Isn’t it time we reformed the home buying process?
This is a legacy post from the findaproperty.com blog which is now maintained as an archive within the Zoopla blog. Links have been preserved.
If the home buying process were applied to anything other than bricks and mortars, there would be protests.
Buyers and sellers losing thousands of pound to a whim; weeks and sometimes months of hard work being lost to a simple change of mind; buying chains collapsing unnecessarily. None of this would be tolerated when buying cars, washing machines or computers. So why homes, which are worth so much more?
Decades after our property ‘conveyancing’ process was established, nothing has been done about improving it – except the Labour government’s ill-planned (if you’re charitable) and lamentable (if you’re not) attempt to tackle the problem with Home Information Packs.
Moving cause: why is the UK’s home buying process still so problematical?
So what can be done? Most of the problems of home moving are about the so-called ‘exchange black hole’ – that stomach-clenching period of uncertainty between offer and exchange of contracts.
It’s when buyers can say they’ll buy a property without committing a penny or ounce of moral currency to the sale and then pull out without notice, drop their offer price at the last moment (gazundering) or the vendor raises the price very late in the day (gazumping).
FindaProperty.com thinks it’s about time to have another go at nailing this and we’re glad to hear Guardian journalist Hilary Osborne has also taken up the cause recently. The Con/Lib coalition seem at best reluctant to get involved, and everyone else is a bit jaded about the prospects of success.
But if everyone shouted loud enough something could be done.
And it’s not as if we don’t have successful systems to gaze at longingly. In France buyers commit to a property at a much earlier stage than in England and Wales. As soon as a price is agreed, a verbal agreement is soon followed up with a written one drawn up by a notaire. While in England and Wales it takes, on average, 14 weeks to buy a property, the process in France is much faster because the contracts are signed earlier.
Countries like Australia, New Zealand and of course our northern neighbours in Scotland, offer viable alternatives too – as does the US where home buying and selling is made neat, tidy and fast by the use of a buying agent who acts openly for the buyer, while the contract at point of offer avoids time wasters, gazumping and delays for all.
The issue is already on the agenda in the UK through the E-Homebuying Forum, led by Sir Bryan Carsberg, a former director of the Office of Fair Trading. He wants to bring in a ‘preliminary contract’ and deposit which would punish either party if they pulled out without good reason.
The E-Homebuying Forum has also floated the idea of a pre-offer survey – a quick way for the buyer to get more information about the property they’re interested in before an offer is made.
But that smells too much like another HIPs system, some say. So what do you think – have you been gazumped, gazundered and generally worn thin by our buying process. Tell us here – shout loud – either leave a comment or vote in our one-click survey.
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Sell my home blog: Should we DIY every nook and cranny, asks Hannah
This is a legacy post from the findaproperty.com blog which is now maintained as an archive within the Zoopla blog. Links have been preserved.
People who enjoy DIY either a) own a home built after 1980 b) haven’t done enough or c) are lying.
While the husband is on summer holidays from college he’s been spending his days sanding and painting. For such a small flat you would think this would only take a week, but paint has to dry and sandpaper has to be bought.
Unfortunately he is losing momentum slightly so I have been trying to get him moving a little faster by telling him about the wonderful holiday we’ll go on after we finish (this is a white lie but am sure he will understand). As a result, this weekend I spent my time sanding iron railings and trying to decide if the paint I was sanding off was green because it was meant to be or green because it was lead based. After a quick read of Wikipedia I think it may be the latter. I finally started painting about 6pm on Sunday night and as dusk settled over Stockwell, I was fumbling around in cupboards trying to find white spirit to clean black hammerite of my hands and face.
One of the worrying things about selling a flat at the moment is the pressure on prices. A few months ago we were going to get a couple of estate agents to come and value the property before we finished the bathroom and painted the floor. I think they would have told us to get the work done as the property is very near the stamp duty threshold and anything we can do to stand out from the crowd would help the sale.
Apologies to those reading who thought that the house buying process would be fast. If you are selling for the first time, as we are, there seems to be a mountain of things to consider for your potential buyers – do you let them have an imagination and leave some work to do? Or do you create a lifestyle that they want to buy and DIY every nook and cranny out of the place?
Answers on a postcard please!!
First-time buyer blog: Do we go over the 0% stamp duty threshold?
This is a legacy post from the findaproperty.com blog which is now maintained as an archive within the Zoopla blog. Links have been preserved.
For first time buyers, any property under £250,000 is exempt from stamp duty tax. This is only if you have never owned a house or flat anywhere in the UK or the rest of the world. But it will only apply until March 24 2012. Since we have begun our search for our first home, we have taken this for granted and restricted our budget to anything under £250,000.
It’s fair to say we have not been particularly successful in our home search to date. Yes, we were very cheeky in our first few offers – but the last property we saw really appealed to us. So we were a lot more realistic about our negotiations. Unfortunately, after talking to a roofer we were told that it needed a new roof. (as the majority of the Victorian terraces inReading do). Our final offer reflected the condition of the house. The last contact we had with the estate agent we were informed our offer was rejected, and the vendor had received a higher offer.
We felt quiet despondent at this point. We were very sorry to loose out on that last house, although we were not prepared to raise our final offer as we’d been told it needed at least £7,000 spending on it to improve the condition of the roof. As first time buyers, did we really want that hassle?
We are now looking at bigger properties, over the stamp duty threshold. Unfortunately, a good sized and good-condition property in Reading and surrounding areas is expensive. It’s an ideal location for commuters, as we are. Eventually, this will also be one of our biggest selling points when we come to move on.
