Plans for binding agreements in house sales shake-up

Buying a home in England and Wales has long carried an unwelcome risk. You agree on a price, start planning your move, and then discover the seller has accepted a higher offer from someone else. New government reforms aim to stop this, and if you are buying or selling in Chorley, Euxton or elsewhere in Lancashire, it is worth understanding what is changing.

What is gazumping, and why does it happen

Gazumping happens when a seller pulls out of an agreed sale, often weeks or months in, because a new buyer has offered more money. At the moment, there is no legal recourse for the buyer left behind. The government wants to change that by introducing legally binding sales agreements much earlier in the process, potentially as soon as an offer is accepted. Anyone who withdraws without good reason could face a financial penalty.

Alongside this, sellers and estate agents will be required to prepare sales packs containing key details about a property, including its condition and its position in any chain. These packs need to be in place before binding contracts come into force, giving you clearer information before you commit.

What this means for your timeline

These proposals were unveiled last October, though full rollout is not expected until 2029, towards the close of the current Parliament, so change will arrive gradually. A code of practice for property agents is due within the year, an early signal of momentum.

Rightmove figures put the typical time needed to complete a purchase at close to six months, with as many as one in five transactions collapsing before they reach that stage. Ministers believe buyers could be better off by something in the region of £650 on average, mostly through avoided costs on sales that never complete. Scotland already works differently: once solicitors formally exchange contracts, an accepted offer becomes binding, and withdrawing without good reason can mean compensating the other party. Nationwide has also spoken favourably about the plans, noting that buying a home can often feel unnecessarily slow.

Getting your mortgage in order early

If binding agreements do arrive sooner in the process, having your mortgage arrangements sorted in advance will matter more than ever. At Euxton Mortgage Market, we help buyers across Euxton, Chorley and the wider Lancashire area get a clear picture of what they can borrow before they start making offers, so there are fewer surprises further down the line.

Whether you are a first-time buyer, remortgaging, or moving up the ladder, understanding your options early gives you stronger footing once these reforms take effect. Our approach means we compare a comprehensive range of products from across the market for you, and because Euxton Mortgage Market does not charge broker fees, that advice will not cost you anything.

Speak to the team at Euxton Mortgage Market today, and let us help you prepare properly for a smoother, more secure move whenever your next one comes.

All the information in this article is correct as of the date of publishing. The opinions expressed in this publication are those of the authors Euxton Mortgage Market. The information provided in this article, including text, graphics and images does not, and is not intended to, substitute advice; instead, all information, content and materials available in this article are for general informational purposes only. Information in this article may not constitute the most up-to-date legal or other information.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

July 2026