Living in the age of information, consumers have grown accustomed to gathering data before they decide on how they will be spending their money. The same thing applies to a buyer’s readiness to pay for more upfront material information when it comes to purchasing a property.
Agents are now preparing to comply with a new set of rules which entails that all property listings must include the property price and tenure information for sales, as well as the council tax band or rate for both lettings and sales.
By providing the necessary upfront information, deals will hopefully be less likely to fall through and this will create a fair and just housing system that works for everyone, which includes supporting more first-time buyers to move onto the housing ladder and helping everyone from second steppers to downsizers.
And now research has revealed that buyers would be willing to shell out for greater levels of upfront information, which could in turn speed up the sales process as more clarity is provided earlier on in the process.
Recent research carried out by the Conveyancing Association has shown that 98% of consumers believe upfront information is a good idea. The study also found that, of these respondents, 96% were property-owning sellers who were prepared to pay for additional information upfront.
Beth Rudolf, director of delivery at the Conveyancing Association, says: “What was especially interesting was the response from people who were partway through a transaction. They were even more likely to think paying for better information was a good idea. I think that tells us everything we need to know – the consumer is absolutely behind it.”
Commenting on the research, Ben Ridgway, managing director of PropTech firm iamproperty, said the changes have the potential to usher in a new era for the home buying and selling process.
“At the very least, fall-through rates should reduce,” he said. “An industry average that has over 30% of properties falling through – it’s just crazy to think about all the wasted time and resources.”
He adds: “I think everyone sees that it’s a good idea, but they’re probably a little bit concerned about how they’re going to pull the information together, and how long it’s going to take. Are they going to put all the extra work in to compile this information or are they going to look for technology solutions?”
Would it help to speed sales along?
The research certainly suggests that serious buyers are very willing to pay for better information upfront, which should in theory reduce the number of delays and issues caused in the home buying and selling process.
But equally, moves are being made by government and Trading Standards to provide better levels of upfront information without any costs attached, so the need for buyers to pay for this information might not even be needed.
The first phase completes at the end of this month, with the further phases to follow to help provide more upfront information to buyers.
Here at Expose Property, we use our experience of listing homes in Beckenham, Penge, Crystal Palace and other places in South East London to help you achieve a smooth sale. For more information, please get in touch with us today.