A report published in the UK today states that ‘gazundering’- where a buyer lowers their offer for a home at the last minute – is becoming a growing problem.
Gazundering can happen just before a sale is set to go through, with sellers sometimes feeling under pressure to accept the lower price to stop the deal collapsing.
So, should we be concerned about gazundering here in Guernsey? The simple answer is ‘no’.
Swoffers Director Spencer Noyon explains.
‘The team at Swoffers always has the best interests of our clients at heart and will do everything to make sure that the selling or buying process is as smooth and simple as possible.
‘The market is busy at the moment with lots of sales progressing quickly and so very little reason for anyone to pull out at the last minute,’ says Spencer.
‘Also, the Guernsey system of buying and selling a house is different from the UK. When you make an offer on a property and it is accepted an ‘operative date’ is set, usually for around three to four weeks after your offer is accepted. This is when conditions of sale are signed or become unconditional. Once conditions of sale are signed unconditionally, both the buyer and seller are locked into the deal and if either one withdraws, the 10% deposit must still be paid. The completion date, which is when the buyer goes to court to complete the sale, is agreed between all parties and is often a number of weeks after the operational date.
‘It is possible that the agreed offer may be renegotiated following the completion of a professional survey on the property if it highlights any necessary works. This is not gazundering and usually happens before conditions of sale are signed,’ says Spencer.
‘Both buyers and sellers should feel reassured that the team at Swoffers will be with you through every step of the process and that our aim is to make buying and selling your home as simple and as stress-free as possible. If you have any questions about the process or would like some advice and guidance please don’t hesitate to give one of our experienced negotiators a call on 711766.’