Gazumping

[Maisie17]

So my DH and I agreed a price on a London property on New Years Eve 2019. Three weeks to the day later we were gazumped and the sale fell through. By way of background, we agreed a price on our flat sale in early November so we were getting a bit concerned that time was ticking and we really don't want to rent for a number of reasons.

So we had a rough 3 weeks of trying to find somewhere else and then, had an offer accepted on a more expensive place this day 2 weeks ago. Since then we're been doing the sums and making it work and have been really happy out. Until just now. The estate agent has emailed to say someone who was originally interested has accepted an offer on their house and is now offering more for the property we're trying to buy. The sellers are considering etc etc. We've met them and they seem reasonable so hopefully they'll honour their agreed sale with us as they know we had a sale fall through before, but I have a bad feeling after the last one.

Given that we're been trying to move for over a year I'm losing the will to live with it all and just need a holiday. I know English property law is peculiar and that this happens. But have we been exceptionally unlucky?! And also, Is there a special place in hell for these gazumpers? I just don't think I'd ever do it! Maybe gazumping within a day or two of an offer being accepted is okay but I just wouldn't do that to someone after weeks. We've also now potentially lost £1.5k twice for two mortgage applications. Bah humbug!!!

There's a special place in hell for those agents for sure. A sale is agreed, why are they fishing around? I expect they're trying to flim flam you in to upping your offer. You don't know for certain the other buyers exist.
Tbh I would sell yours and rent,I know you don't want to but it reduces some stress and puts you in a stronger position.

@Maisie17
Fingers crossed for you! Hope the vendors this time are honorable people and stick with you.

@Kateplaysrugbyinmydreams
The chances that the agent has either totally invented another buyer who doesn't exist, or is "fishing around trying to flim flam you in to upping your offer" are pretty close to non-existent.

There is virtually no financial benefit to the agent in doing so, all they do is create a lot more work and grief for themselves.

There are a not insignificant number of poor agents out there, but that does not mean blame should always be placed on them.

I deeply dislike gazumping. It should be illegal. On our sale we had a guy knock the door after we’d accepted an offer and pretty much beg us to accept a new, higher offer. It was the most awkward thing ever (not helped by having just got out the shower, pyjamas on, hair like a bog witch etc etc) and I told him I couldn’t go back on my word regardless of price. Thank god my honour was paid back as someone tried to gazump us on our purchase 48 hours later and the vendors stayed with us.

I think it’s just dishonourable to gazump. Fingers crossed you have a successful transaction!

Thanks all! I'm not sure that the estate agent has much to gain as the extra commission should be relatively small and the chances of the sale taking a long time/falling through is a lot higher with these other buyers who are at the very start of the process, whereas we're almost ready to exchange but are fortunate enough to be selling to Americans just buying our flat as a "London holiday home " so they've been patient and working to our timeline.

I think it often comes down to how much extra is bid. If it's a couple of thousand or even 10/20k I don't think our sellers will risk it, but if someone offers an extra 75k or something ridiculous then we're pretty doomed.

Ah, we'll see! Fingers crossed and I'll update when I know!

We have buyers at the moment who have offered full asking price. Since we’ve accepted the estate agents kept trying to push more appointments on us. I’ve told them quite bluntly no. I’d be pretty upset if someone did that to us.

Hey OP, I’ve been in your sellers position and we stood by the first, £10k lower and probably safer buyer... it does happen
Fingers crossed for you x

If you’re brave enough, tell them your offer stands until X o’clock in (say) 3 or 4 days, and unless you have a watertight acceptance by then, with the property taken off the market, you will walk away.

Yes, it’s a risk, but it concentrates minds and I’ve known it to work.

I’ve also heard of the other offer being accepted - only for it to fall through quite quickly, the agent then coming crawling back, asking whether the original buyers are still interested.

Thanks all! Still no news so we're going to chase at lunchtime.

@GETTINGLIKEMYMOTHER, Agree. We've been messed around so much at this point by the whole process that I think we may need to assert ourselves and concentrate minds.

I think it’s really poor form that the sellers have left you hanging for 48 hours. So rude. Either your morals step in and you don’t allow gazumping, or you take the higher offer. Leaving all parties for 2 days is really shitty.

