2. Ensure strong buyer credentials
In a similar vein to not choosing the estate agent with the highest valuation, you might also want to scrutinise the purchaser offering the highest amount. In more uncertain times, you might be better off looking more closely at who is a “safe bet”.
Tom Evans, a sales director at Purplebricks, said: “Be sure to fully vet your buyer. This is your single biggest safeguard. Someone with no chain, solid finances and a mortgage agreed in principle is far less likely to renegotiate late in the process.”
Another tip is to carefully consider the loan size your buyer requires from their lender; those with small deposits are more likely to be affected by mortgage rate volatility, which can reduce their purchasing power.
Jeremy Leaf, an estate agent and the former RICS residential chairman, said: “Purchasers who are most exposed will be more vulnerable to interest rate rises in the future, and it may induce a wobble if rates continue to rise.”
3. Find more than one buyer
In the current market, having potential back-up buyers can strengthen your position as a seller.
It can be easier said than done in a sluggish market, but by taking steps such as pricing competitively and creating a property that people can imagine themselves living in, you can still attract multiple buyers. If you do, make sure they’re aware that they’re not the only ones in the running.
Richard Freshwater, a director at property specialist Cheffins, said: “The gold standard of how to avoid being gazundered is to find more than one buyer for your house.
“If you create a competitive situation with a number of interested parties, your buyer is far less likely to try to renegotiate on price.”
However, property experts warn against continuing to market your property until contracts are exchanged in an attempt to find back-up buyers.
Mr Gerrard said: “We always advise against doing this after accepting an offer. Agents must ultimately follow their client’s instructions, but the buyer has to be informed that the property is still on the market, which will create doubt and erode trust.”
Damaging the relationship with the buyer may make them more likely to gazunder – causing the very thing you’re trying to guard against.
