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David - if they were separately represented then their solicitor would have seen the title so it would depend on whether that firm reported the lower price or not. If they hadn't then they would likely be in this position still and if they had it is likely the offer would have been withdrawn earlier.

The purchaser's solicitors can effectively hide, but it would be a conflict of interest situation. You can notify the client of the issue on price and that you have to report it to the lender and the purchaser either has to agree or you would have to withdraw from acting for the lender for conflict of interest.

Michael - it should have been there. I bought my property just over six months ago and it the details have been on zoopla for a few months. I believe they get their data from the Land Registry on registration, so it appears not long after the registration is completed so should have been online to find.