And at 17.01 we get a bad news email. But they’d like to “give us the opportunity to increase our offer” before going with the other buyer. So dishonourable. Can’t believe we’ve had two back-to-back. Really bad bloody luck

Oh I’m so so sorry to hear that. Fuck those people. Hope it all falls through and costs them loads.

I know. I was bawling my head off on a transatlantic flight grappling with in-air WiFi as I got this news. Now that we’re looking back at the estate agent’s emails it looks as though he’s been playing us, which is really awful as he knew we had been messed around badly before. Very tempted to delay a few days, put in an increased offer that they’ll accept in and then delay some more before pulling out and collapsing the sale. I know that’s the wrong thing to do so I won’t... but I want to draw blood (not sure I’ve ever had such a strong feeling of vindictiveness in my life)! That sounds crazy.... a good night’s sleep will sort me out I hope!!

Can't say I blame you Maisie I'd be tempted to do the same.

Very tempted to delay a few days, put in an increased offer that they’ll accept in and then delay some more before pulling out and collapsing the sale.

You evil genius I know you said you won't, but I'd be so tempted to if I had the balls. Would serve them right. Blame it on discomfort over the higher selling price. Might make the agent and the vendor think twice about doing it again.

@Maisie17
„ Very tempted to delay a few days, put in an increased offer that they’ll accept in and then delay some more before pulling out and collapsing the sale. I know that’s the wrong thing to do so I won’t... “

I would absolutely do this! Play their game and in the last second „gazunder“ them (lower your offer again), just to teach them a lesson!

I would be tempted too. I’d probably wuss out but I love the idea! Everything crossed for you that you find something better soon.

The agents and the vendors are contemptible. Tell them you will up the offer, what have you got to lose? Pulling out will make you feel better.

And also, Is there a special place in hell for these gazumpers?

I really, really hope so.

Ah, this is making me feel a lot better. We're giving it very serious consideration and I think we will offer more, with a view to either collapsing the whole thing on them in a month, or playing the game long enough for the gazumpers to find something else and hope that the market dips (as it will because Brexit term negotiations haven't even started so this current peak is projected not going to last too long) enough for us to say we're only paying what we had originally agreed. There's literally nothing else in the area we're trying to buy at the moment but we'll obviously keep an eye out.

We just feel as though we've been made fools of twice now. Not that it makes a difference but we're both so fucking morally aware and always go out of our way to do the decent thing. We've been above board, transparent and decent throughout. And being treated like this by 2 sets of sellers, estate agents and gazumpers is just so infuriating and humiliating. Usually when I say or do something a bit nasty I feel bad afterwards but I really don't think I'd feel that way with all of this...

And thank you all for your lovely comments!!

You don't need to stoop to their level.
You can be very honest and say your offer stands.....and mention all the positives about you as buyers and how far through you are and when you would expect to be able to complete. If you like, say that given your previous experience of gazumpers, you are leaving your current offer on the table until Tuesday, after which you will be withdrawing and looking elsewhere, but you will not be entering a bidding war after your offer was accepted and made in good faith.

If you don't intend to go ahead with a higher offer, really don't bother getting into this. It will give you about 10 minutes gratification and then it will be over. You won't be able to look at other properties or easily make other offers in you are still supposedly proceeding. So if you need to walk away, just hold your head up high and do it.

The feeling of disappointment and annoyance will pass. You will move house.

Sorry it's happened to you. You never know with housing .....the a gazumpers might be fictitious or vanish - you may still get the house or a better one you haven't seen yet. It's hard but try to be stoical not vengeful.

I know this is an old post but I’ve experience the same as a single mum and kids settled in school it’s really hard to find the right house we found one finally and 3 weeks in we got the dreaded call that we were being gazumped as the couple who viewed the house over 8 months ago weren’t that keen at the time but have now decided that they want the property I was buying as they’ve sold theirs and there is nothing else on the market they want. I matched the offer and was reassured by EA that there would be no more offered then a week later there was they did it again and my sale fell through it’s just disgusting isn’t it !!