Why Upfront Information Helps Speed Up a Property Transaction
Two of the most frustrating parts of property transactions for both buyers and sellers alike are how long the conveyancing process takes and how many transactions fall through.
Current data shows that the average conveyancing period is 22 weeks long, and that during this time a third of all property transactions fall through.
At BreezeMove, we think this is unacceptable, and we want to pave the way to a quicker, more efficient and more reliable future concerning property transactions.
How exactly do we plan to do this? Well, through our innovative sales completion platform, one practice that we currently use to speed up property transactions is collecting extensive upfront property information from all parties.
And how exactly does this help? Let us explain how and why!
What is upfront information?
Upfront information refers to any and all relevant information that a buyer should know before they place an offer on a property.
Including some of this information is already common practice for property listings, such as EPC, due to improvements building on from the Consumer Protection from Unfair Trading Regulations 2008.
But a lot of this information is not included on property listings. This includes information regarding property alterations, disputes, ownership, fixtures and fittings, boundaries, and insurance – and much more!
This means that buyers may place an offer on a property and only realise that it is unsuitable for their needs when the searches come back many weeks later, leading to frustration as the sale falls through and the buyer is out of pocket.
At BreezeMove, we include anti-money laundering and ID checks as part of our upfront information package, alongside a complete BASPI form, providing visibility of key property information from the vendor at the start of the transaction.
How does this speed up property transactions?
By collecting upfront information at the start of the transaction process, we do two things:
Give buyers and sellers security that the transaction will not fall through because the buyer knows all property information at an early stage, and
Instruct and involve the conveyancers at an earlier stage of the transaction.
Both of these contribute to a quicker property transaction in their own way.
In terms of buyers and sellers, sellers will have to have completed forms such as the BASPI before a transaction even begins. We strongly encourage our sellers to complete the BASPI questionnaire at the time of registering for maximum efficiency and transparency.
When a buyer is found and the transaction begins, there is no need to wait for initial checks or forms as these will already be complete, meaning that when survey queries arise, they can be answered much faster and earlier in the sales timeline.
When it comes to solicitors, they can get to work earlier without worrying about performing the usual initial checks. Currently, their work begins near the final stages in the transaction process and upfront information can help bring them into the fold much earlier, creating an investment in time.
Our verified solicitors receive all of the vital upfront information through our central digital hub and from there they can immediately get to work on the legal process. This digital hub is secure and is where all documents will be located through to completion, reducing delays and integrating all parties into the process.
Upfront information FAQs
There are a lot of misconceptions and questions currently regarding upfront information. Some of the most common ones that we see are:
Does upfront information actually make transactions quicker?
It categorically does. Collecting and organising upfront information is one of our main goals, and we have reduced the conveyancing period from 22 weeks on average to just 8 weeks on average.
In terms of specifics, collecting upfront information early allows the conveyancer to begin work at an earlier stage. And because of our digital hub where we store all documents, responses to queries can be made much faster – some queries that have been raised on our platform are answered by the other party within two hours.
What’s more, we find that the risk of fall throughs on BreezeMove is greatly reduced to one in ten transactions when compared to the UK average of one in three transactions.
Is upfront information necessary?
While it might not be law yet, the property transaction process is certainly heading in that direction.
Government released their ‘levelling-up’ whitepaper which contained details on the introduction of mandatory upfront information requirements.
We are massive supporters of this concept, and have included upfront information into our strategy since our launch.
Collecting and then providing upfront information before a transaction begins is crucial to give the buyer an accurate assessment of the property. This level of transparency leads to a decrease in the amount of time properties are sitting on the market, as well as a decrease in fall through transactions.
Can estate agents be fined for not collecting upfront information?
In terms of anti-money laundering (AML) checks, yes.
The Negotiator and Estate Agent Today have revealed that estate agents and other property firms breaching AML regulations are beginning to receive fines, with tens of thousands of pounds worth already being handed out.
AML is part of our upfront information package, so our customers can safely avoid the risk of accidentally breaching any AML regulations.
We stay ahead of the curve
Providing upfront information to our customers was part of our plan when we launched in 2019, far before the government’s 2022 ‘Levelling Up’ whitepaper.
Our innovative sales completion platform with its centralised digital hub can reduce overheads and get transactions over the line to completion sooner, benefitting buyers/sellers, estate agents, and solicitors alike.
Get in touch with us today to find out more or get started on BreezeMove.
