What does under offer mean — can I still make an offer?
Under offer means the seller has accepted an offer from a buyer, but contracts haven't been exchanged yet, so the sale isn't legally binding. You can still submit an offer during this window, and the agent is obligated to pass it on to the seller. Whether it goes anywhere depends on how far along the first buyer is and whether the seller wants a fallback option.
The Fuller Picture
"Under offer" is a marketing status, not a legal one. It tells other buyers that someone has made an offer the seller has accepted in principle, but nothing has been signed and exchanged. Until contracts exchange, either side can generally still walk away, and the seller is under no obligation to stop entertaining other offers. That's why properties can sit "under offer" for anywhere from a few days to a few weeks.
Where it gets more complicated is that agents handle this status differently. Some will actively encourage backup offers and tell you exactly where the current negotiation stands. Others will discourage further offers out of loyalty to the buyer they're working with, or simply because the seller has asked them to stop taking calls on it. The strength of the original buyer's position also matters: if they've already had finance approved and a building inspection done, the deal is close to exchange and a new offer is unlikely to change anything. If they're still waiting on finance or due diligence, there's a real window.
NSW doesn't have a cooling-off period that protects a seller from gazumping in the way some buyers assume. Until contracts are exchanged, a seller can accept a better offer from someone else, even if they've verbally agreed to sell to you. This cuts both ways: it's exactly why a property that's under offer isn't off the table, and exactly why you shouldn't relax once your own offer is accepted until contracts are actually exchanged.
What This Means for Your Purchase
If you're interested in a property that's under offer, the practical move is to call the agent and ask directly: has finance been approved, has a 66W certificate been signed, and when is exchange expected? Agents won't always answer in full, but the response tells you a lot. A vague answer or a quick "we're still finalising some things" suggests there's still room. A confirmed exchange date next week means you're almost certainly too late.
There's a timing and negotiation angle worth thinking about. Submitting a genuine backup offer, ideally at or above the accepted price and with finance already sorted, puts pressure on the seller's agent to keep it on file. Some sellers will use a strong backup offer to push their current buyer to exchange faster, which isn't necessarily bad for you even if you don't end up with the property this time — it keeps you visible to that agent for the next listing.
The financial and legal implication is that until contracts exchange, no deposit has legally secured the property for anyone. If you put in an offer and it's verbally accepted before another buyer exchanges, you're in the same unprotected position the first buyer was in. Don't treat a verbal acceptance as a deal — treat exchange of contracts as the actual milestone.
How This Shows Up in the Illawarra
Private treaty sales dominate the Illawarra outside a handful of Wollongong and northern suburb listings, which means "under offer" comes up constantly here — far more often than a pass-in at auction. Coastal pockets like Thirroul, Austinmer, and Bulli often move from listed to under offer within a week or two when a well-priced home hits the market, so if you're watching a property in these suburbs and it flips to under offer fast, it's usually genuine buyer competition rather than a slow-moving negotiation.
Escarpment and western suburbs such as Berkeley, Koonawarra, or parts of Dapto can sit under offer for longer, particularly when the buyer is a first home buyer working through a slower finance approval. That gap gives a backup offer more realistic odds. If you're buying in the Illawarra and keep missing out on properties that go under offer before you've even inspected, that's usually a sign to move faster on pre-approval and building inspections so you can make a clean offer the day you view.
Frequently Asked Questions
Does under offer mean the sale is final?
No. It means an offer has been accepted in principle, but contracts haven't been exchanged. Either party can generally still withdraw until exchange happens.
What's the difference between under offer and sold?
Sold (or "sold, subject to conditions") is usually used once contracts have exchanged. Under offer is an earlier stage where terms are still being finalised.
As a first home buyer, is it worth chasing a property that's under offer?
It can be, especially if the current buyer still has finance or a building inspection outstanding. It's a lower-odds situation than an unlisted property, but not a wasted call.
How long does a property usually stay under offer before exchange?
It varies widely — anywhere from a few days to several weeks, depending on how quickly the buyer's finance and due diligence are sorted.
Can I negotiate a better deal by offering more than the accepted offer?
You can submit a higher offer, but the seller isn't obligated to accept it or even disclose it to their current buyer. It's a legitimate tactic, though not a guaranteed one.
Does a buyers agent help in this situation?
Yes — a buyers agent can call the listing agent on your behalf, read between the lines of vague answers, and help you decide quickly whether a backup offer is worth the paperwork.
If you're weighing up whether to chase a property that's under offer, we can help you work out the odds before you spend time on it. Get in touch and we'll talk through your options.
