What is gazumping & how can you avoid it in 2025?

Losing your dream home to gazumping can be incredibly disheartening. After putting so much time, money and emotion into the process, having it snatched away at the last minute is a frustrating and unfair blow.

Unfortunately, gazumping is a reality in today’s competitive housing market, and while it’s legal in England and Wales, it leaves many property chain buyers feeling powerless.

But, you don’t have to face this alone. At The Property Buying Company, we understand how tough this situation can be, and we’re here to help you take back control. Whether you’re looking for a quick sale to secure your next property or need guidance on how to navigate the housing market, we’re committed to making the process easier for you. 

On this page, we’ll cover everything you need to know about gazumping: What it is, how it works, the impact it has on buyers, and the practical steps you can take to avoid it. With the right knowledge and support, you can move forward with confidence — and we’re here to help you every step of the way.

What is gazumping?

Have you ever found your dream home, had your offer accepted and then lost it all at the last minute? That’s gazumping. It happens when someone comes in with a higher offer on a property you’re already in the process of buying, even after your offer has been accepted.

Gazumping can be incredibly frustrating, especially since it can occur anytime before contracts are exchanged, which means you haven’t legally secured the property yet. Usually, gazumping is more common when someone is buying and selling a house at the same time.

The consequences of gazumping will mean that you unfortunately:

• Lose the house: The original seller will proceed with the new buyer, leaving you back in the search for your dream home.

• Potentially lose money: You may have already invested funds in surveys, legal fees or other property-related services, which cannot be recovered in most cases. 

Gazumping is legal in England and Wales, but not Scotland, and can happen even after your offer is accepted. It is only illegal, when your contracts have been exchanged with the seller. You should be prepared for the possibility of gazumping and take proactive steps to minimise the risk of it affecting you. 

While we do not believe that gazumping is an ethical practice, understanding the process may help you as a buyer or seller prepare for the event to happen. 

Why does gazumping happen?

Gazumping may happen because the seller receives a better offer from a different buyer, be this through a higher offer or faster completion. 

If the seller receives a higher offer, which is the most common reason for gazumping to occur, a competitor will have made a more attractive offer than you. This then tempts the seller to switch in order to earn more profit on the sale of their property.

The other reason gazumping occurs, is that sometimes a rival buyer might offer similar terms but with a faster completion date. This can be appealing to sellers, especially if they’re in a hurry to move on. 

In a seller’s market, with more buyers than available properties, sellers have more leverage and are more likely to be tempted by higher offers. If the initial buyer takes too long to complete the sale due to financial issues, indecisiveness, or a complex chain, the seller might seek alternative offers. 

Cash buyers often complete faster and without the need for mortgage approvals, making them more attractive to sellers, especially during tight deadlines like the Stamp Duty holiday. 

If the initial offer is significantly below the asking price, the seller might be more open to considering higher offers later.

How to avoid being gazumped

While avoiding gazumping entirely is impossible, as gazumping is down to human instinct and the sellers circumstances, here are a few steps you can take to minimise the risk of gazumping:

Preparation & organisation

Secure a mortgage agreement in principle before searching for a new home. This demonstrates financial readiness to the seller and allows for a quicker purchase process.

Choose & instruct a solicitor and surveyor beforehand to expedite the process once your offer is accepted. Gather all necessary documentation (ID, proof of income, etc) to avoid delays. 

Communication & rapport

Negotiate with the seller to take the property off the market after accepting your offer. This minimises the chances of other buyers finding making bids on the property. 

Get to know the seller on a personal level. Show genuine enthusiasm for the property and express your seriousness about buying. 

Discuss the possibility of a lock-out agreement with the seller. This agreement, signed by both parties, grants you exclusive rights to buy the property for a specific period. But, the legality and enforceability will vary depending on your location. 

Efficiency & action

Once your offer is accepted, act swiftly to complete the buying process. This reduces the window of opportunity for other buyers to make competing offers. 

Maintain regular communication with your solicitor, mortgage broker and surveyor. Promptly respond to requests and complete all the necessary tasks. 

You may also wish to consider Homebuyer Protection Insurance. While it won’t prevent gazumping, this insurance covers expenses like legal fees or survey costs if the sale falls through due to gazumping.

Will you get gazumped in 2025?

The Covid-19 housing market was in a frenzy. Buyers faced stiff competition, and gazumping was almost expected in some cases. Why?

• Stamp Duty Holiday: A temporary tax break pushed buyers to act fast, leading to rushed deals and bidding wars.

• Lifestyle changes: The pandemic had people rethinking where they lived, driving demand in certain areas and fueling competition.

Fast forward to today, and things have calmed down. Buyers have more bargaining power and sellers are often accepting offers below their asking price. This shift means gazumping isn’t as common as it once was.

But, while it’s tricky to predict the future, here’s what we think 2025 has in store:

Gazumping is less of a threat now than it was during the pandemic, and in 2025, it might not be on most buyers’ radar – especially if the market slows down further. That said, every market is different, so stay informed and work with professionals to make the process as smooth as possible.

Is gazumping ethical?

Gazumping might be legal, but it’s often seen as unfair and downright frustrating. For buyers, it’s not just the emotional disappointment of losing a home they thought was theirs – it’s the wasted time, money and effort. From survey costs, to solicitor fees, the financial hit can be substantial.

A 2024 survey by Market Financial Solutions sheds light on just how common and controversial gazumping has become. Here’s what they found after speaking to over 500 recent homebuyers:

The survey also showed that gazumping doesn’t hit everyone equally, with young buyers being the hardest hit. Among buyers aged 18 to 24, a staggering 61% said they’d been gazumped. For many, this is their first experience of buying a home — so it’s a tough introduction to the housing market.

Also, the West Midlands (53%) and Greater London (52%) were identified as gazumping hotspots, where competition for homes is fiercest.

For buyers, gazumping feels like a betrayal—it happens when they’ve already invested emotionally and financially in the process. Sellers, however, often see it as a chance to maximize their profit, which can create a clash of values. Is it about doing what’s fair, or simply getting the best deal?

Will things change?

There’s growing demand for action to tackle gazumping. Some ideas include:

• Making offers binding: In Scotland, offers become legally binding earlier in the process, which helps prevent situations like gazumping. A similar system in England and Wales could level the playing field.

• More transparency: Sellers could be required to declare upfront if they’re considering other offers, giving buyers a clearer picture of the situation.

Gazumping is frustrating, stressful, and for many, downright unfair. It’s no wonder the majority of homebuyers want it banned or at least better regulated. Until changes are made, staying informed, acting quickly, and working with experienced professionals are your best bets to protect yourself.

How can we help?

Being gazumped is incredibly frustrating – it can leave you feeling powerless and stuck. But, here at The Property Buying Company, we believe we can help you bounce back and take control of your house selling journey.

If you’ve been let down, we can help you sell your house fast – often in as little as seven days. That means no more uncertainty or risk of being gazumped again. Once you have our form offer, it’s a guaranteed sale.

You can also forget long chains and delays. We buy directly, so there’s no waiting around or worrying about someone pulling out. You’ll know exactly where you stand, right from the start.

Because we buy your house for cash, we give you the funds to act quickly when your next home comes up. This puts you in a strong position to move forward with confidence.

And the best bit? After the stress of being gazumped, the last thing you need is extra fees. We will cover all the costs — no estate agent fees, no hidden charges, so you can focus on what’s next.

Want to find out more about our process, or even get the ball rolling? Enter your postcode below!