The government has announced that it is consulting on new proposals to transform the homebuying and selling process in England and Wales.
As part of the proposed reforms, estate agents and sellers must publish information from searches and surveys before a property listing is published.
The idea is to allow buyers to see the physical condition, characteristics, and flood risk of the property online. The government hopes it will enable buyers to make informed decisions sooner and sellers will benefit from faster transactions, designed to result in fewer costly fall-throughs.
The full list of proposed mandatory upfront information includes: tenure, council tax band, EPC rating, property type, legal and transactional information such as title information and seller ID verification, leasehold terms, building safety data, standard searches, property condition assessments tailored to property age and type, service charges, planning consents, flood risk data, chain status, and clear floor plans.
Buyers and sellers will have the option to sign binding contracts that would end the practice of parties pulling out of agreements months into the process.
The transaction process will also see the deployment of digital tools – including digital property logbooks, digital ID verification, and standardised data sharing – enhancing transparency and security for buyers and sellers.
The government will also introduce mandatory qualifications and ‘Code of Practice’ for estate, letting and managing agents, driving high standards in the sector and increase trust in the industry.
The government will publish information on the services of estate agents and property lawyers, so consumers are well informed on how and where to get help.
The average time from instruction to completion is currently over five months, and the government estimates these reforms could speed up transactions by around four weeks.
The Home Buying and Selling Reform consultation launched can be found here.
The Material Information Consultation can also be found here. Material information in property listings. This further consultation will support estate agents with their legal responsibilities, including requirements under the Digital Markets, Competition and Consumers Act. This will aim to help provide explicit guidance for estate agents on what information they should include in property listings.
The government estimates that first-time buyers will save £710 on average when buying a home, along with vital time and energy, thanks to the biggest shakeup to the homebuying system.
Housing secretary, Steve Reed, said: “Buying a home should be a dream, not a nightmare.
“Our reforms will fix the broken system so hardworking people can focus on the next chapter of their lives.
“Through our Plan for Change we are putting more money back into working people’s pockets and making a simple dream a simple reality.”
Read the orginal article: https://propertyindustryeye.com/eye-newsflash-government-pledges-overhaul-of-home-buying-and-selling-process/
