Sluggish Progress in UK Real Estate Sales Timeline
UK Home Selling Process Could See Significant Speed-Up with Technology Adoption
A new research report by Moverly, an organization that collaborates with estate agents, has shed light on the UK's slow home selling process compared to other nations. The study compared the rate of home sales in the UK with 12 other countries, including France, the USA, and Germany.
The research found that America is the fastest home selling nation, with homes going from listing to closing in just 53 days. In stark contrast, the UK was found to have the slowest rate for home sales, with a time of around 179 days (almost half a year) from listing to completion. The average time it takes for a property to go from initial listing to completion across the 12 nations is 110 days.
Gemma Young, CEO of Moverly, believes that the UK's slow home selling process is a result of outdated conveyancing practices. Conveyancing, a major cause of delay in the UK home selling process, has remained unchanged for decades, if not longer.
Young suggests that the UK can speed up its home selling process and reduce conveyancing delays by addressing issues caused by sellers themselves. Seller behavior, such as delaying their own transactions, is a significant contributor to conveyancing delays. Addressing these could involve improving the sale readiness of properties and financial preparedness of buyers and sellers.
More specifically, while the search results do not provide detailed reforms proposed by Young, they highlight her view that financial challenges like mortgage difficulties are significant contributors to conveyancing delays. Solutions might include better seller engagement and financial support to reduce the number of failed sales and expedite conveyancing.
The performance of the UK home selling market is expected to improve radically in a short period of time with the adoption of technology. Streamlining and digitizing many of the conveyancing processes can reduce the time to sell by up to 70%. The adoption of tech solutions in conveyancing could help the UK save time in the home selling process.
In conclusion, Gemma Young emphasizes the role of sellers in avoiding delays and notes that mortgage-related issues worsen the problem. Solutions might include better seller engagement and financial support to reduce the number of failed sales and expedite conveyancing. The slow pace of home sales in the UK is a cause for concern, but with the right steps, the UK can match the speed of the US home selling market.
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Sellers can improve their readiness to facilitate a speedier home selling process, addressing concerns such as financial preparedness. To address mortgage difficulties and reduce the number of failed sales, it's important to engage sellers better and provide financial support. The adoption of technology in the conveyancing sector can potentially reduce selling time by up to 70%, thereby aligning the UK's home selling process speed with that of America's, where homes are closed in just 53 days, after investing in real-estate and managing finances effectively.
