Saw a thread on thepropertypinDOTcom about a house in Limerick selling at auction for €187k and it had a guide price of €260K. Hardly impressive.
 
Saw a thread on thepropertypinDOTcom about a house in Limerick selling at auction for €187k and it had a guide price of €260K. Hardly impressive.
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Very few have ever gone to Auction here so at that price I would assume that it was in either a dilapidated state or bad area, presuming of course that the thread was accurate.

What is the sample size, what periods are being compared (Q2 v Q1?), are the figures based on actual sale prices or valuations?
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Figure was taken word for word from the Limerick leader.
 
I think this is the property mentioned. It looks pretty small and needs to be renovated, but looks somewhat habitable... Is it a bad enough area MrMan? The area would have to be bad for things to go under the 200k - assuming it's true that it went for 187k
 
I think this is the property mentioned. It looks pretty small and needs to be renovated, but looks somewhat habitable... Is it a bad enough area MrMan? The area would have to be bad for things to go under the 200k - assuming it's true that it went for 187k
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It would be an in between area I guess you could say. It does look like it needs work, but if its only cosmetic €187 would be a decent price to get it for. House in good condition in and around that area can get close to the €240,000, so that was never going to reach that price.
 
MrMan said:
Figure was taken word for word from the Limerick leader.
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You don't have figures yourself taken from your own business? Surely the Leader got it's figures from somewhere, estates agents / auctioneers other than yourself?

I have absolutely no idea what the maket is like in Limerick myself and I'd be very open to reasoned analysis indicating any trend but plucking a statisic out of mid air without any figures to indicate how it was arrived it is worse than useless (a criticism of the Leader article)
 
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