Agent wouldn't take a written offer

I would like some opinions here as I feel something shifty may have gone on.

Found a great property at a good price, 1/2 acre in good location, advertised at 400+. The pressure was on to make offers. Viewed it on Friday night and said that we would be making an offer on Saturday following an inspection.

Viewed it on Saturday, was told that 430K would buy it. We offered 435 but wanted a conditional (pest inspection) offer. Asked to put the offer in writing and the agent stated that he trusted us but hadn't brought any paperwork with him and was off to another property for an inspection.

Thought about it more and contacted him a few hours later deciding that we would make a higher offer with a short expiry as we really didn't want to miss out, the property had too much potential. I stated that we wanted to make another offer but we wanted it in writing. He then dallied around and said that he would contact the vendors and then call us back in half an hour to arrange the written offer.

1 1/2 hours went by and he finally rang whilst we were in the car, 10 minutes away from home. We told him we would call him straight back in 10 min and he said that was no problem. Rang straight back and continued calling him all night and low and behold his mobile was diverted to message bank. We left messages, called his home number spoke with his wife left more messages etc. He then called us at 9pm that night to say that the property had been sold, wouldn't disclose the price.

This whole business seemed very shifty to me. The property was advertised only in the local paper, not on any internet sites except his own. He was a sole agent with his own agency who lived in the local area but worked elsewhere. The vendors were elderly and moving into a retirement village and had lived in the property for 42 years.

What do others think, is this normal practice??
 
Kitkat said:
What do others think, is this normal practice??

Kitkat,

If it were me. I would knock on the Vendors Door and explain what happened.

If the agent is a dirty one and has sold it to an acquaintance, or himself, for a lower price than you clearly explained you were prepared to offer then the Vendor has avenues open to them.
 
Even if the agent had received a higher offer they would not have been looking after the interests of the vendor if they did not contact you to enable you to increase your offer.

I agree it is suspicious and you should contact the vendor directly.

Benson.
 
Absolutely.

A good agent would have worked you to increase the offer more and more. Even if just by saying be already had another interester buyer at a higher price range.

Go see the vendor directly.

Either they'll be happy with the deal they got, or the agent will be caught out for short changing the vendor.

Cheerio

Simon.
 
Dodgy as!

The lesson here is you should have emailed/faxed him and recorded the reciept. He obviously wanted no record of your contact to stuff his deal.

I suspect when you complain he will pull the old" you kept saying this and that but never made a written offer and I had to keep my client's interest at hand " BS.

Ripped OFF, Peter 147.
 
Peter 147 said:
Dodgy as!

The lesson here is you should have emailed/faxed him and recorded the reciept. He obviously wanted no record of your contact to stuff his deal.

I suspect when you complain he will pull the old" you kept saying this and that but never made a written offer and I had to keep my client's interest at hand " BS.

Ripped OFF, Peter 147.

What's frightening is that a large percentage of people that I talk to who have bought more than a handful of properties have invariably got a story to tell about a perception of impropriety or subterfuge in the offer/acceptance process.
 
It would be VERY interesting to find if there is any relationship between the buyer & that agent. And how soon the property is back on the market.

I'd suggest sending your info across to Neil Jenman to pursue. He reckons he's a consumer advocate (not the franchisor of a RE chain) - let him prove it! :)

Cheers,

Aceyducey
 
Thanks for the interesting replies, glad I am not the only one who feels like something dodgy is going on.

I did write a note to the vendors and left it in their letterbox yesterday explaining what happened and leaving my number in case they wanted to discuss things further. However they are in their seventies and I imagine that the first contact would be with the agent and as pointed out he can say anything he wants to as there is no proof.

I rang consumer affairs who also agree that something doesn't smell right but have said that the vendors would be the ones to put in a complaint. As there was no written offer it will boil down to a he/she said scenario.

I like the Neil Jenman idea, will look into that tomorrow and will also see if it will be worthwhile knocking on the door of the vendor myself as well.

Will keep you informed!
 
KitKat,

Definately knock on the vendors door.Wouldn't waste the time informing/promoting Jenman though as he'd probably approach them like a Bull in a China shop!
Hope all goes well tomorrow.
A86
 
Aceyducey said:
It would be VERY interesting to find if there is any relationship between the buyer & that agent. And how soon the property is back on the market.

I'd suggest sending your info across to Neil Jenman to pursue. He reckons he's a consumer advocate (not the franchisor of a RE chain) - let him prove it! :)

Cheers,

Aceyducey

Acey speaks the truth. I have personally seen dodgy deals with someone who was mean't to be above reproach. Agent is probably related or a mate or taking a nice little kickback thank you. He probably stung the aged couple too.

