Gazumping....

aloiseb

I think that is exactly what has happened to my colleague - the vendor was using it as leverage - trying to see whether he could get any more dosh out of my colleague, who wouldn't dream of gazundering at the last minute and was all ready to proceed the next day.
The amount he was being gazumped by was only 3% of the asking price - does that make a difference to the morals / manners of vendors? Nowhere near 20000 but I suppose that would depend on the price of the house)

i think I would feel that it would need to be a very good gazump offer - about 10% of asking price extra, at least - before I felt "justified" in letting everyone down.

silvercar

Once you have accepted an offer and agreed to stop showing the property, you shouldn't be showing the property. Saying its OK to gazump someone if your getting at least 10% more doesn't make sense. Where are these people coming from with their increased offers? Your not showing people around, so are they offering without viewing? We were told that our first buyer was again interested in buying and would be prepared to increase his offer. We didn't ask how much more he would be prepared to pay; we said we were currently under offer and weren't interested in any discussion. We could have found out his max price, we could have then played the buyers against each other, but we didn't. What goes around comes around!

Poppy9

Surprisingly many people do make offers without seeing a property. Particularly true if they need a house in a certain school catchment area within weeks.

niceguyrichy

why doesn't the rest of the UK use the scottish system???

no Gazumping or any of that crap, you make an offer, the best one is accepted, all happy

Jorgan_2

niceguyrichy wrote:

why doesn't the rest of the UK use the scottish system???

no Gazumping or any of that crap, you make an offer, the best one is accepted, all happy

Because, as I understand it & please correct me if I'm wrong, before you put an offer in on a property in Scotland surveys & some of the legal work needs to be done. If that costs you £800 & your offer is unsuccessful you have to start the whole process again. You may offer on five properties, at a lot of expense to yourself & secure none of them.

Astaroth

niceguyrichy wrote:

why doesn't the rest of the UK use the scottish system???

No thanks, call me odd but I enjoy the current setup and have previously made significant financial gains for myself by it.

Poppy9

Agree the Scottish system is no better. Why ask for offers over. Just name your price and get on with it. Can you imagine shopping at Tesco's and the food is on sale at offers over. The best bid gets the last tin of beans:D

As said before it would be great for buyers and sellers if once someone made an offer they were committed to buying/selling but in reality when we are talking such vast sums of money is impractical. Circumstances change. Surveys & searches uncover problems which affect house value, buyers/sellers circumstances change through redundancy, death, illness, new baby etc. How can you force someone to buy a house if they no longer have the funds available? Not many people buy a house with cash these days:o

Jorgan_2

Poppy9 wrote:

Surprisingly many people do make offers without seeing a property. Particularly true if they need a house in a certain school catchment area within weeks.

But would you ever accept an offer from somebody who hadn't seen a property? I wouldn't. I would also be concerned about the credibility of a buyer who could offer in such an off the cuff attitude, the may be as likley to withdraw without much consideration.

Katgoddess

The owner of the house my mate just brought was guzundered by the 1st buyer.

The 1st buyer would have brought for asking price but then once everything was sorted said that he would only buy if the price was dropped by 5 grand. Unbeknown to him the owner was in no chain and in no hurry to sell as he was moving into his girlfriends already brought house. So of course the owner says "eff off". The buyer says ok I'll take it for asking price. Owner said "eff off" again, and put it back up on the market.

:rotfl: :rotfl:

My mate and missus offered 5 grand less than asking price and get the house. :j

Rimo2021

Jorgan wrote:

Because, as I understand it & please correct me if I'm wrong, before you put an offer in on a property in Scotland surveys & some of the legal work needs to be done. If that costs you £800 & your offer is unsuccessful you have to start the whole process again. You may offer on five properties, at a lot of expense to yourself & secure none of them.

It used to be like that - now it's much more common for your solicitor to put your offer in 'subject to survey' rather than 'unconditionally' (where the survey has been done) - If your bid is accepted your solicitor sends in a surveyor pronto and the offer is then firmed up. The deal becomes binding when 'missives' are exchanged which often happens within a few days and thats that.