What can/can't the agent tell you?

[13910]

Hey guys,

I'm just wondering what the selling agent can/can't tell a potential buyer? I know what they do say can vary greatly, but just interested to know what the actual guideline is.

My understanding was that an agent can tell you whether they've had offers on a property, they just can't tell you any details of those offers - which I understand. Is that correct?

I ask as I'm looking at a property that I know will move quick close to the asking price, happy to pay near that, but I don't want to go to the expense of solicitor, building inspection and pest report only to find out the vendor has done a deal that same day. Why waste the coin if the property's already gone, is what I'm thinking. But when I asked the agent if he had any offers he said 'I can't answer that', then when I asked if I'd be wasting my time pushing ahead with those things he said 'we'll it's never a waste of time, because these days you never know what might happen with someone else's finances even if they had already made a successful offer'.

Unfortunately the place has no cooling off written in to the contract, otherwise I could just enter the contract, run the risk of losing my 0.25% while having the building/pest sorted out.

Is the agent just being a cagey old tool, or is their truth in his comments?

Cheers
Greg

 

[Propertunity]

they just can't tell you any details of those offers - which I understand. Is that correct?

No, they can & do tell some people details of the other offers. They are bound by privacy legislation so they are not supposed to tell you things like "it is a divorce situation" but thay do tell that to some people too.

Is the agent just being a cagey old tool,

Yep.

At the end of the day the selling agent has to get the best & highest offer for his vendor. Any tactic after that is fair game as long as its legal.

You might just be lining up in case something else falls over and if they do not want an exchange of contracts subject to cooling off then you probably are

 

[Dazz]

I'm just wondering what the selling agent can/can't tell a potential buyer?

That's not the question you should be asking.

You should be asking "What can the selling agent tell a potential buyer THAT A POTENTIAL BUYER CAN RELY UPON."

The answer to that question is....not a single bo-peep.

Unfortunately, the onus is 100% on the Buyer to do their own due diligence. Buyers don't like that.

The vast bulk of Buyers want to be led by the nose, especially with an asking price provided, and then a nice glossy brochure. Spend 30 minutes at the property, have a quick squizz, then retreat back into the family sedan for a private chat before offering an amount equal to the asking price - 6% with a fin. clause and a P&B inspection. Job done.


What happens when there is no asking price provided - walk away, too hard.
What happens when there is no brochure provided - how do you find out ??
What happens when the agent doesn't guide you - complain that s/he is a cagey old tool.
What happens when you rely on what the agent says and then you get stiffed - complain that s/he stiffed you.


As soon as I hear "the Agent said...." that's when I know the Buyer is being slack and they deserve any rough treatment that is dished out.

It is difficult, and hard, and exhausting to stand on your own two feet as an adult and take 100% of the responsibility.....but that's what you have to do if you are to improve your performance against your contractual adversary.

 

[Player]

Verify Everything

Nice post TPFKAD,

for the sake of rapport and maintaining communication nod your head in a trusting way to whatever the agent or any information providor verbally says (some or even all of it may be accurate), however ALWAYS reserve the right to VERIFY what you have been told.

That way one is "response" - "able" ..........responsible and have the ability to respond to what they uncover during their diligence, and not merely react when things don't pan out as they were told.

 

[twobobsworth]

Unfortunately the place has no cooling off written in to the contract,

Why have they done this??

 

[13910]

Thanks unity.

Why have they done this??

Out of state owner, place has been totally trashed by tenants. They just want to write it off to a bad experience and cut their losses.

To others, thanks for presuming I'm a moron and answering something that wasn't asked. There's a big difference between asking an agent for what they think it could rent for or its post restoration value (oh you will make tens of thousands for sure) and merely finding out if the place is already under contract (yes or no. I realise that's too complicated for some agents, but that also helps my screening proces). One should be based on fact, and its only connection to due diligence is whether its worth continuing or spending that cash looking at other opportunities that are still available.

Cheers
Greg

 

[evand]

So is it fair game if its legal but not ethical?

Great way to do business. Pretty much the accepted wisdom on the RE world tho.

Any tactic after that is fair game as long as its legal.

 

[Propertunity]

So is it fair game if its legal but not ethical?
Great way to do business. Pretty much the accepted wisdom on the RE world tho.

Yes it is unfortunate.

By the way, this is not a statement of the way we conduct our business, just a warning to the OP uncoversports, that this is what he can expect when dealing with REAs.

 

[Collector]

Property located in NSW

Hey guys,

I'm just wondering what the selling agent can/can't tell a potential buyer? I know what they do say can vary greatly, but just interested to know what the actual guideline is.

Pay close attention to clauses 3, 5, 6 & 7

My understanding was that an agent can tell you whether they've had offers on a property, they just can't tell you any details of those offers - which I understand. Is that correct?

Yes - No

Read link above


I ask as I'm looking at a property that I know will move quick close to the asking price, happy to pay near that, but I don't want to go to the expense of solicitor, building inspection and pest report only to find out the vendor has done a deal that same day. Why waste the coin if the property's already gone, is what I'm thinking. But when I asked the agent if he had any offers he said 'I can't answer that', then when I asked if I'd be wasting my time pushing ahead with those things he said 'we'll it's never a waste of time, because these days you never know what might happen with someone else's finances even if they had already made a successful offer'.

Offer has been received and accepted - agent does not want sale that is processing to be interrupted by other potential buyers/offers, but wants your details and interest just in case the sale does not proceed

Unfortunately the place has no cooling off written in to the contract, otherwise I could just enter the contract, run the risk of losing my 0.25% while having the building/pest sorted out.

All NSW (residential) sales contracts have cooling off written in to the contract - the agent may however on instructions from the vendor demand that the exchange be unconditional - via waiving cooling off via a 66w - signed by the purchaser's solicitor/conveyancer


Is the agent just being a cagey old tool, or is their truth in his comments?

Might be a hot property, might be relying on instructions - does not want to get into a dutch auction situation

Cheers
Greg

 

[13910]

Property located in NSW

Thanks for that collector. Exactly the answer I was looking for. Seems it's left somewhat open to one's opinion on what's in their client's best interests - which I guess is how we get into the ethics question raised by Evand.

The opening page of this particular contract is a waiver of the cooling off as you have mentioned.

Given his response about someone's financing falling through, you're probably on the money with him wanting me to stick around as a safety net. But why not just say, 'it's under offer, can I keep your details on record and I'll give you a shout if something happens'. Easy.

Cheers
Greg

 

[Dazz]

To others, thanks for presuming I'm a moron and answering something that wasn't asked.

Unfortunately Greg, your level of intelligence has no bearing whatsoever on being competent when playing the game of real estate transacting.

Some of the most intelligent people in the world are professors at Uni, and they are almost universally hopeless at this game we play.

The only thing that counts in this game is experience on the streets and runs on the board.

If you are asking your original question trying to understand what is going on, then it merely shows that you haven't played the game very much. No biggy....most are here to learn about the game. It is not a reflection on your level of intelligence.

 

[13910]

If you are asking your original question trying to understand what is going on, then it merely shows that you haven't played the game very much. No biggy....most are here to learn about the game. It is not a reflection on your level of intelligence.

Yes, the original question was to find out what the written laws/rules that governs the industry permits. I've spent enough time dealing with agents to know that there's a huge variance in what they will/won't do, but given this agent's abrupt response, I was curious to learn what the written word is.

Cheers
Greg