Property Saviour logo
Call Me Back, Please

What Does Under Offer Mean?

Property Saviour » First Time Buyers » What Does Under Offer Mean?

Under offer is when a buyer has made an offer that the seller is considering.  Estate agents use ‘under offer’ as a marketing tactic to see if anyone wishes to make a higher offer. 

When a home goes under offer, it doesn’t mean it has sold, or the sale or the transaction has become legally binding.

If a property goes under offer soon after being marketed, it can leave potential buyers wondering if estate agents are lying about offers.

Table of Contents

What does it mean when a home is under offer?

When a home is described as ‘under offer’, it does not mean a sale has been legally agreed upon.  Under offer means a buyer has made an offer that the seller is still mulling over. 

The transaction only becomes legally binding when contracts have been exchanged.

What is the difference between Sold subject to Contract and Under Offer?

Sold STC or Sold subject to Contract means that the seller has accepted an offer and the sale is progressing, but it is not legally binding.  Both seller and buyer have instructed solicitors to proceed to the exchange of contracts – at which point the transaction becomes legally binding.

Both buyer and seller can pull out of a transaction right up to the exchange of contracts without giving any reason.  A property sale can collapse for several reasons, including the condition of the property, the buyer’s inability to raise a mortgage or due to adverse information relating to the title, searches, and enquiries.

How to sell house fast in a slow market
Sold Subject to Contract is a misleading term because no property is ever sold until money has been paid in full!

Can you make an offer on a house that is already under offer?

When a house is under offer, another buyer can put forward an offer.  Because the contracts aren’t exchanged until at least 8 to 12 weeks after acceptance of an offer, the sale isn’t legally binding – and estate agents are obliged to forward all offers to the sellers. 

If a higher offer comes forward and the seller accepts a higher offer, then this is called gazumping.  Equally, if a buyer reduces their offer after an adverse finding on a survey or for any other reason, this is called gazundering.

According to Rightmove, a third of all agreed sales collapse and therefore, this proves that Sold subject to contract or under offer labels don’t really mean anything.

How to sell my house fast – with the experts!

Property Saviour have a history in buying properties all over England, Scotland and Wales within a few days.

Our funds are always at the ready with our solicitors and will buy your house fast for cash today.

Sell with certainty & speed

auction hammer

Property Saviour Price Promise

  • The price we’ll offer is the price that you will receive with no hidden deductions.
  • Be careful with ‘cash buyers’ who require a valuation needed for a mortgage or bridging loan.
  • These valuations or surveys result in delays and price reductions later on.
  • We are cash buyers.  There are no surveys.
  • We always provide proof of funds with every formal offer issued.
calculator

We'll Pay £1,500 Towards Your Legal Fees

  • No long exclusivity agreement to sign because we are the buyers.
  • You are welcome to use your own solicitor. 
  • If you don’t have one, we can ask our solicitors for recommendations.
  • We share our solicitor’s details and issue a Memorandum of Sale. 
Sell

Sell With Certainty & Speed

  • Our approach is transparent and ethical, which is why sellers trust us.
  • 100% Discretion guaranteed. 
  • If you have another buyer, you can put us in a contracts race to see who completes first.
  • Complete in 10 days or at a timescale that works for you.  You are in control.
Share This Article:

Related Articles

Skip to content