Gazumping returns to market
As a result, estate agents are turning away prospective buyers to focus their attention on those they believe will succeed with property transactions.
With Land Registry figures for quarter four 2005 revealing an increase in property prices for Greater London to £289,248, James Carter, IFA at Virtue Financial, said the property price increase had led to increased gazumping within the Capital and had made agents reassess their service.
He said: “I’ve noticed agents being very fussy with who they accept offers from.”
He added the increased levels of gazumping could be attributed to the lack of supply of suitable properties to eager buyers, particularly within the higher property brackets.
Adrian Kidd, IFA at Mint Financial Services Ltd, agreed. He said: “ London is a different animal to the market outside it and it has always been the case that demand has outstripped supply. There have been a couple of cases recently at the top end of the market where a client agreed to pay the asking price, which was accepted, but the property was still being marketed.
However, Jock Cassidy, director at Ashley Law Limited, argued the London market was still prosperous, and had not seen any evidence of property gazumping: “The London market still seems to be active and I haven’t noticed any difference to it,” he said.