26 August 2010

So about three weeks ago I received a call from my local estate agent.

"Hello my friend, long time no speak. Have I got a deal for you. A fantastic 2 bedroom flat that I am showing you first. No one else. Just you. An amazing investment for you".

Me? Little ol me?

My my how important am I? Being given first dibs on a property investment.

Clearly well thought of in the "property world" as a big time player.

Strange though, as yes I own a few investment properties, but a property magnate I am not.

In actual fact the properties that I rent out are more trouble than they are worth and about 25% in negative equity. Great property investor I am.

Anyway, so I am offered this flat, that on the face of it is really too good a deal to turn down.

Recently refurbished, great location and about 20% below market value. Clearly my Christmas has come early.

So off I go to see my financial advisor, who tells me with a nip here and a tuck there I can afford to buy the "deal of the century". He finds me a fantastic Buy to let mortgage and it seems it's all systems go. I make the suggested offer on the property and without any renegotiating the offer is accepted and I am on my way to building my property empire...mwah ha ha ha!

1 week later my home buyers report and mortgage valuation is carried out on the property...

5 days later I get the call from my financial advisor..." Did you know that the property you are purchasing has severe subsidance? Is this why they were offering it under market value? Well they have down valued it by a further £40,000"

It fog is lifting and things are becoming clearer. No I didn't bloody know. I thought I was getting the deal of the century. The deal that will propell me to property stardom.

Instead I have wasted £850 on a Homebuyers report on a property with subsidance. Of course this is why you pay for such reports but things werent quite ringing true.

I was the only person the estate agent called. Yeah right. I was being given complete exclusivity on this great deal. NO I WASN'T.

I was probably the last of about 50 other people to be called, with my friendly agent forgetting to tell me one vital piece of information. "Great Property investment but riddled with subsidance. You still interested"?

So I have unsurprisingly pulled out of this property purchase.

But I have one question. Is the local Estate Agent that that failed to tell me this crucial piece of information going to pay me my money back. No of course not. They have closed ranks and said due to client confidentiality they couldn't disclose this about the property.

Really. Well due to me being £850 out of pocket I feel completely compelled to report you to the National Association of Estate Agents(NAEA), for being sneaky and underhand.

So in this instance the "question" and answer is simple.

I will not be purchasing flat 2B!