In the last quarter of 2018 49.8% of all sales fell through! Chains collapsing often has a far reaching impact. If you speak to anybody who's bought or sold a home, there's a pretty good chance that they've had a purchase or sale fall through.
Politicians are currently studying a model 'Reservation Agreement' which has been prepared by a law firm as a possible way of slashing fall through rates. Ministers are currently considering how these agreements could be used including things like "how much money should be put down", and "in what circumstances the funds may be refundable".
According to a survey conducted by Department for Business, Innovation and Skills some 50% of buyers, and 70% of sellers would be happy to enter in to a reservation agreement.
There are already methods available to sellers to ensure minimal fall through rates, such as the 'Modern Method of Auction' AKA 'Committed Transaction Method'. The fall through rates for this method of sale is just 3% according to 'I Am Sold'. This method is not right for everybody, so I am personally delighted to see the Government taking steps to improve the sales process.
If you'd like any more information on the modern method of auction, give me a call! It's not just for run down houses anymore!
COVID is still well rooted in the UK, and therefore it's not just a case of simply heading back to the office and booking appointments.
Subject to any official announcements this looks like we will be able to work as 'normal' whilst observing social distancing measures.
Landlords must not grant or renew a tenancy after 1st April where the EPC rating is lower than an 'E'.
If the property you are buying is vacant you can continue with the transaction. If not you should work to agree an alternate date.