Homebuyers want gazumping to be made illegal

Posted: 21/4/2022

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The majority of UK homebuyers unsurprisingly want to see the practice of gazumping made illegal, according to a new survey.

The poll of over 1,000 homebuyers to have purchased in the last six months alone found that 9% had experienced gazumping when looking to buy.

It’s clear from the poll that the vast majority of homebuyers are also strongly against this practice. Some 89% do not believe it’s right that gazumping can take place once a seller has already accepted an offer from a potential buyer, but before that sale has completed.

Meanwhile, 85% also stated that they would like to see the practice of gazumping made illegal within the UK and 90% would like to see estate agents tasked with preventing the practice from occurring in order to reduce its propensity.

But here at Key One Property we have been preventing it for the last few years with our reservation agreements. Whilst legally these agreements don't completely stop it from happening, it compensates the buyer with £500 where it does occur, so in practice it has not happened. But of course, it has to be quid pro quo for the seller, and the agreement also compensates the seller if the buyer withdraws from an agreed sale without good reason, e.g. an unresolvable legal issue or major unforeseen survey issue. The cost of this? Well, we don't charge a penny to administer it, it's all part of our service, which already costs half the price of many other estate agents. Our sale fee is just 0.5% inc VAT. 

Poll carried out by HBB Solutions.
Sale fee subject to t&cs, min fee £500. 

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