Gazumping, gazundering and now…gazanging!
Yes, there’s another silly word in the property world designed to strike fear into the hearts of would-be homebuyers, and that’s gazanging.
Gazanging has been getting quite a lot of press of late, described last year in the Guardian as ‘the new menace of the housing market.’
The word refers to the scenario in which a seller suddenly changes their mind at the last minute, taking their house off the market and deciding to stay put. This can be hugely disappointing for the buyer – especially if they’ve already forked out for surveys and solicitor fees.
This has, unfortunately, been a popular trend throughout 2011 – with rocky house prices and problems with unavailable property often being responsible for a seller’s change of heart. According to legal property website in-deed, 2% of sellers who opted to stay put in the first half of 2011 blamed ‘cold feet’ on their decision, while 28% said they couldn’t find a suitable new home.
In the current economic climate, there’s little that a homebuyer can really do to avoid this happening. However, some estate agents might request a ‘goodwill payment’ (or something of a similar name) from both the buyer and seller, so if either pull out, some of the associated costs are covered by the other party. This could be around £1000 and would be fully reimbursed to both parties if everything runs smoothly.
Here’s a quick explanation of the other dreaded Gs:
Gazumping
This is when a seller accepts one offer on their property and then accepts a different, higher offer from a another buyer – unceremoniously usurping the first buyer.
Gazundering
This is when the buyer demands a price reduction right at the last minute by threatening to pull out if the price isn’t lowered. This is outlawed in Scotland.
Gazanging
As detailed above, this is when a seller has a last minute change of heart and decides to take their home off the market. This is normally due to market uncertainty or an inability to find a suitable property.
Good luck with your property buying, fingers-crossed those nasty Gs are nowhere to be seen!