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ravedave

Shill Bidding

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Hi,

Last time I was out bidding on property, it was a semi-detached house with no bids on it. When it came close to closing there was suddnely another prospective bidder. This brought the final sale price up by another £20k.

I 'won' and the property went Sale Agreed. However, due to some issues, it fell through and the property was re-listed.

At the time I thought nothing of it, but in hindsight I think it might have been a phantom bidder. In future, is there any way in which I can obtain verification - either by myself or via my solicitor that the other bidder is genuine?

Thanks.

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Probably not, but you can play a different game.

If you like a house, don't make an offer, but get a friend to go view it, and to put in a silly-low offer; maybe even to negotiate a price with the vendor.

Depending how that goes, one or both of two things happen:

1. You get a better idea of the vendors bottom price before starting your own negotiations, and/or

2. You undermine the seller's confidence and lower their expectations before you start your own offers.

Infact, I might trademark this approach, BlinkTooFast

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Hi,

Last time I was out bidding on property, it was a semi-detached house with no bids on it. When it came close to closing there was suddnely another prospective bidder. This brought the final sale price up by another £20k.

I 'won' and the property went Sale Agreed. However, due to some issues, it fell through and the property was re-listed.

At the time I thought nothing of it, but in hindsight I think it might have been a phantom bidder. In future, is there any way in which I can obtain verification - either by myself or via my solicitor that the other bidder is genuine?

Thanks.

No. However if you think that it is happening then I'd suggest you withdraw your offer. The agent will come back to you quickly enough if he thinks he's cocked up and lost the deal.

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1. You get a better idea of the vendors bottom price before starting your own negotiations, and/or

We are crap in this country at making offers for things, it's not in our culture. I'm not sure that would work that well as each negotiation tends to be seen as distinct by most people.

It's your opening offer that sets the bar not what other people have been offering, your friend might get close to say £200K but if you go in at that level I would think the vendor would take that as your base price and expect to work it up from there. If you play hard ball and set a firm offer of £200K and won't budge you will mark yourself as a time waster.

I'm not saying don't make ridiculously low offers or pay the asking price, simply that IMO playing these sorts of games won't get you anywhere over and above a straight negotiation.

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We are crap in this country at making offers for things, it's not in our culture. I'm not sure that would work that well as each negotiation tends to be seen as distinct by most people.

It's your opening offer that sets the bar not what other people have been offering, your friend might get close to say £200K but if you go in at that level I would think the vendor would take that as your base price and expect to work it up from there. If you play hard ball and set a firm offer of £200K and won't budge you will mark yourself as a time waster.

Why is making a one time 200K "take it or leave it" offer on a property "worth" 200K, time wasting.

It may be a poor negotiation tactic, but it isn't time wasting.

tim

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If you play hard ball and set a firm offer of £200K and won't budge you will mark yourself as a time waster.

Like wise a seller completely refusing to budge from the starting price with an agent asking for offers and increased offers is a complete waste of my time.

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  • 311 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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