Making an offer on a house is straightforward in England and Wales, but doing it well requires preparation and clear communication of your position. Understanding the process and what information to include gives your offer the best chance of being accepted or generating a productive negotiation.

The Offer Is Not Legally Binding

In England and Wales, an offer to purchase a property is not legally binding on either the buyer or the seller until contracts are exchanged. This means either party can withdraw from the transaction at any point before exchange without legal penalty, though there are practical and relational costs to doing so. This contrasts with Scotland's property law, where a successful offer results in a binding conclusion of missives. The non-binding nature of English property offers means buyers can make offers on multiple properties without legal commitment, though doing so without genuine intention to proceed is generally considered poor practice.

How to Make the Offer

Offers are made through the estate agent, who has a legal obligation to pass all offers to the seller promptly. Make the offer verbally by phone to the estate agent, then immediately follow up in writing by email to create a clear record of the offer figure and the terms. A verbal offer not confirmed in writing can be disputed later.

Your offer should include the purchase price, the name of the buyer or buyers, and confirmation of your buying position. The buying position is important because it affects the seller's assessment of the risk and certainty attached to your offer. State whether you are a first-time buyer, a cash buyer, or a buyer with a mortgage in principle. State whether you have a property to sell and if so what its status is. State your preferred timescale for completion.

What Happens After the Offer

The agent typically comes back to you within a day or two with the seller's response: acceptance, rejection, or a counter-offer. If accepted, the agent will ask for your solicitor's details and will confirm the agreed price in writing. At this point you should instruct your solicitor and submit your full mortgage application if you have not already done so. Note that an accepted offer is not binding; either party can still withdraw before exchange.

Gazumping and Gazundering

Gazumping occurs when a seller accepts a higher offer from another buyer after already accepting your offer, typically before exchange. This is legal in England and Wales. Gazundering is the reverse: a buyer reduces their offer shortly before exchange, exploiting the seller's reluctance to restart the process. Both practices are ethically questionable but legally permissible. The non-binding nature of pre-exchange negotiations is the systemic cause of both.

Summary

Offers are made through the estate agent and confirmed in writing by email, including the price and full buying position. Offers are not legally binding until exchange of contracts. After acceptance, instruct a solicitor and submit your mortgage application immediately to reduce the risk of the transaction failing. Gazumping is a risk in the period between offer acceptance and exchange; moving quickly minimises this.