House sales taking more than a month longer than buyers expect

The house buying process takes 41% longer than expected, according to new research from Open Property Data Association (OPDA) which found that, on average, people expected it to take 88 days to exchange contracts once their offer on the property was accepted. 

But when asked how long it actually took to exchange contracts once an offer was accepted, the average answer was 124 days. This means that it takes 36 days longer to exchange contracts than people are planning for.

OPDA – which is calling for transparency through access to data, open standards, and safe and secure data sharing across the mortgage and wider property industry – polled the views of 5,336 people, living in the UK, who had bought or sold a house in the past five years.

While Scotland’s property transaction process differs from that of England and Wales, reality is also failing to match expectations north of the border. In England and Wales (as opposed to the whole of the UK), it takes 38 days longer to exchange contracts than people assume (126 days, vs. the expected 88 days). But even in Scotland it takes 32 days longer than homebuyers anticipate (106 days, rather than 74).

To give another contrast, most Australian states require upfront seller disclosures, enabling immediate contract exchange and a set completion date, usually around 30 days. Although market differences must be acknowledged, this comparison highlights the potential for significant improvement through upfront information and digital processes.

Respondents reported that the lack of clear, timely communication is a significant barrier to the property transaction process here. 40.61% of respondents cited communications between parties as the most challenging aspect and 39.47% noted that chasing for updates exacerbates the process, leading to uncertainty and frustration.

Another major issue is the repetition inherent in document collection. A substantial 62.3% of respondents were asked to provide the same information or documents two to three times. This redundancy not only delays progress but also increases the risk of errors, misalignment of information between parties, and increased potential of data breaches.

When asked what they thought delayed the process, 44.3% cited property lawyers/conveyancers as the primary culprits while 28.8% pointed to estate agents, and 17.3% placed the blame with mortgage lenders. 14.9% noted issues with valuers or surveyors. These insights vary by age group and region, with older consumers more likely to feel blame lay with the legal professionals, while younger buyers often hold estate agents responsible.

The research follows February's announcement from the government that it wants to modernise the property transaction process and recognises the need for digitalisation and secure data sharing.

OPDA is calling for the introduction of digital property packs as a key part of the sector’s journey to a digital future. Digital Property Packs provide a secure, comprehensive, and instantly accessible view of essential property details and enable buyers and sellers to access critical information upfront, streamlining transactions, reducing fall-through rates, and enhancing trust in the process.

According to the OPDA’s polling, 82% of consumers believe Digital Property Packs are a good idea – with 77% stating they would use one if available. 

Maria Harris, chair of the OPDA, said: “It’s shocking that exchanging contracts still takes 40% longer than expected, especially given that those expectations aren’t exactly high. The problem is that the home-buying process is stuck in the past. Embracing digitisation will allow us to modernise and enhance this established process, making it more efficient, seamless and aligned with the needs of the 21st century. Our vision and purpose align with the government’s objectives, and now is the perfect time to come together and drive digital transformation of the property sector.

“Our research shows that consumers are not only open to Digital Property Packs but are actively calling for them. With the Government’s commitment to digitisation, now is the time to push forward with the solutions and new customer journeys to make this vision a reality – it’s the best way to ensure buyers and sellers have the information they need at their fingertips.”

Phil Spencer, property expert and founder of property advice website Move iQ, commented: "Everyone knows the old saying about moving home being one of life's most stressful experiences. But the reason it's so stress-inducing isn't just the cost; it's more likely to be the uncertainty and delays that often plague the process.

"This research reveals that many of us also underestimate just how long it can take to buy a home. The process is crying out for modernisation, and better transparency and digitalisation could shave weeks off the time taken to complete a purchase, making life better for buyers, sellers and property professionals."