Elaine and Peter Smeja have been left out of pocket and disappointed after missing out to an above-the-asking-price offer for a first-time buyer’s flat. (Picture by Adrian Miller, 0540424)
A YOUNG couple have hit out at Guernsey’s ‘dog-eat-dog’ housing market after losing out on a flat the day before they were due to sign contracts.
Elaine and Peter Smeja, 21 and 29 respectively, said they had been left out of pocket because of the actions of the seller and estate agent, Martel Maides.
The couple claimed they had agreed a fee on the property through Swoffers estate agents before being informed that the vendor had subsequently accepted a higher offer from a client of Martel Maides.
‘Anyone who has bought a property in Guernsey will know that after an offer has been accepted, no further offers or viewings are to take place,’ Mrs Smeja said.
‘While there is no law against this, it is just not commonplace to do so.’
After learning of the alternative offer, the couple decided to raise theirs to the asking price.
That was again accepted by the seller and the Smejas advised them that the property was now sold, subject to contract, and should not be viewed by anyone else.
‘We now had two weeks (until 28 January) to sign the conditions of sale,’ Mrs Smeja said.
The couple said they arranged for two surveys of the flat at their bank’s request. They also had their mortgage application accepted and kept in regular contact with Swoffers.
‘We had the cash deposit waiting and were just waiting for the go-ahead from our advocate,’ Mrs Smeja added.
However, Mrs Smeja said the couple were being put under a lot of pressure by the seller to sign the conditions of sale – even though they were on target to meet the two-week deadline.
‘This put a huge strain on myself and my husband as we were being pressurised to do things quicker than the process would allow us to do,’ she said.
Once everything was in place, the couple arranged to sign the conditions of sale with their advocate on 25 January, three days before the two-week deadline.
The couple then gave notice on the flat they were renting.
‘The day before we were due to sign contracts and hand over our cash deposit, I received a call from Swoffers to say that on the previous day the vendors had received a call from Martel Maides saying that the person we were in an offer battle with a week or so before had offered above the asking price and the vendors had accepted this offer,’ Mrs Smeja said.
‘I could not believe what I was hearing.
‘How could the vendors go behind our backs again and are Martel Maides so desperate for business that they would break the gentlemen’s agreement that had taken place between us, Swoffers and the vendors?’
Mrs Smeja claimed buying a house was dog-eat-dog and warned other first-time buyers.
‘I’m sure I’m not the only person who has ever lost out like this but why should we have to throw money down the drain just because no laws are in place to protect buyers?’ she said.
‘Sign conditions early’ - Martel Maides
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3 Article Comments
Very simple - change the rules!
Once a price is agreed, it stands.
I found this a very biased, one sided story abd although I feel for the couple I sympathise with the Estate Agents involved.
Look at the system in the UK, we have it so much easier over here with only a 2 week operative period. There are far less instances of fall throughs and so called ‘gazumping’ over here that in England, where it can be a much more lengthy and stressful process with either party being able to pull out, often until a week before completion! I find the process here much more straightforward and I found your article incorrect on several points.
About four years ago we were looking to buy a house, and we had the same thing happen to us, we were going through banks & flouquet, and swoffers had gazumped us, i spoke to swoffers they said it was the vendor being gready, we put in about 4 offers i think the the new owners must have paid £20-£30000 more than the property was originally on for. They were welcome to it.