Try Consumer Affairs. If it is the first 2 then he should have declared something to the seller and I guess he did not. Even older types aren't stupid.

CA says they are out for the sharks? Go for it.

Peter 147
 
Peter 147 said:
Try Consumer Affairs. If it is the first 2 then he should have declared something to the seller and I guess he did not. Even older types aren't stupid.

CA says they are out for the sharks? Go for it.
Peter, Consumer Affairs doesn't take action unless you give them all the evidence, a coffee & wrap it up in a big red bow.

They are not committed to actually doing any of the hard work of doing the research, investigation on the ground and building cases unless there is a great PR opportunity in a high profile area that makes the top beaurocrats look good.

Jenman, for all his faults, is prepared to help those who CA doesn't care about.

Cheers,

Aceyducey
 
KitKat,
Most r/e people are more interested in selling
than spending time with the investors ideas..
The more properties you look at through various
agencies ,then the property you missed out on
will always eventuate within a short period of time.
good luck
willair..
 
KitKat,

Not sure about the east coast, but here in the West we have "The Real Estate & Business Agents Supervisory Board (REBAS)
The board has a direct link to the government by reporting to the Minister of The Department of Employment & Consumer Protection.
Part of the boards responsibility is to monitor & investigate the conduct of realestate practitioners.
Your other option is to complain to the Real Estate Institute in your state.
I hope this helps you in some way & I'm interested in your outcome.

Cheers cad.
 
sbe said:
Great idea !


Or send Kevin around there..... :D

If it was in Brisvegas I would. I don't want these people in my industry or at least they should be retrained because this job is a lot easier when you remain honest.

As a speaker said at the AREC conference I attended last week - Tell no lies and you don't have to remember what you said.

Kev

www.nundahrealestate.com.au
 
Kitkat said:
Asked to put the offer in writing and the agent stated that he trusted us but hadn't brought any paperwork with him and was off to another property for an inspection.

Thought about it more and contacted him a few hours later deciding that we would make a higher offer with a short expiry as we really didn't want to miss out, the property had too much potential. I stated that we wanted to make another offer but we wanted it in writing. He then dallied around and said that he would contact the vendors and then call us back in half an hour to arrange the written offer.


Kitkat

I have read your post a number of times and it suggests to me that your insistence on the 'written offer' may have queered the pitch for you.

Why did he need to 'contact the vendors' just because you wanted to sign the contract?

Many vendors list a property but do not have the paperwork, the Section 32 ready. Indeed, many either do not realise they have to do this, but lots of vendors tell the Agent "We'll get that done when you get us the buyer."

Of course, without the S.32 the Agent can't sign a buyer and can't take a deposit. If they do, the buyer can avoid the sale right up until settlement.

So that leaves the verbal agreement and a couple of days / weeks later (depending on the vendor & their solicitor) the prospective buyer is invited to come into the office to sign the contracts and to pay the deposit.

Listings are in short supply. Often an Agent will advertise a property, take inspections, even hold Open for Inspection sessions without a S.32.

Unfortunately, you have no 'right' to know who bought the property. That is confidential information governed by the Privacy Act. The buyer, the price etc are all confidential in a private sale.

You just have to accept that the Agent - who did ring you back (while you were driving and also later that evening) accepted and submitted an offer to the vendors and that offer was accepted.

Really, there is no point in getting yourself upset about this. Such is life. As you go through life there will be many fish which get away - and there's plenty more fish in the sea.

Next time, ask if the S.32 is in the office. Ask if you can call in and pick up a copy. It is the responsibility of the vendor to provide this document. Ask if the contract will be available at the time of the inspection. Take your cheque book with you.

And sorry, all the Agent bashers who have replied to this post. I find many of your remarks quite distasteful, unprofessional and inappropriate. Properties get sold every day of the week and there will always be dissapointed parties. Properties do not always get sold to the highest bidder nor even to the prospective purchaser who appears most keen. Vendors can and do change their minds. It is the vendor's property and they may do with it as they see fit.

Kitkat I synpathise with your dissapointment but by the time you involve yourself complaining about this you could have gone out and bought another three properties.

Regards

Kristine
 
Last edited by a moderator:
Kristine.. said:
And sorry, all the Agent bashers who have replied to this post. I find many of your remarks quite distasteful, unprofessional and inappropriate. Kristine

???

I don't seem to be able to find any agent bashing posts in this thread.
 
Back
Top