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Buying before auction - what is the agents strategy?

Discussion in 'The Buying & Selling Process' started by Gvs, 18th Nov, 2015.

  1. Gvs

    Gvs Member

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    Submitted a letter of offer on Monday for a property that goes to auction next Saturday. The offer was 455k unconditional but the agent came back saying the vendor was looking for at least 465k but if we went to 460k we could probably get it.

    We came back with 458k which the agent said he was happy to submit to the vendor but thought it would be best to submit the offer on a contract to show the vendor it was a serious offer.

    The agent organised a time to meet with us to sign the contract the next day but when he arrived he said we can't sign without a solicitor present as we are waiving our cooling off period due to it being a sale before auction and also we should wait for the result of the building inspection which is happening tomorrow.

    Why would he fail to mention the solicitor part before making the effort to come and see us just to put our names on the contract?

    Am I reading too much into it?
     
  2. D.T.

    D.T. Adelaide Property Manager Business Member

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    Is this in SA?

    If so then yes, you might be reading too much into it. Some of my purchases have been on contracts - allows vendor to sign their bit and then its aa deal.

    Make sure you specify a sharp expiry time on your offer though. Also ensure you're ok with waving rights - have you done a b & p?
     
  3. Gvs

    Gvs Member

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    Yes in SA. B&P is happening tomorrow.

    Was just bemused why he would waste our time if we couldn't sign.
     
  4. D.T.

    D.T. Adelaide Property Manager Business Member

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    He probably didn't know until he checked it out later. Industry is of fairly poor standard I'm sorry.
     
  5. DaveM

    DaveM Adelaide Buyers Agent & KFC Strategist Business Member

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    No. You only waive cooling off if you buy on the day of auction either as bidder, underbidder or negotiation after hold over on passing in, or you specifically waive cooling off with a conveyancers/solicitors certificate.
     
  6. Xenia

    Xenia Adelaide Property Manager Business Member

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    so what was the end result of this, did you end up organising a solicitor?
     
  7. Bargain Hunter

    Bargain Hunter Well-Known Member

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    Given that the auction is Saturday then the vendor may only accept the offer with the cooling off period waived.

    Rearranging another auction if you pull out would be a pain.
     
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  8. Gvs

    Gvs Member

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    Solicitor will be organised pending B&P inspection
     
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  9. wylie

    wylie Moderator Staff Member

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    We accepted an offer about 9 days prior to auction with purchaser providing solicitor advice he was waiving cooling off. He then tried to back out. His solicitor advised him he was committed.
     
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  10. D.T.

    D.T. Adelaide Property Manager Business Member

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    Yup - definitely read what you're signing and be familiar with what you're getting yourselves into.