Gazumping is one of the most frustrating experiences a property buyer can face in the UK housing market. It occurs when a seller accepts a higher offer from another buyer after having already agreed to sell to someone else — often after terms have been informally agreed but before contracts are legally exchanged.
At Fraser Bond, we understand how emotional and financially disruptive gazumping can be. This guide explains what gazumping is, how it affects buyers and sellers, and what practical steps you can take to protect yourself and your property transaction.
Gazumping happens when:
A seller verbally agrees to an offer from Buyer A
Buyer A begins the legal and financial processes (e.g. surveys, mortgage application)
Before the exchange of contracts, Buyer B offers more money or better terms
The seller accepts the new offer, leaving Buyer A without a deal — despite time and money already spent
In England and Wales, property transactions are not legally binding until exchange, so this practice, while ethically questionable, is legally permitted.
Gazumping can occur for several reasons:
Rising market demand — sellers receive higher offers after accepting an initial one
Slow progress by Buyer A — delays in mortgage approvals or conveyancing can frustrate sellers
Lack of formal agreement — without legal commitment, sellers are free to change direction
Competitive areas — London, the South East, and other hot markets are more vulnerable
Cash buyers stepping in — sellers may prefer buyers who can complete faster or with fewer conditions
For buyers, gazumping can result in:
Lost legal and survey costs (often £1,000–£2,500)
Emotional distress and time lost
Missing out on rare or perfect-fit properties
Having to re-enter a competitive market
That’s why speed, transparency, and legal protection are vital when making an offer.
Instruct your solicitor immediately
Submit your mortgage application without delay
Book the survey and respond to all paperwork promptly
Keep lines of communication open with the seller or agent
Once your offer is accepted:
Request in writing that the seller withdraw the listing
This reduces the chances of new competing offers arising
Although not standard practice:
A lock-out agreement can grant the buyer exclusive rights for a limited time
It can protect against gazumping during the conveyancing period
Both parties must agree and legal costs are involved
Fraser Bond can assist with negotiating and drafting such agreements where appropriate.
Provide proof of funds and mortgage agreement in principle
Offer flexible timelines to suit the seller
Maintain a strong, professional relationship through the agent
Some policies cover:
Legal fees, survey costs, and other outlays if a purchase falls through due to gazumping
Typically costs between £50 and £100
Not exactly — but sellers can face gazundering, which is the reverse:
A buyer reduces their offer just before exchange, often unfairly leveraging time pressure
This tactic is also legal, but contentious
Fraser Bond helps sellers avoid this by carefully vetting buyers and progressing swiftly.
Yes, in England and Wales, gazumping is legal because:
An agreement to buy or sell property is not legally binding until contracts are exchanged
Until then, either party can pull out for any reason, at any time
Scotland has different rules — property sales become binding once the seller formally accepts an offer in writing, significantly reducing the risk of gazumping.
At Fraser Bond, we reduce the risk of gazumping by:
Acting fast — we work closely with solicitors and lenders to expedite the process
Pre-qualifying buyers and managing offers professionally
Securing off-market opportunities, reducing exposure to competing bids
Advising on lock-out agreements and negotiating favourable terms
Offering clear communication between all parties to build trust and minimise surprises
Gazumping remains a real concern for buyers in today’s competitive market, especially in high-demand locations. While legal reform may eventually address the issue, the best defence right now is preparedness, speed, and trusted representation. Whether you’re buying, selling, or developing, Fraser Bond is here to guide you with clarity, integrity, and expert market insight.
