Homebuying overhaul 'a chance to bring the property transaction process into the 21st century': IMLA

IMLA executive director Kate Davies (pictured) said lenders support efforts to make transactions faster, clearer and less stressful while reducing wasted costs.

“Buying or selling a home is the most significant financial transaction most people will ever make — yet the system that underpins it has barely evolved in decades,” Davies said. “Far too many sales collapse unnecessarily, creating frustration for consumers and inefficiency for the industry.”

She said lenders back reforms that “reduce these failures, introduce greater clarity and harness technology to deliver a smoother experience.”

Davies highlighted four priorities: reducing failed transactions, improving clarity, harnessing technology and raising professional standards.

Around one in three property deals currently fall through, costing consumers and the economy millions. “Every sale that collapses after mortgage approval represents an avoidable loss for buyers, for sellers and for lenders who have already completed affordability assessments and underwriting,” she said.

On technology, Davies said progress will only be fully realised when “the entire property chain modernises together,” adding that “industry and government must collaborate to create uniform standards that all parties can trust.”

She also welcomed mandatory qualifications for estate agents and a new Code of Practice, saying: “It is extraordinary that such standards have not yet been applied to estate agents, given the importance of their role in the property chain.”

Davies said reforming the process could re-energise the market and boost confidence. “The current system is so clunky and unpredictable that it can be genuinely demoralising for many would-be buyers,” she said.

“The government’s consultation is a chance to bring the property transaction process into the 21st century. Lenders stand ready to play their part in delivering a system that is faster, clearer, more consistent and more professional, for the benefit of consumers and the wider economy.”