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Man holding magnifying glass and tracking house value chart. SAM Conveyancing's guide on what is gazumping

What is gazumping?

(Last Updated: 30/09/2024)
02/07/2021
3
6 min read

Gazumping is a term commonly used in the UK when a seller accepts a second higher offer from someone else at the last minute. At that point, they would've already accepted a first offer and maybe even started the legal work, which is abruptly stopped.

A property transaction isn't liable to complete until exchange of contracts, so if someone offers more money, the seller can change their mind and accept it instead. This leaves you, the original buyer, exposed to paying for conveyancing costs and having to go hunting for a new property to buy.


Is gazumping illegal?

Gazumping is not illegal. In England and Wales, both parties only become liable to complete after exchange of contracts has taken place. It is, however, considered unethical, as buyers invest time, effort, and money into a property purchase.

After the offer is accepted, a property listing will show up as sold subject to contract, which means the offer has been accepted and conveyancing has started, but contracts still haven't been exchanged. This time between the acceptance of an offer and the exchange of contracts leaves room for gazumping to occur.

Can you ask a seller to take a house off the market?

Yes, once your offer is accepted, you can ask the seller to take the property off the market. You must be prepared to purchase the property as quickly as possible, as this will help convince the seller to do so. They are under no legal obligation to take it off the market, but doing so decreases the risk of being gazumped.

What is ghost gazumping?

Being gazumped is upsetting for the buyer. However, some question whether there is a higher offer or whether it was a ghost offer. A ghost offer isn't real, there isn't another buyer and the seller is only trying to get you to offer more. The estate agent's gazumping policy should stop this practice.


How to avoid getting gazumped?

The seller will potentially look for higher offers, even after accepting yours. If you're buying a home, here are our tips on how to deal with gazumping:

Get your Mortgage in Principle

Obtain an approval in principle before making an offer. This ensures that you are a serious buyer and financially capable of making the purchase, making your offer more appealing to sellers.

Be prepared and act fast

Move swiftly with all aspects of the buying process. Complete property surveys, seek legal advice and have your finances in order. The faster you progress, the less time the seller has to consider other offers.

Get a lock out agreement

A lock out agreement is a contract drawn up once your offer is accepted, which prevents the seller from considering and accepting higher offers from other potential buyers. It will include a set timeframe during which you have exclusive rights to purchase the property.

These agreements can slow the conveyancing process down due to their detail, and your solicitors will need to review them to protect your interests. The agreement can require you to pay a non-refundable deposit, but the terms will vary.

You may think this is a great solution, however, being gazumped isn't the only thing you need protection from when buying a home. There are other complications, such as the property being undervalued, legal issues or even structural defects. All of these could affect both your desire to buy the property and or even your ability to do it.

Get gazumping insurance

The cost of buying a home is expensive, and if you are unfortunate enough to be gazumped, you don't want to have to pay your solicitors every time this happens. By working with conveyancing solicitors that provide No Move, No Fee protection, you won't have to pay solicitors' fees for each gazumped property.

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There are some gazumping insurance products that protect you from the costs of purchase, including your solicitor's fees, mortgage valuation and surveys. This is called a Home Buyers Protection Insurance Policy.

You should always read the terms of these insurance products, as they often don't cover costs incurred prior to taking out the product.

Reduce the time between your offer and exchange

Reducing the time between placing your offer and exchange of contracts reduces the opportunity for other buyers to come along.

There are 2 ways to speed up the conveyancing process:

  • Instruct your solicitors before you place your offer, so that you can get the initial paperwork, ID and protocol forms completed.
  • Choose a good conveyancing solicitor who uses fast communication, such as telephone and email. A lot of solicitors still prefer to use the postal system, and this can add weeks to the conveyancing process.

What to do if you've been gazumped?

Unfortunately, there isn't much you can do if you get gazumped. The seller is not liable to commit to the sale, so if you spend money on conveyancing searches and surveys before exchange of contracts, you will end up suffering a loss.

Keep registered with local estate agents

Before you even get to the point of putting in an offer, you will have been searching on different channels to find your dream home. There are some statistics which suggest that it takes 22 viewings before you get an offer accepted, so when you get gazumped, it can feel incredibly disheartening to have to start all over again.

To stay ahead, you need to keep in contact with all of the estate agents in the location you are moving to. This means keeping on the property mailing lists, talking to the agents, and searching the property portal. By doing this, you'll be prepared for the worst if you do get gazumped.

Do estate agents like gazumping?

Estate agents will not encourage gazumping. A higher offer might mean a higher commission, but it can also delay the sale process and cause dissatisfaction to their clients.

It is, however, an estate agent's legal obligation to inform the seller of any offers. If someone else makes a better offer, you may lose the property.


While gazumping is legal in the UK, it can be frustrating for property buyers. Being well-prepared, proactive, and building a good relationship with the seller and estate agent can help buyers minimize the risk. Additionally, it is crucial for estate agents to act ethically and provide truthful information throughout the buying process.

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Andrew Boast of Sam Conveyancing
Written by:
Andrew started his career in 2000 working within conveyancing solicitor firms and grew hands-on knowledge of a wide variety of conveyancing challenges and solutions. After helping in excess of 50,000 clients in his career, he uses all this experience within his article writing for SAM, mainstream media and his self published book How to Buy a House Without Killing Anyone.
Caragh Bailey, Digital Marketing Manager
Reviewed by:

Caragh is an excellent writer and copy editor of books, news articles and editorials. She has written extensively for SAM for a variety of conveyancing, survey, property law and mortgage-related articles.


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