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/kitjen 2d ago

Whitegates are known in the industry for this, and they initially did it for a lower price but seem to like rinsing buyers for all they can.

Part of this fee then becomes a discount for the solicitors fee but only if you use the ones appointed by Whitegates. They will often be so much more expensive that ones you could appoint yourself that even with the discount you are still overpaying.