In a recent Estate Agent Today report, a reservation agreement provider claimed rather boldly that their system of devising a digital legal pack at the point of marketing a property ‘eliminates fall-throughs’! We admire the initiative, but not the fanciful claim that this ‘transparency’ would achieve that fully.
Of the 1 in 6 sales that fall through, according to this provider, 25% do so because a buyer is unable to raise funds. If a sale falls through because of this, then the great likelihood is that the agent hasn’t sought the appropriate evidence of the buyer’s ability to buy; if they haven’t it is the buyer’s financial status or a professional valuer’s assessment that causes a fall through – not, as claimed in this article, a lack of transparency on the legals.
We absolutely concur, however, that as much pre-sale collation of information is hugely helpful. Further, we would propose that this information is held on a central platform to which only all parties to the transaction could have access. Could it become obligatory that a minimum amount of information should be held on such a platform before marketing begins…in the same way that an EPC is?
Key delays are caused by mortgage processing, local authority search results and in the case of flats, service charge and general building management information from the managing agents or, if run by the residents themselves, the secretary.
Here at our Richmond office, we recently had a sale that was significantly protracted because solicitors on both sides simply weren’t ‘on the ball’. The seller’s solicitor only requested management accounts when formally asked by the buyer’s solicitor, while the buyer’s solicitor failed to apply for the searches until late on in the transaction. Neither solicitor responded to calls and one only communicated by email. Our proactive involvement worked to keep the buyer engaged and to accelerate a process that had stalled. The result was a happy and relieved client:
‘’JS did an excellent job. Communication was frequent and clear, with good feedback on viewings and advice on the property in general. Patrick kept the sale moving as we progressed from offer to exchange.’’
Do get in touch to discuss how we can help progress the sale of your property in or around Richmond. We would be delighted to help.
