Difference between "Sold" "Sale Agreed" and "Sold Subject to Contract"
- Thread starter Marie
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Brendan Burgess
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The legal position is that neither party is legally obliged to the deal until both parties have signed and exchanged the contract.
Estate agents usually don't put up a "sold" sign until this happens.
"sale agreed" and "subject to contract" would mean the same thing, although "Subject to contract" might mean it's moved on a bit further in the process.
The buyer can accept a higher bid at any stage until contracts have been exchanged although most auctioneers would only entertain a higher bid if they thought that there was doubt or delay in the purchaser completing.
Estate agents usually don't put up a "sold" sign until this happens.
"sale agreed" and "subject to contract" would mean the same thing, although "Subject to contract" might mean it's moved on a bit further in the process.
The buyer can accept a higher bid at any stage until contracts have been exchanged although most auctioneers would only entertain a higher bid if they thought that there was doubt or delay in the purchaser completing.
Thanks Brendan! So it seems "Sale Agreed" or "Subject to Contract" are open-ended, allow for further negotiation between E.A. and that prospective purchaser towards a lower price, or indeed possibility of sale to another purchaser who bids higher or willing to complete faster?
That would generally not be the intent, though.
Whatever the intent the effect IMHO is just a preening exercise by the EA. "Oh, look at what great boys and girls we are, we can almost sell houses and almost get our hands on money for them." The farming equivalent might be a sign on a milking parlour saying "I milked the cows last week and the creamery might give me a cheque sometime."
It's just EA BS with zero real meaning.
In my dealings with EAs, it means that they will no longer show the house and they will not discuss offers with anybody else.
My understanding of sale agreed on a for sale sign is that the estate agent has got an agreement between buyer and seller and received a booking deposit but he knows it is not sold until contracts are signed (also debatable) but it's actually only really sold when the money changes hands.
Once he gets the booking deposit he doesn't show or negotiate on the property.
Once he gets the booking deposit he doesn't show or negotiate on the property.
That has been my experience too (having been involved in selling 3 houses in the last year or so...). In one case we were offered €25000 more than the asking within a week of the house going on the market and we took the decision to accept that offer (executor sale on a relatives house). The EA had several queries after the sale agreed decision was made but we kept with the original offer which followed through to a sale.