gazumping how much more?

loanranger_4

We have had two interested parties in our property. We accepted an offer yesterday for about 93% of the asking price.

However the other party has today made an offer of £2k above the agreed price. I of course will not accept this offer, an agreement is an agreement, however it got me thinking.

How much more would you want before you would even consider the other offer?

jockettuk

loanranger wrote:

We have had two interested parties in our property. We accepted an offer yesterday for about 93% of the asking price.

However the other party has today made an offer of £2k above the agreed price. I of course will not accept this offer, an agreement is an agreement, however it got me thinking.

How much more would you want before you would even consider the other offer?

doesnt happen in scotland.. a deal is a deal and if you renage on it you pay all costs.. should be the same down here in england..

spendaholic

Having been the victim of estate agent fuelled gazumping in the mid 1980s, I wouldn't accept anything after already accepting the first offer, but I'd ask them if they'd still be interested if anything happened to the first buyer.

lush_walrus

Personally, more than money I would probably jump ship for the position the buyers are both in. If one hasnt sold their property for example I would discount that offer straight away! Or if one was a first time buyer then I would choose them.

Personally, not to corrupt you, but I always feel that as long as there hasnt been any money paid out, there isnt such a problem with changing. Slight upset I guess, but people always find somewhere else!

Pal

They already knocked you down by 7% and now you are going to reject a higher offer in favour of thiers? I can understand sticking by your principles if the original offer was at the asking price, but they have offered less than you wanted for it. I would go back to the original vendor and ask them to increase their offer, and then let them bid against each other until one of them drops out. The final price paid will be the market value of the property.

Gazumping at this early stage is not a really a problem is it? It is when it is done at the last minute that it might be considered unethical.

meanmachine_2

I thought you'd asked for final offers?

If the other party's final offer is higher by £2K then go with that.

However, you run the risk of losing the original buyers and finding that this second party is in no position to advance.

It's up to you.

loanranger_4

Thanks All.

Both buyers are chain free, though the gazumper is a cash buyer.

I think the cash buyer was trying it on originally and only when he 'lost' the property does he start to gazump. It's so infuriating when it happens AFTER the best offer has been accepted.

Good point that no money has changed hands yet, but I wouldn't jump ship for £2k, now £5k would make me think !

snake666

just a thought
put it to the cash buyer he can have it for and extra 4k but this must be paid now on exchange non refundable then he will think twice before backing out or tell the other offer you have had a better offer for 3k and can they match it

im even offering a free mcdonalds anywhere in the world if someone buys my flat (perhaps i should pit it on the freebie board LOL)
snake

bridiej

Personally I'd take the offer you've already accepted and go with that, dont think it's fair as it messes with people's heads and who's to say they havent already paid some money out on solicitors / survey?

zag2me

I would absolutley jump ship for 2000 quid! No ethical problems here, 2 grand is 2 grand at the end of the day, and The deal is only done once its been signed in uk law.

dougk_2

I see the problem.

My head would say accept the cash buyers offer - the cash bit is very important and will allow you to exchange quickly and with far less complications.... what happens if the first buyers mortgage is refused etc?

I would go back to the original buyer explain the situation and say you want exchange within 14 days otherwise you will consider buyers 2 offer.

The market is not manic at the moment so mortgages offers and surveys should be turned around sharpish.