Not Passing an offer to vendor

Discussion in 'The Buying & Selling Process' started by Ravs, 26th Jun, 2019.

Join Australia's most dynamic and respected property investment community
  1. Ravs

    Ravs Member

    Joined:
    26th Jun, 2019
    Posts:
    5
    Location:
    Dandenong North
    You have also been approached by another potential buyer who makes an offer of $1,380,000. You believe that the house will sell for more, so you do not pass on the offer to the vendors. What Professional Conduct Regulations will you be breaching in this scenario and what penalties will apply?
     
  2. wylie

    wylie Moderator Staff Member

    Joined:
    18th Jun, 2015
    Posts:
    6,715
    Location:
    Brisbane
    Are you asking whether the agent should pass the offer to the vendor?

    I’d say yes unless the vendor has given instructions they do not wish to hear about any offers below $xx.

    Are you the vendor in this scenario and wanting to know your rights?
     
    Last edited: 26th Jun, 2019
    Rugrat likes this.
  3. The Gambler

    The Gambler Well-Known Member

    Joined:
    17th Jan, 2017
    Posts:
    128
    Location:
    Goldie
    Classic first post. Is this a 'What if' or a real question?
    Dunno, but either way, my answer is the same - it's extremely unethical (unless the situation Wylie mentions is in play).
     
  4. Ravs

    Ravs Member

    Joined:
    26th Jun, 2019
    Posts:
    5
    Location:
    Dandenong North
    oops. my bad to not explaining the case from beginning. Apologies on that. Lets assume price marked property to sell between $1,400,000–$1,600,000.
     
  5. Trainee

    Trainee Well-Known Member

    Joined:
    24th May, 2017
    Posts:
    2,062
    Location:
    Australia
    Your the buyer, then? Agent doesnt have a contract with you. Possibly the vendor says dont come to me with offers below the range.

    That big a range tells me the vendor wants closer to 1.6, and is putting the range just to pull in more buyers to look.
     
  6. Scott No Mates

    Scott No Mates Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    14,410
    Location:
    Sydney or NSW or Australia
    That's a shopping list. Agent is obliged to pass on all offers (unless under other instructions from the vendor).
     
  7. Ravs

    Ravs Member

    Joined:
    26th Jun, 2019
    Posts:
    5
    Location:
    Dandenong North
    What Professional Conduct Regulations will you be breaching in this scenario and what penalties will apply?
     
  8. Trainee

    Trainee Well-Known Member

    Joined:
    24th May, 2017
    Posts:
    2,062
    Location:
    Australia
    How do you know the seller didnt say dont come to me with offers below the range?
    Or are you just peeved because you lowballed and lost to someone else even though you were willing to pay more?
     
  9. Ravs

    Ravs Member

    Joined:
    26th Jun, 2019
    Posts:
    5
    Location:
    Dandenong North
    That's why it asks "What Professional Conduct Regulations will you be breaching in this scenario and what penalties will apply? " I need the answer for the case .... :)
     
  10. Trainee

    Trainee Well-Known Member

    Joined:
    24th May, 2017
    Posts:
    2,062
    Location:
    Australia
    “It depends”
     
    Lindsay_W likes this.
  11. Ravs

    Ravs Member

    Joined:
    26th Jun, 2019
    Posts:
    5
    Location:
    Dandenong North
    why ?
     
  12. Marg4000

    Marg4000 Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    3,929
    Location:
    Qld
    So who are you?

    The vendor?
    The buyer?

    Or someone who wants help with an assignment? (In which case, don’t rely on an answer from an anonymous forum.)
    Marg
     
    skater, Rugrat and Dan Wood like this.
  13. TMNT

    TMNT Well-Known Member

    Joined:
    23rd Jul, 2015
    Posts:
    3,789
    Location:
    Melbourne
    asking price or asking price range isnt a representation of how much a property is worth
     
  14. Scott No Mates

    Scott No Mates Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    14,410
    Location:
    Sydney or NSW or Australia
    I can't recall if it is in the Act or in the Regulations (definitely not from REIV/REINSW) but it was in the agent's licensing course.
     
  15. D.T.

    D.T. Specialist Property Manager Business Member

    Joined:
    13th Jun, 2015
    Posts:
    8,524
    Location:
    Adelaide, SA
    Looks like one of the questions from a licensing course assignment, do your own homework :)
     
    wombat777, neK, Athikalaka and 2 others like this.
  16. Dan Wood

    Dan Wood Well-Known Member

    Joined:
    18th May, 2019
    Posts:
    102
    Location:
    QLD
    Either that or OP is scorn that their offer wasn't put to the owner and wants compensation.

    Or some rubbish like that.
     
  17. thatbum

    thatbum Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    2,514
    Location:
    Perth, WA
    None. Easy answer.
     
  18. Athikalaka

    Athikalaka Well-Known Member

    Joined:
    1st Jan, 2016
    Posts:
    169
    Location:
    AU
    The wording of the OP definitely looks like a direct copy paste for an assignment... It would be funny if the teacher/marker is on this forum and fails them on the basis of what answers are provided here.
     
  19. ThaRealJaySnell

    ThaRealJaySnell Active Member

    Joined:
    3rd Jun, 2019
    Posts:
    36
    Location:
    Melbourne
    It is 100 percent from the Agents Rep Course.