Here are the top 8 reasons for a house sale falling through currently:
(The information was gathered from a small cluster of recent sales transactions.)
Notice the majority of the reasons for each house sale failures are buyer related decisions, therefore buyers are the group needing improved representation in the housing marketplace not sellers.
1. The seller decided not to sell their home after all: 26%
(incl. unable to find a house to buy)
2. The buyer’s own house sale fell through: 24%
3. The buyer found somewhere else they wanted instead: 12%
4. The buyer was gazumped: 11%
5. The buyer later decided they didn’t like the property enough: 9%
6. The buyer decided the process was taking too long and pulled out: 7%
7. The seller decided the process was taking too long and pulled out: 6%
8. The buyer and seller couldn’t resolve the final terms of the sale: 5%
The Secretary of State for Housing, Communities and Local Government, Sajid Javid said and the new Housing Minister with effect from 30th April 18, James Brokenshaw MP is so far suggesting:
“Buying a home is one of the biggest and most important purchases someone will make in their life. But, for far too long buyers and sellers have been trapped in a stressful system full of delays and uncertainty.
We’re going to put the consumers back in the driving seat. We will require estate agents to hold a qualification so that people are no longer at risk from a minority of ‘rogue agents’ and can trust the process when buying or selling their home.”
My response is:
Simply requiring those carrying out estate agency work to be suitably professionally qualified won’t resolve the dilemma of the broken housing markets all around the country with prices stretching further and further beyond people’s reasonable ability to afford them.
The only way this could be achieved would be to improve the way each local market itself operates, by making all of them more efficient. If this needs further explanation I’d be happy to provide it.
The necessary way to do this is to remove the incentive for agents to hype up all the prices, by making them work for the buyer (or the renter) rather than for the seller as at present.
There needs to be a more fundamental and wide-ranging concept for dealing with this significant problem. Simply trying to get more houses built isn’t the whole answer either.
The only practical and thought through solution is being championed by a retired Chartered Surveyor, (myself) primarily. People working within the estates sector are simply too reluctant to propose or to accept the necessary changes.
The method by which this substantial improvement could be made is fully explained on my blog pages but does require some study. See:
Improve The Housing Market in England and Wales.
How to Improve the Housing Markets in England and Wales.
I would welcome reasoned discussion about this and I may be contacted via the blog site initially of course.
Peter Hendry, Author:– The House Price Virtuoso Solution otherwise known as The Hendry Solution