Purchase and Sale Flashcards
What are the statutory regulations governing commercial property transactions in the UK?
The Misrepresentations Act 1967 - Governs false statement, allows parties to claim damages.
The Estate Agents Act 1979 - Regulates estate agents, ensuring transparency, fair practices.
The Consumer protection regulations for unfair trading regulations 2008 - prohibits misleading actions, omissions and aggressive sales tactic business to consumer.
The Business Protection from Misleading Marketing Regulations 2008
What do you understand about the UK Commercial Real Estate Agency Professional Statement?
Recent consolidated to the Property Agency and Management Principals Effective January 2025.
Aim is to develop technical and ethical competence of the professionals to deliver high standards.
What are the key factors effecting property value?
Location, condition, leases, economy.
What are the four methods of Sale?
Private Treaty
Informal Tender
Formal Tender
Auction
What is the process of completing a sale?
Enquiry, competency to act, conflict of interest, due diligence, inspection, advice, terms of business AML, marketing, negotiations, funding, legal process, exchange, complete.
what is a cooling off period?
A period in which the client will have the right to cancel an agency agreement within a certain time period of signing, stated in their terms of agreement.
What is the structure of an agency agreement?
Client details
Agency basis
agency rights
fees
marketing costs
conflicts of interest
AML
EPC
timescales
details of CHP
Signatures
what is the The Business Protection from Misleading Marketing Regulations 2008
Similar to the Consumer Protection from Unfair Trading Regulations 2008 but prohibits misleading business to business advertising.
Failure to comply - Criminal prosecution, civil enforcement, legal action, reputation damage.
Regarding Unit 3 Chestnut Court, you mentioned there was limited access, how did this effect your marketing?
I targeted specific occupiers, and within the particulars detailed suitable uses.
Regarding Unit 3 Chestnut Court, what method of sale did you use and why?
Private treaty, we wanted to retain control of negotiations. I made the client aware that if there was significant interest, we would go to informal tender.
Why did you choose an informal tender process when selling 11 Bond Street?
Our local knowledge understood that interest would be strong, we advised that this would be the best method going forwards, subject to interest.
how did you determine the key marketing points for 11 Bond Street
When inspecting the property I took note of the position of the property and its main marketing points, town centre, three storey, vacant possession, freehold.
How did you ensure transparency and fairness in offer reporting to the vendor for 11 Bond Street?
A offer proforma was issued to each interested party, these original offers were sent to our client, followed by a summary comparison table with our recommendations.
In the sale of The Rhond, Wroxham what challenges did the construction method and proximity to the river present and how did these factors impact valuation and marketability??
A complex piling system meant that it was an expensive build and high risk for developers.
The valuation was affected as the construction costs were high, developers were also putting a high contingency in place due to the risk and construction costs were high.
What considerations influenced your decision to split the The Rhond into smaller lots and how did you determine the most effective way to divide the site?
Market feedback suggested the site was too risky for developers, market conditions weren’t great, some developers insinuated they would be interested in part of the site.
After receiving feedback we decided to progress with a flexile strategy, single plots considered.
What legal and planning considerations were there when lotting the Rhond Site
how were the remaining condition of planning split with the lots and that planning was not breached, considered how the lots would be split on land reg for new ownership.
Check rights of way and access.
Ensured utilities were available to each plot.
How did you determine the appropriate asking price for 23 Charing Cross?
Looked at comparable evidence and the economy, I also new that freehold opportunities were rare, which I believed placed a premium on the property.
How did you tailor the marketing strategy to attract the right buyers at 23 Charing Cross?
Focused on suitable buyers and their uses.
Targeted these operated through marketing campaigns.
Social Media
Detailed with the particulars
In house mailing lists were targeted.
What are the different types of Agnecy agreement
Sole Agency
Joint Agency
Multi Agency
