CCPC calls for transparency in home buying process
The Competition and Consumer Protection Commission (CCPC) has called for greater transparency in the home buying process after finding that only 16 per cent of consumers think it is clear.
Research from the regulator shows that people have little trust in either sellers (16 per cent) or estate agents (22 per cent), instead putting their trust in friends and family (79 per cent), their solicitors (78 per cent) and engineers (73 per cent).
People also want more information earlier in the process, with three-quarters (78 per cent) believing that estate agents should share the answers to questions other potential buyers ask.
The CCPC has identified several action that can be taken to alleviate common issues, including new legislation for the requirement of pre-sale information to avoid delays and possible sales falling through, and to create a new conveyancing profession to enhance the efficiency of the legal process.
It is also asking the government to consolidate key location-based information from public bodies and present it to buyers in a more accessible way.
The CCPC plans to enhance its homebuyers guide to include advice on what questions to ask at various points of the process, and it will also develop guidance for estate agents and developers to help provide more and better information to homebuyers.
“Buying a home is usually the biggest financial decision someone will make in their lifetime, and it can also be an incredibly complicated and lengthy process," said Simon Barry, director of research, advocacy and international at CCPC.
Just 16 per cent of consumers think the home buying process is transparent.
“Our research shows that homebuyers find it difficult to know what questions to ask and aren’t sure where to find the information they need.
“The legal principle of ‘buyer beware’ puts the responsibility of gathering the necessary information about a property into the buyer’s hands. Therefore, the CCPC is calling for that information to be more accessible to buyers much earlier in the process. This will empower them to make more informed decisions.”
(Pic: Getty Images)
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