Difference between Sold Subject to Contract and Under Offer

mangled

My parents house is currently now sold subject to contract. Previously it was under offer for couple months.

On the particular estate agent there are both terms used. 

So clearly there is a difference. 

In old days I used think these both meant the same thing.

Can anyone advise please.

BTW my parents house being sold so inheritance can be divided out to myself and my siblings so also if anyone has any idea of length of time after sale, a will could be completed and passed onto people inheriting then that knowledge be gratefully received also.

canaldumidi

No real difference. Buyer has accepted an offer - look for another property or tell the EA to let you know if the sale falls through.

Grumpy_chap

mangled said:

My parents house is currently now sold subject to contract. Previously it was under offer for couple months.

On the particular estate agent there are both terms used. 

So clearly there is a difference. 

In old days I used think these both meant the same thing.

Can anyone advise please.

BTW my parents house being sold so inheritance can be divided out to myself and my siblings so also if anyone has any idea of length of time after sale, a will could be completed and passed onto people inheriting then that knowledge be gratefully received also.

Not a massive difference, IMO, but I would say the process flows like this:

• For sale - the house is available with an asking price stated (£100k for the sake of discussion)
• Under Offer - an offer has been received but not accepted by the vendor  (I assume this would mean the EA thinks it is realistic but the vendor is not aligned, say £95k).  This could also be an appropriate description if there is an offer received and accepted but things can't proceed for the time being, perhaps awaiting probate and no side will really incur costs until that is achieved.
• Sold Subject to Contract - an offer has been received and accepted by the vendor and both parties are now starting the process towards exchange, so Solicitors instructed and the purchaser incurring costs (survey etc)
• Sold - contracts have been exchanged

That would be my general take on it, but these terms are not defined in law and can be used by different EAs in different ways.

eddddy

'Sale Agreed', 'Under Offer' and 'Sold Subject to Contract' generally all mean the same thing. It's up to the EA to choose whichever they like best.

The Property Ombudsman says:

“In my view, ‘Sale Agreed’, ‘Under Offer’ and ‘Sold Subject to Contract’ all propose the same, that the seller has accepted an offer on the property, that is, a sale has been agreed, but contracts are not yet exchanged.

“‘Sold’ should only be used once contracts have been exchanged.”

Link: https://propertyindustryeye.com/sale-agreed-under-offer-and-sold-subject-to-contract-theres-no-difference-says-the-ombudsman/

london21

Until exchange has taken place, buyer can change their mind. But hopefully goes smoothly. 

Hedgepigs

I've an offer accepted on a house, close to exchange now. It's listed as a mix of Sold STC and Under Offer depending on website. The label has not changed on any since offer was first accepted.

Other properties with them are also a mix of the two,  and not consistent across any website. So this estate agent at least seem to use a mix, with no logic behind it other than probably whatever button they happened to click at the time!

Slithery

mangled said:

So clearly there is a difference.

No. There isn't.

TheJP

BTW my parents house being sold so inheritance can be divided out to myself and my siblings so also if anyone has any idea of length of time after sale, a will could be completed and passed onto people inheriting then that knowledge be gratefully received also.

Is the house in probate?

user1977

mangled said:

BTW my parents house being sold so inheritance can be divided out to myself and my siblings so also if anyone has any idea of length of time after sale, a will could be completed and passed onto people inheriting then that knowledge be gratefully received also.

If that's your real concern here, you'd be best to ask the executors (as well as the usual conveyancing processes, the remainder of the estate being administered will be relevant) - the bit about the distinction between SSTC/under offer isn't really the point.

NameUnavailable

Until contracts are exchanged the property isn't sold. They, or you, can pull out at any time up to exchange.

What is your concern?

saajan_12

mangled said:

My parents house is currently now sold subject to contract. Previously it was under offer for couple months.

On the particular estate agent there are both terms used. 

So clearly there is a difference. 

In old days I used think these both meant the same thing.

There's no legal or standard distinction, and EAs will often vary. Could be
* 'under offer' = offer received and being considered
* 'SSTC' = offer accepted and in process of conveyancing
However it could also just be the whim of the EA, you'll never know and any possible distinction is small ie no legal contract, but there is a buyer in mind. 

mangled said:

BTW my parents house being sold so inheritance can be divided out to myself and my siblings so also if anyone has any idea of length of time after sale, a will could be completed and passed onto people inheriting then that knowledge be gratefully received also.

At best the above distinction could be used by another buyer trying to guzump. For timescales, there's really no info to be gleaned there, as the time taken for conveyancing / surveys / contract negotiations will be very variable.