We are weighing up the advantages and disadvantages of really stretching ourselves financially. So do we pay the 3% stamp duty tax for a property which is bigger, and is not “in need of modernisation”? We could be living in a larger property for longer, with more scope for improvements – this could mean less hassle and less expenditure in the long run with another potential move. Or, do we take advantage of the 0% and use the money we would put towards stamp duty tax on a property which is cheaper, but needs some work doing to it?
Already this process has been quite stressful, it really does take up an awful lot of your time. We’re certainly in no rush to go through it all again any time soon.
Rent out your home during the Olympics? Could you do it?
During the 2000 Sydney Olympic Games, hundreds of homeowners cashed in on the property trend of the moment by renting out all or part of their homes to the millions of visitors who poured into the city. It’s hardly surprising this same idea is now sweeping the English capital as it prepares for the 2012 Olympics – in fact FindaProperty.com released some research into this very question just a few months ago. Ellen Willis investigates…
Could you make these guys feel at home during the Olympics?
Estate agents Hamptons International also decided to look at this trend and in recognition of the demand has started a specialised dedicated Olympic short-let service for anyone who wants to rent out their home during the Olympics.
So, could you do it? Do you have the right kind of property?
Hamptons International found the most desired homes for Olympic visitors are ones that have two bedrooms and two bathrooms and are fully furnished. To give you an idea about what you could potentially charge, Hamptons found the average budget of the Olympic visitor is £1,225 per week – not a bad earner – and they are looking to rent your home for one week to several months.
However, it’s worth noting that mortgage lenders will need to be aware of your plans to let. Insurance is also an issue and you should take advice about whether your current policy is sufficient. There most likely will be other costs too – including how to pay for your own accommodation during this time.
Of course the big question is – do you want to rent out your home and miss out on what’s likely to be the greatest show on earth?
Renting blog: What home improvements mean for tenants
This is a legacy post from the findaproperty.com blog which is now maintained as an archive within the Zoopla blog. Links have been preserved.
Most tenants get quite excited when their landlord decides to do some improvements to the property, as we were when we were notified that our windows were going to be replaced. Aside from the worry that our rent would go up, we were happy to say goodbye to rattling panes, a drafty toilet and an ad hoc latching system.
Week one, we hear that the contractors are going to arrive on Tuesday. They pitch up on Friday, remove all the frames and windows and replace them with double glazed ones and we spend the weekend with no curtains.
Week two, the contractors now have to plaster the gaping holes, which they do rather well until we notice that plaster not only has gone on the walls but on the carpet, patio and stairs. We spend another weekend living a in a fishbowl.
Week three, no sign of the contractors, nor of our downstairs toilet seat, which has mysteriously disappeared. I have given up on rearranging my room to be builder-friendly and hope the neighbours have enjoyed my strip shows. In between my housemate has to use the plunger to unblock a drain clogged with old paint and plaster.
We get our letting agent on the case who assures us he’ll get it sorted by the end of the week. And so now with two days to go, we’re waiting with bated breath for the reappearance of the vanishing contractors (and our toilet seat), hoping that all this ‘improvement’ will be worth it in the end. I’ll let you know when they turn up…
We’re back on TV with our biggest campaign to date
From tomorrow, we’ll be back on your TV with two updated adverts (see below).
Our latest campaign, will include both TV and print advertising, will follow the theme of previous campaigns and highlight our market-leading property mobile apps. The campaign will be the biggest to date by Zoopla.co.uk in terms of both marketing spend and exposure.
Zoopla.co.uk TV advert: “Smarter” September 2011
Zoopla.co.uk TV advert: “Kerching” September 2011
Full press release can be found here and if you’re wondering who is in the advert read this
How to do safe DIY this bank holiday
This is a legacy post from the findaproperty.com blog which is now maintained as an archive within the Zoopla blog. Links have been preserved.
With the bank holiday fast-approaching the thought of that daring DIY project (which you’ve been putting off the entire year, no doubt) has probably crossed your mind. But before you get stuck in at home with the hammer and ladder, you’d be best advised to take a moment to think through the planning, products and precautions of your DIY project.
Do as I say, not as I do and stay safe this bank holiday if you spend it up a ladder
The Royal Society for the Prevention of Accidents (it’s a real charity, we checked) estimates that more than 200,000 people a year end up in hospital as a result of DIY and gardening injuries, so it goes without saying that you don’t want to be one of them. The secret, according to workplace product supplier Singsby, is to take home health and safety as seriously as work health and safety.
Tips to keep you safe this bank holiday:
• Plan ahead – this is one of the most important points in DIY; check you have the necessary tools and equipment and – obvious as it may seem, you’ll know what you’re doing before you start.
• Buying products – generally a more expensive product will nearly always last longer than a cheaper one. You’ll get what you pay for.
• Read instructions and warnings – there’s a reason why they come with the tools and equipment so make sure you thoroughly understand what they’re saying especially if you’re using them for the first time.
• Time it – things usually take longer than you expect so make sure you have enough time to finish the job. Bear in mind that only doing half a job will look worse than not doing it at all.
• Ladders – these are a major cause for accidents so replace old rickety ones. Also make sure the feet of the ladder are on a secure and level surface, rest the top on something solid and position the foot of the ladder one measure out for every four measures in height. Finally move the ladder rather than over-reach.
• Drilling holes – double-check there are no pipes or cables nearby.
• Tidy up – put tools away as you go along this will give you a safe area to work in and you’ll be able to find things easier – plus less cleaning to do at the end.
• Nails – those which are sticking out of wood are common dangers so always remove them straight away.
