Last week saw a lot of pressure on solicitors and agents in relation to the stamp duty holiday. Solicitors are under pressure to be in a position to exchange and complete on the majority of their files by the end of June and following the increase in the volume of sales being agreed many are struggling to keep up.
Agents are also under pressure from sellers who are perhaps not under offer yet but still hoping that if they agree a sale now they will still be in with a chance of completing by the end of June.
If your property is currently listed for sale, the likelihood of being able to complete by the end of June will most likely be down to whether you are in a chain or not. If you are also hoping to tie in an onward purchase be prepared that these timelines may not be possible.
Some agents have seen an increase in buyers this week following the launch of the government's 95% mortgage scheme. Although this is not just aimed at first time buyers this is the area of the market where the agents have generally seen an increase in activity. If you are considering selling a property that would be likely to attract first time buyers, now might be a good time to take advantage of the increase in activity and think about listing your property.
The scheme will help first time buyers or current homeowners secure a mortgage with just a 5% deposit to buy a house of up to £600,000 – providing an affordable route to home ownership for aspiring home-owners
We enjoyed this article on proptech in the FT. It highlights how slow the property industry is to adopt technology change. Noted adoption advancements due to the pandemic include virtual home viewings and online due diligence.
It also notes how the residential property market “is one of the last big markets that has been untouched by technology in some sense”. Buying or selling a home remains a highly labour intensive process, with a string of professionals and reams of paperwork sat between a prospective buyer and a new home.
We would argue that technology adoption in property is slow because to date the industry has relied on a fragmented industry of 7,000 estate agents to take it up. Yes you can improve the buying experience by digitising mortgages. But buying a house is not particularly hard, you just need the money.
Selling a house is the hard part as you need to find a buyer and these buyers, contrary to perceived wisdom, are not staring at Rightmove et al all day. They are distributed across the CRM systems of the local agents who have zero incentive to share these buyers with each other which would actually help the seller. Rightmove won’t solve this for sellers as their customers are the agents.
The only market position that can truly solve the customer experience is consolidation of the sell side of the market and that is what we are doing for sellers at Movewise. Retail customers are nervous of “new ways” as they are so inexperienced in this high risk transaction and since they make it so infrequently they put up with a pretty crummy process.
Movewise has consolidated the sell side. We can sell any property with any agent and can access multiple buyer lists. Our team are steadily digitising this process end-to-end for sellers. When block chain arrives we’ll use that too.
Join the revolution and sell with Movewise.
Have a great week.
The Movewise Team