There’s always a lot of talk in the property industry about how slow the process of buying and selling a house can be. In fact, it’s widely reported that the process has actually got longer! The process hasn’t really changed in decades. So, why is the process the way it is? And what are the things that are in the way of speeding it up?
Why are housing transactions taking so long?
If someone were designing the home buying and selling journey today, it would unlikely be designed the way it is. The process started being very paper and document-driven, and it’s organically evolved and grown this way over the years.
In essence, the process is reliant on lots of documents in a paper format. With no process in place that is compliant to share this data. As a result, we are required to provide data multiple times, such as proof of identity and bank statements.
The whole journey from choosing a house to buying a house and selling a house, is deeply personal, expensive and slow!
Can we change the home buying and selling process?
In recent years, a few changes have been made to the homebuying process. These have made it a bit more electronic and perhaps even a little bit faster. But nothing has fundamentally changed the journey to make any major impact on speed and efficiency.
Buying or selling a home typically takes between 3 to 6 months, but the process can take even longer if you’re part of a chain.
So, can we redesign this process? In short, yes and we need to – all the technology and the data exists and it’s technically possible.
What changes are needed?
Move iQ is part of a trade industry and government group called the Home Buying and Selling Technology Group (HBSTG). The group is made up of individuals from the property, legal and finance sectors. All of whom passionately believe that the home buying and selling process can and should be significantly improved.
The aim is to streamline the information required to buy and sell a home, from the beginning of the process through to moving in and into onward home ownership.
We need upfront information
Everybody needs sight of important data at the front of the buying and selling process.
The seller should know the information on their house before listing it for sale. As such this information should be made available to the buyer, the sales agent and the mortgage lender. And this data should be properly verified and checked upfront.
This would mean that when a buyer is viewing a property they also have sight of accurate property information, which is really important if you’re considering buying the property and before you start negotiation around the asking price.
To help with your property fact-checking get a Move iQ Property Report – we’ve done the research for you.
What’s needed to speed up the process?
Fundamentally, it’s the data and its format that is needed to drive this change. As consumers we need to drive this change through pressure, the industry needs to change, and government needs to make it happen.
Unless the industry properly redesigns the customer journey, makes it truly data-driven and pulls all the data together and makes it available right at the beginning, we are stuck with a slow clunky process.
We should all have access to our data about our property so as part of the HBSTG we are working to drive this change for us all.
To stay updated on this important issue subscribe to our newsletter as well as get Phil’s advice direct to your inbox. We share regular tips, tricks and market updates – join us, it’s free!
Last Updated: June 7th, 2022