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Gazanging is a term used in the UK to describe when a vendor pulls out of a property transaction and opts to stay put, having previously accepted an offer. Frequently, this occurs due to a change in circumstances, such that the seller no longer wishes to move, or are unable to. It has also been linked to a slowdown in housing market activity, which leads to an under-supply of property, giving the vendor less choice of properties to move to. The original buyer is left 'hanging'; hence the word gazanging, intended to echo the commonplace term gazumping. The term "gazanging" was originally coined by online conveyancing service In-Deed, following research among home buyers published in September 2011. After the
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, the British residential property market became increasingly uncertain. In contrast to
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and the
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, the
England and Wales England and Wales () is one of the Law of the United Kingdom#Legal jurisdictions, three legal jurisdictions of the United Kingdom. It covers the constituent countries England and Wales and was formed by the Laws in Wales Acts 1535 and 1542. Th ...
property market's volatility stems from the fact that a seller's acceptance of the buyer's offer is not legally binding until contracts are exchanged. This is a result of the Law of Property (Miscellaneous Provisions) Act 1989 s.2, requiring that a contract for the sale of land must be in writing. This precept of
English law English law is the common law list of national legal systems, legal system of England and Wales, comprising mainly English criminal law, criminal law and Civil law (common law), civil law, each branch having its own Courts of England and Wales, ...
dates back to the
Statute of Frauds The Statute of Frauds ( 29 Cha. 2. c. 3) (1677) is an act of the Parliament of England. In its original form it required that certain types of contracts, wills, and grants, and assignment or surrender of leases or interest in real property mu ...
of 1677, and is intended to prevent dishonesty. It can take as long as 3 months from acceptance of the offer for the
conveyancing In law, conveyancing is the transfer of legal title of real property from one person to another, or the granting of an encumbrance such as a mortgage or a lien. A typical conveyancing transaction has two major phases: the exchange of contract ...
to be completed, during which time the property market could increase in value sufficiently that the seller believes they could get a better price by pulling out and listing their property again, gazanging the buyer.


Gazumping and gazundering

Gazumping and
gazundering Gazumping occurs when a seller (especially of property) accepts a verbal offer (a promise to purchase) on the property from one potential buyer, but then accepts a higher offer from someone else. This can happen at any point before the sale is l ...
are related phenomena, describing specific cases where either the seller raises the price, or the buyer lowers their offer. In contrast, gazanging is not intended to improve either party's position to achieve a better deal. Instead, the seller pulls out of the sale entirely, leaving the buyer with no recourse whatsoever.


References

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External links


The Guardian, Gazumping and gazunderingPhil Spencer advice on gazanging, commissioned published by In-Deed online conveyancing
Housing in the United Kingdom English property law