A new property portal has been launched, specialising in probate sales.
It has been created exclusively for the legal sector, and gives them access to buyers who are interested in purchasing probate properties.
Probate Property Hub is offering the possibility of faster transactions, but is said to take account of the legal requirement for solicitors to achieve the best possible price for their property. It claims to be unlike some other platforms that depend on discounted prices to achieve rushed sales.
Solicitors can register their details and choose between methods of sale including auction, and can set a minimum price.
Each listing allows firms to provide information regarding the property and photos. Solicitors can also include information about open days, and the platform helps with communication.
Shaahid Quinn, operations manager at Probate Property Hub, said: “Achieving the quick sale of a property during the probate process can often be a challenge for solicitors and is typically quite time-consuming.
“Our platform is designed to simplify this process and give solicitors access to buyers who are keen to purchase probate properties.
“We already have a hugely diverse pool of property investors across the UK who have experience of purchasing probate properties and have funds in place to ensure swift completion.”
The sales are open to all buyers, who must also register with the site.
Probate Property Hub charges no listing fees and works closely with solicitors to achieve the best possible price for the properties they are selling.
The service can also offer firms assistance with property packs, Energy Performance Certificates and supervised property viewings, and will pre-check potential bidders.
Buyers will also benefit from introductions to lenders and assistance with conveyancing, should they wish.
Quinn said: “Despite only just going live, we are already seeing considerable interest in this platform and so we hope that more solicitors utilise it to achieve sales for their clients.”
Comments (5)
I had a quick glance at the probatepropertyhub website and came across this???
‘As the name suggests, our Minimum Price Guarantee option provides sellers with the opportunity to lock in a guaranteed minimum price (e.g. £80,000), but also provides the opportunity to put the property to sales platform. If the property then sells for more than the guaranteed minimum price (e.g. for £100,000) we would then split the difference (e.g. £20,000) 50/50 with the seller.’
Now as executors have a legal duty of care to safeguard the assets of the estate, how does probatepropertyhub’s model work with this model, maybe a specialist in the legal side of the probate administration could shed some light on this, as would the beneficiaries be at risk under this strategy?
Also, the site states that buyers are to pay over 2.5% as a charge for purchasing the property, again this to me would make bidder’s more prone to making lower bids to factor in this additional cost, usually paid by the seller. Eg, I would offer £300,000, but as I have to pay a £9,000 fee to the selling agent probatepropertyhub, my offer is £291,000.
Even more worrying is that the buyer has to pay this buyer’s fee immediately if successful at point of sale, and not on exchange. And forfeits the deposit if they do not exchange.
See this section taken from their website
A buyer’s fee of 2.5% + VAT will be payable by the buyer to Probate Property Hub within 24 hours of a sale being agreed – either once a Buy it Now offer has been accepted by the vendor or the auction has ended and you are the successful bidder.
This fee is non-refundable and you will be expected to exchange contracts within 60 days (auction properties) and complete within 90 days of the auction ending. Buy it Now purchases should be completed within 45 days.
In the event that you fail to complete the sale and the purchase falls through the buyer’s fee will not be repaid.
The minimum fee is £2,500 + VAT.
Is this a legal practice? As it seems to me to be like a pre-contract deposit, but not for the vendor’s benefit, and is never refundable?
It’s frightening to hear about these companies who claim to be doing good for the probate sector but in the same breath offer discount prices for properties for their investors to the flip – thus concentrating on value for the buyer and not the seller.
What’s worse in this case is, if you read the blurb on the website, they’re effectively admitting to underwriting probate properties – we’ll get you an guaranteed offer of £80,000 and if it sells for £100,000 in one of our auctions, we’ll split the £20,000 evenly with the seller……so the seller gets £90,000 for their £100,000 property and agent keeps £10,000 – seems fair!!
Hmmm…
It seems that Mr Quinn is already heavily committed to fulfilling the needs of investors – as his property sourcing company website states:
“We aim to source only high quality heavily discounted properties to our investors.”
“We specialise in sourcing buy to let and flip properties in South Wales.”
I’ll just leave this parked right here.
“…but is said to take account of the legal requirement for solicitors to achieve the best possible price for their property.”
“We already have a hugely diverse pool of property investors across the UK…”
That would be a pool of “investors” who want discounted properties – which kinda bu99ers up the “best possible price” bullsh!ttery, then.
“It has been created exclusively for the legal sector, and gives them access to buyers who are interested in purchasing probate properties.
“Probate Property Hub is offering the possibility of faster transactions, but is said to take account of the legal requirement for solicitors to achieve the best possible price for their property. It claims to be unlike some other platforms that depend on discounted prices to achieve rushed sales.”
In my opinion, the sort of buyer that specifically wants probate sales is one that wants a doer-upper at a knockdown price, earning them a nice wedge.
“Shaahid Quinn, operations manager at Probate Property Hub, said: “Achieving the quick sale of a property during the probate process can often be a challenge for solicitors and is typically quite time-consuming.”
What a load of twaddle. What are solicitors doing to sell the property – putting an ad in the local paper? If you want to achieve the best possible price, give it to an estate agent who markets to the whole of market.
I regularly sell probate properties and they are sold and ready to exchange contracts by the time probate is granted. I’ve looked back and the vast majority of sales are completed within two weeks of the buyer’s solicitor received a certified copy of the Grant of Probate.