Updated Dec 2024
Gazumping means accepting a higher offer during the conveyancing process
Gazumping is when a seller accepts a higher offer from someone else after they have accepted your offer and before you’ve exchanged contracts.
In this article, we explain how to avoid being gazumped and what to do if you think you’ve been gazumped.
How to avoid being gazumped
To avoid being gazumped, you want to make your initial offer as serious and appealing as possible. This includes getting the amount of your mortgage agreed in principle with your lender before you make an offer, signing up with a conveyancer before you make an offer, and choosing a conveyancing firm that will move quickly once your offer has been accepted. It’s also good to get your deposit money ready. This all reduces the risk that the seller accepts a higher offer later on. For more information, check out our article on what to do once your offer is accepted.
Keep the momentum of the transaction going
Sellers are less likely to accept a second offer on a property if the existing transaction is progressing quickly. This is why it’s important to choose a fast conveyancing firm like Juno, who are 9 weeks faster than the average UK solicitor. During the conveyancing process, make sure to stay in regular contact with all parties and respond promptly to all requests. A seller whose transaction is moving quickly is much less likely to change buyers unless someone comes in with a much higher offer. If they’ve seen no movement they’ll be more inclined to change hoping the other buyer might be faster. Moving quickly towards exchange could be the difference between getting gazumped or securing your dream home.
Ask the seller’s estate agent to mark the property as ‘under offer’
As soon as your offer has been accepted, ask the agent to mark the property as ‘under offer’ on online listings such as Rightmove and Zoopla. Make sure to check over the following days to see if this has been done. Marking a property as ‘under offer’ will reduce the chance that other buyers will find it and attempt to gazump you.
You can also ask the agent and seller to commit to cancel any viewings and refrain from arranging any new ones. You can do this in writing or get them to commit verbally. You can even make your offer conditional on this, making your chances of getting gazumped even lower.
Build a good relationship with the agent and seller
Building a good relationship with the seller keeps them onside. If possible, try to meet them in person to build a rapport. Tell them why you like the property and why you want to buy it. If they get to know you, they’re more likely to be committed to selling to you, making you less likely to get gazumped.
What to do if you get gazumped
If you’ve set your heart on your dream home, getting gazumped can be gutting. However, there are steps you can take.
- Persuade the seller of your benefits
- Match the Gazumped Offer
- Walk away and take advantage of Juno’s Second Chance Guarantee
1. Persuade the seller of your benefits
You might have a number of benefits that the gazumper doesn’t. For example, you might be chain-free, meaning you’re not waiting for another sale to complete and can move in much sooner. If you’re a cash buyer, you’re not relying on lenders to approve your mortgage, which can also save time. Alternatively, you might be flexible with the move-in date, meaning you can be more accommodating if the seller needs more time to complete their own sale.
2. Match the Gazumped Offer
If none of your benefits convince the seller, you might consider matching the gazumped offer if your budget allows. If you’re in a strong financial position, it might be worth it to secure the home you’re looking for.
3. Walk away and take advantage of Juno’s second chance guarantee
If you’ve done everything you can to avoid being gazumped, but the seller still decides to accept another offer, you always have the option to walk away. The home you want might even come back on the market, or the other offer might fall through. And in the meantime, you might find another home you love.
With Juno’s second chance guarantee, you don’t need to worry about paying extra legal fees if you get gazumped. If your first purchase falls through, you can try again on an equivalent property for no extra charge.
Get started with Juno today
While you can try to beat a higher bid, sometimes highlighting why you’re the better buyer (not just the higher bidder) can be more effective. Get a mortgage in principle and instruct Juno now - you’ll show the seller and their agent that you’re serious, there’s nothing to pay until your offer is accepted, and if you do get gazumped your second attempt is free.
Click here to get started today.
