Advert by quick home-buying company in the clear after complaint it was misleading

An advertisement for a quick home-buying company which did not mention that it bought at a discount has been cleared by the advertising watchdog.

The radio advertisement for Property Rescue said: “Need financial help? You need it now, not next month or next year. That’s why when Property Rescue buy your house they can give you a cash advance which will help you, you guessed it, right now. They can pay your standard legal fees. Is there no end to their loveliness? Sell your home fast at PropertyRescue.co.uk. They’re buying houses all over Britain. Property Rescue, problem solved.”

The complainant said the advert was misleading because it omitted material information that customers would not receive the full market value of their property.

Property Rescue said the advert did not mention property value at all, in line with other businesses including estate agents.

The firm said the market value of a property was somewhat subjective and dependent on a variety of factors.

It said it often sent estate agents and surveyors to value a property, and there could be a large variance in the valuations.

The Property Rescue website made clear that full market value would not be paid, and this was also explained to callers.

Vendors would typically be presented with a no-obligation valuation of 75% to 85% of market value.

The Advertising Standards Authority said that consumers acting as a result of hearing the advert would be interested in the speed of sale. Information about the proportion of the value they would receive was unlikely to affect their decision.

The ASA said the advert was not misleading.

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6 Comments

  1. PeeBee

    Well… that’s it then –

    Anyone who ever thought that bodies like @asa_uk were there to protect the best interests of the public as well as honest business now needs to give their heads a shake.

    I’ll go first.

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  2. Typhoon

    Shocking that was not upheld. People who are that desperate they need to sell their home to get out of a financial news should better protected from bottom feeders like these companies. For sure these adverts should carry a large, loud warning about the potential to be ripped off. Am staggered the ASA dropped the ball on this one

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  3. mrharvey

    ” the market value of a property was somewhat objective and dependent on a variety of factors”

    Surely they mean “subjective” here, considering that objective means it is an undeniable fact?

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  4. M Barnard

    Moving slightly off topic but it’s also worth noting that William H Brown had an ‘informally resolved’ ASA case this week.

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  5. seenitall

    errr  cant see anything wrong with what this company is doing

    or the advert.

     

    Bit like pawn brokers or car dealer.   If you take in your rolex you expect to get a lower price then they would sell it for.  If you sell your car to a car dealer your will get less then selling privately.

    If people need the money quick they they fulfill a service.   Yes it is subjective as to what is market value.  To them they are offering a figure the seller either takes it for a quick sale or they dont.     Simples.  Nothing wrong in that.  Nothing scamming about that.

     

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  6. Beano

    This reminds me of a probate job some years ago. The sellers were so keen to get their money for Christmas they ditched the buyer I introduced and sold to a couple of fast sale spivs running one of these outfits at 15k less than my buyers offer. They were a little surprised and shocked to recieve my bill for the introduced buyer they ditched early in the new year.

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