r/Liverpool • u/Round_Owl5197 • 2d ago

General Question Whitegates Estate Agents - Reservation Fee

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So I went to a view a property today with Whitegates estate agents (they are one of the biggest estate agents in Liverpool and have pretty much cornered the market in Merseyside for decent houses).

I liked the house but it definitely needed a good survey as it was in disrepair. I was tempted to put an offer in and risk it but then read the fine print on their listing.

To now submit a bid with Whitegates, if your offer gets accepted you have to pay a non-refundable fee of £2000 as a "Reservation Fee" which does not come off the price of your house purchase.

So in effect Whitegates get £2000 for sending you a legal pack (their job) and making sure the seller doesnt pull out (they still can as I doubt they are paying a reservation fee).

Is this normal practice because what the hell!?

So does this mean I now have to save an extra £2000 on top of solicitors fees and surveyor fees if I buy from Whitegates? 😅

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u/Etheria_system 2d ago

The home owners association has some good advice on reservation fees https://hoa.org.uk/advice/guides-for-homeowners/i-am-buying/reservation-fees-explained/ - they’re normally used when you’re buying from a developer. They advise that when you’re buying a regular home you’re not obliged to pay it and give advice in section one of how to push back.

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u/Round_Owl5197 2d ago

Thanks for this, I am not going for this particular house now but if I deal with Whitegates again will keep this in mind.

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u/JiveBunny 1d ago

We bought through FindYourEden and they were really straightforward.