Multiple house purchase offer?????????
May 5th 2009, 12:03 am
#1
Forum Regular
Thread Starter
Joined: Apr 2009
Location: Wellington NZ
Posts: 43
Multiple house purchase offer?????????
Hi there everyone
Has anyone had any experience of multiple offer offers when buying a house?
Some advice would be great please
Has anyone had any experience of multiple offer offers when buying a house?
Some advice would be great please
May 5th 2009, 9:38 am
#2
Lost in BE Cyberspace
Joined: Jun 2005
Location: In a large village called Auckland
Posts: 5,249
Re: Multiple house purchase offer?????????
I presume from the buyers perspective?
It's quite simple really, the estate agent is obliged to present all offers to the vendor and the vendor decides which one to accept or negotiate with. The key point being they are only permitted to negotiate with ONE party, so they can't play you off against each other.
If you are not the chosen one ask the agent to let you know the outcome, because we lost out on a house where the negotiations fell through and the agent didn't come back to us. We had a lot of room to manouvre but the agent was too lazy to make the call.
We found out long after we had bought and moved into another house.
Good luck!
It's quite simple really, the estate agent is obliged to present all offers to the vendor and the vendor decides which one to accept or negotiate with. The key point being they are only permitted to negotiate with ONE party, so they can't play you off against each other.
If you are not the chosen one ask the agent to let you know the outcome, because we lost out on a house where the negotiations fell through and the agent didn't come back to us. We had a lot of room to manouvre but the agent was too lazy to make the call.
We found out long after we had bought and moved into another house.Good luck!
May 6th 2009, 8:36 am
#3
Joined: Aug 2006
Posts: 7,208
Re: Multiple house purchase offer?????????
I presume from the buyers perspective?
It's quite simple really, the estate agent is obliged to present all offers to the vendor and the vendor decides which one to accept or negotiate with. The key point being they are only permitted to negotiate with ONE party, so they can't play you off against each other.
If you are not the chosen one ask the agent to let you know the outcome, because we lost out on a house where the negotiations fell through and the agent didn't come back to us. We had a lot of room to manouvre but the agent was too lazy to make the call. We found out long after we had bought and moved into another house.
Good luck!
It's quite simple really, the estate agent is obliged to present all offers to the vendor and the vendor decides which one to accept or negotiate with. The key point being they are only permitted to negotiate with ONE party, so they can't play you off against each other.
If you are not the chosen one ask the agent to let you know the outcome, because we lost out on a house where the negotiations fell through and the agent didn't come back to us. We had a lot of room to manouvre but the agent was too lazy to make the call.
We found out long after we had bought and moved into another house.Good luck!
Often it is the conditions on the contract that are as important, if not more so than the actual figure. Go in with your very best offer and as clean a contract as possible.
Good luck.
May 6th 2009, 9:43 am
#4
Lost in BE Cyberspace
Joined: Jun 2005
Location: In a large village called Auckland
Posts: 5,249
Re: Multiple house purchase offer?????????
Very true, an unconditional offer would take priority regardless of the dollars on the table, especially if subject to sale of property. It seems most Kiwis are not averse to putting in unconditional offers and are not as wary as us immigrants. It depends so much on how desperate people are to have THAT house.
As a newbie in NZ I would even go as far as suggesting it's no biggie losing out on the first 'bat', it is good experience and quickly makes you familiar with the process, so you will be better equipped the next time around. At least you get a copy of the contract and can familiarise yourself with what needs to be on it and can use it as a checklist for the next time. We realised after our first go that we were incredibly green and went along mostly with what the agent suggested.
That agent tried to talk us out of getting surveys done and we felt we achieved something in sticking to our principles on that one, but gave away far too much in terms of the times to get stuff done. It can be very easy to get carried away in the heat of the moment and agree to anything. They always try to screw you down on the timeframes and insist you don't need that much time to get LIMS and surveys done etc. As Am Loolah says, the risk is of someone else putting in a better offer with shorter timeframes to reach that all important point of being unconditional.
The next time we made an offer we felt much more confident in our approach and were able to be a lot more positive about the terms WE wanted and we were much more in control of the situation in that we wouldn't being pressured into doing anything we didn't understand. It's just a house and there are hundreds of others, so play along and don't get too strung out if your offer isn't successful, there'll be another down the road.
As a newbie in NZ I would even go as far as suggesting it's no biggie losing out on the first 'bat', it is good experience and quickly makes you familiar with the process, so you will be better equipped the next time around. At least you get a copy of the contract and can familiarise yourself with what needs to be on it and can use it as a checklist for the next time. We realised after our first go that we were incredibly green and went along mostly with what the agent suggested.
That agent tried to talk us out of getting surveys done and we felt we achieved something in sticking to our principles on that one, but gave away far too much in terms of the times to get stuff done. It can be very easy to get carried away in the heat of the moment and agree to anything. They always try to screw you down on the timeframes and insist you don't need that much time to get LIMS and surveys done etc. As Am Loolah says, the risk is of someone else putting in a better offer with shorter timeframes to reach that all important point of being unconditional.
The next time we made an offer we felt much more confident in our approach and were able to be a lot more positive about the terms WE wanted and we were much more in control of the situation in that we wouldn't being pressured into doing anything we didn't understand. It's just a house and there are hundreds of others, so play along and don't get too strung out if your offer isn't successful, there'll be another down the road.
