Download Bidding

Useful information for consumers
Bidding
The offer is not binding
The general starting point forbidding is that the offer is not binding – even
if it is submitted in writing. Only when both the vendor and the purchaser
have signed a purchase contract for the property ( incl. land ortenantowned apartment) does the purchase become binding. Prior to this either
party may make a change without the other party having any claim over
them.
The Estate Agent’s obligations regarding bidding
The Estate Agent must give all potential buyers clear information
regardingbidding procedure and how theoffer should be submitted. The
Estate Agent should also provide information about any potential
requirements or requests from the seller.
As it is the seller who decides whether an offer is of interest or not, the
Estate Agent must take receipt of and forward all offers to the seller. This
holds true even if the offer has not been submitted in the required manner.
The Agent must also pass on to the sellera potential buyer’s expression of
interest in a property.
The Estate Agent’s obligations remain in forceuntil the seller and the
purchaser have signed a purchase contract.
The Estate Agent’s obligations after completion of agency work
The Agent is obliged to compile a record of bidding with details of:
-
Name of prospective buyer (or the name of the potential buyer’s
representative)
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Contact details such as email address or telephone number.
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Offer, with time when the offer was submitted and any provisos
accompanying the offer, e.g. regarding a loan or a survey.
The Swedish Estate Agents Inspectorate is a government agency with responsibility for supervising registered estate agents.
The Inspectorate issues fact sheets in a series entitled USEFUL INFORMATION whose can be ordered from the Swedish Estate Agents
Inspectorate or downloaded from the Inspectorate’s website.
Box 22034, 104 22 Stockholm VISITS Flem inggataan 20
(0)8 580 069 00 FAX +46 (0)8 580 069 01
E-MAIL registrator@fm i.se WEBSITE w w w .fm i.se
POSTAL ADDRESS
TELEPHONE +46
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The Estate agent must forward the record to the seller and to the
purchaser when the Agent’s work is completed. If the Agent’s work is
completed without a sale taking place (e.g.if the agency agreement is
terminated) the Estate Agent shall forward the record to the client.
The seller decides about the bidding
The seller decides upon – in consultation with the Agent – the bidding
procedure. However, the seller is not legally bound by this agreement.
Hence the procedure may be changed. The seller decides who he/she
wishes to sell to, when and at what price. This means that the seller is not
obliged to sell to the highest bidder.
The seller is not legally bound by a promise to sell or to sell at the price
quoted in an advertisement or other marketing material.
The offer may be submitted in different ways
In practice there are two models: open offersand closed offers.
An open offer is where the potential buyers submit offers to the Estate
Agent who keeps the seller and other potential buyers updated. Potential
buyers then have the opportunity to submit a new offer.
A closed offer is where the potential buyers have a certain amount of time
to submit their offer, usually in writing. The Estate Agent reports the offers
to the seller. The party making the offer is not informed about other offers.
Making an offer in brief:
Anyone may make an offer – in writing or verbally. The offer may be
furnished with provisos.
A prospective buyer can not expect to receive regular information from the
Estate Agent as to how the bidding process is progressing.
A prospective buyer does not have the right to know what other offers
have been submitted or by whomor what terms have been discussed with
other prospective buyers.
After a sale has been completed a prospective buyer does not have the
right to receive any information other than the fact that property has been
sold to be someone else.
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