Home buyer information packs to be introduced
The government says it will work with industry to provide “critical material information” to buyers to help curb property transactions falling through.
According to its Levelling Up report, a 332-page document which outlines government plans to “spread opportunity more equally” across the UK, the homebuying and selling process could be “expensive, time consuming and stressful” and had to be improved.
It added that around a third of housing transactions fell through, costing millions of pounds each year.
The report said: “The UK government and the industry will work together to ensure the critical material information buyers need to know – like tenure type, lease length and any service charges – are available digitally wherever possible from trusted and authenticated sources, and provided only once.”
“If necessary, the UK government will legislate,” it warned.
According to reports, the suggestion is like Home Information Packs, which were introduced in 2007 by Gordon Brown’s Labour government.
It was a set of documents to provide buyers with key information and had to be provided by the seller or the estate agent. Documents included a property information questionnaire, sustainability certificate for new homes, energy performance certification, sale statements and land registry documents.
They were scrapped in 2010 by David Cameron’s coalition government and were labelled expensive and unnecessary as they added extra red tape to the selling process, as well as an up to £400 price tag for sellers.