When purchasing or selling a property, estate agents often use technical terms or jargon that may have different meanings and can be difficult for a non-expert or a layman to comprehend. One of these terms includes “under offer”. But the main question is, what does this term mean for other buyers when a property is left on the market labelling this term?
Under offer can be defined as an offer presented to the seller, and they are still considering the offer and has yet to make a decision.
When a property is under offer, it does not mean it’s unavailable; other buyers can still make and present an offer of their own. During this period, the transaction is not legally binding, and the property remains available until both parties have exchanged and signed the paperwork.
Do all Properties Go Under Offer?
- Mostly, the sellers do not put the properties under offer.
- They accept the offer right away as they see fit.
- When the offer is accepted, it is doubtful that it will be labelled as “under offer”.
- However, it will be labelled STC (Subject to Contract).
What Does the Term ‘Subject to Contract’ Mean?
When a property is labelled as Subject to Contract’ (STC), the offer has been accepted by the seller. It still does not signify that the paperwork is completed and the property has been sold; it means that one can still enquire about the property and present an offer of their own.
How Can One Avoid Being Gazumped?
- Being gazumped means that the offer presented by a buyer is beaten by another buyer on the market, usually by a higher offer.
- This may be overwhelming and stressful, especially for someone who has already paid mortgage costs, legal services or surveys.
- One can avoid being gazumped by making haste in completing all the steps of the contract before anyone else.
- An excellent and trustful relationship with the seller will also help and benefit you.
How and What is The Best Time to Make an Offer on a House?
You should make an offer on a property only when you are hundred per cent sure about buying it.
Generally, the steps involved in putting an offer on the house involve the following:
- The buyer makes a written offer to the seller.
- The seller can choose to accept the offer or reject it.
- If the seller chooses to accept the offer, further proceedings for exchanging contracts will begin.
Will You Be Able to View the Property Under Offer?
Yes, you can view the property labelled under offer, meaning it’s not illegal to view the property. Estate agents still consider an offer, hoping to attract a great and competing buyer.
However, it depends on the seller; sometimes, they prefer to avoid viewing while considering an offer, as it will damage the relationship with the current buyer. Furthermore, if you are still interested in viewing, you should contact the estate agent directly.
Can One Offer Less Than the Asking Price?
- The amount you want to offer depends on numerous factors, first and foremost, your budget.
- Next, how long has the property been listed on the market?
- Has it remained at the same price during that period?
- Do you have any idea about the level of interest in the property?
- Also, how motivated is the seller to sell quickly?
- A reliable estate agent can assist you in answering most of these queries.
- After considering these questions, make sure to make a serious offer.
Are Estate Agents Allowed to Talk About Other Offers?
The simple answer would be “no”; they are legally not allowed to tell you about other offers or the exact amount, however, they can provide you a rough estimate on how close they are.
A competent agent will advise you on making the best offer while still securing the property.
What is the Maximum Duration for a House to be Under Offer?
- It is not specified how long a property can remain under offer, as there is no minimum or maximum period set.
- A property can remain under offer until the paperwork has been exchanged and signed.