Estate agents are being warned that buyers and sellers will continue to experience “lengthy waits” for valuations and surveys, as well as delays in conveyancing, for the foreseeable future.
Conveyancing Alliance Group, a conveyancing supplier, said it is vital for agents to manage expectations as delays in reaching exchange and completion continue to grow.
The firm says it has noticed an increasing number of potential transactions being hindered by lengthy waits for valuations and surveys to be carried out.
John Philips, sales director at Conveyancing Alliance, said: “The good news is that most agents, particularly in the South-East but also across the country, are likely to have seen an increase in business activity particularly since April and May.
“The bad news is that this increase is testing the resources of all those involved in the property process, especially around the delivery of surveys and valuations, and in the conveyancing market for the smaller, local solicitor firms not set up to deal with larger volumes.
“As pipelines are growing, so are the delays in getting to exchange, which always leaves frustrated clients.
“This is without doubt exacerbated for those clients using agents who are not taking control of the process or are refusing to provide honest information.
“Some agents have their heads in the sand if they don’t think a four-week wait to get a survey is going to have an effect on their client’s exchange date.
“It will, and we anticipate that the current delays being faced will carry on throughout the rest of the summer.”
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Comments
Well said Quagmire.
It's not taken PBK long to screw up RICS as well, has it?
Giggity.
If the markets so busy why are 516 people on the site!!?
The problem is clear, everyone in the sales process have cut staff to the bone, we get an upturn very quickly, add in holidays and there are just not enough in the whole industry to do the work.
Front line of course, are agents, they need to help clients understand the delay and manage it, not shout at everyone else.
Now is the time for CML to get away from their cosy relationship with the RICS and their restrictive practices and allow FNAEAs with the Diploma or CPEA to do mortgage valuations. They are more than qualified to do so and please can we have some pressure from the president and managing director of the NAEA in this direction now and not later. This would solve most of the problem with transaction delays and actually give the relevant NAEA members, who have spent a lot of time and effort in learning about building construction, contract, tort and formal valuation methods, to receive some reward for their hard work.
Why should a buyer be expected to proceed with search fee's and any other costs the solicitor may wish to charge when they have no idea whether the property they are trying to buy is mortgageable and fit for purpose? Why, then should your vendor spend the same on their onward purchase without knowing if their buyer is going to get the money?
There really is no excuse for this, a shortage of surveyors because they have been caught knapping, the very same surveyors who are supposed have all ten fingers on the pulse of the property market.
We've had trouble waiting for surveys...
"Well, I'm not getting mine sorted until my buyers have booked theirs - after all everyone knows that their mortgage isn't agreed until it's booked and I don't want to pay my £1500 booking fee until I am sure that I have a buyer."
Cut to me smashing my forehead repeatedly against a brick wall.
In my experience, if anything it's searches which are causing the delays at present.
Sometimes stamping the right way at the right time can help.... Usually does for me, but managing the expectations is good too, just tell them you will do what you can and keep to it as best you can.
Still not really sure why it can take several weeks from the time the survey is paid for to when the surveyor calls tho...
It's not rocket science. Stamping feet at solicitors, banks,brokers,surveyors will not solve the problem.
Just manage the client's expectations and keep calm. If everyone knows what delays maight occur from the start and I advise in writing the problems will be minimal.
There are a few solicitors I deal with that have advised their clients not do pay the search fees etc until survey has been done and mortgage offer issued. Whilst I can see that they are potentially protecting the client in some ways, it can cause needless delays and stress to all involved if things drag on.
I concur with Paul.
Come on guys - some good news.
Even the TV is being positive. weve had enough talk the market down. Lets go with the flow. Agents I talk to are clearly saying its a sellers market.
There's no reason a valuation should delay an exchange, given that welcome pack, contract documentation, searches, raising enquiries, replies to enquiries, more enquiries, and "I don't seem to have received those replies to enquiries" take well over six weeks. If those doing the conveyancing did things concurrently rather than consecutively the timescale for the mortgage offer is irrelevant. Stating they are protecting the clients interests is a nonsense given those very issues often lead to someone else pulling out of a chain, losing their client the property entirely.