London: The UK government is considering a comprehensive home-buying overhaul that could reduce the time it takes to purchase a property by about a month and save buyers roughly £710 on moving costs.
Key elements of the home-buying overhaul include requiring property sellers and estate agents to provide more detailed information at the point of listing, potentially reducing the need for buyers to carry out separate searches and surveys.
Earlier binding contracts could also be introduced to minimise the risk of a chain collapsing or ‘guzumping,’ a situation where a higher offer is accepted after an initial agreement.
Additionally, the government aims to provide clearer information to consumers about estate agents and conveyancers, including their track record and expertise, alongside new mandatory qualifications and a code of practice to raise professional standards.
Housing Secretary Steve Reed said that the proposals, currently under consultation, would help make ‘a simple dream, a simple reality’ and that the government would release a full roadmap in the new year. Reed emphasised that, “Buying a home should be a dream, not a nightmare… Our reforms will fix the broken system so hardworking people can focus on the next chapter of their lives.”
Officials estimate the home-buying overhaul could save first-time buyers around £710, while sellers could face increased costs of about £310 for upfront assessments and surveys. Those in the middle of a housing chain could see a net saving of £400, as lower buying costs outweigh additional selling expenses.
The government also intends to expand the use of online and digital processes, including digital IDs, to streamline transactions, citing Finland’s digital real estate system, which allows property purchases to be completed in as little as two weeks. The consultation also draws inspiration from the Scottish system, which provides more upfront information and earlier binding contracts.
In parallel, the Conservatives have proposed a £5,000 national insurance rebate to assist young people with their first home purchase when they start a full-time job, potentially benefiting 600,000 individuals annually and amounting to £10,000 for a working couple. The £2.8 billion cost of this ‘first-job bonus’ would reportedly be funded through cuts to government spending.
Industry figures have welcomed parts of the proposed home-buying overhaul. Rightmove CEO Johan Svanstrom noted that the home-moving process remains fragmented, with too much uncertainty and cost, stressing that “speed, connected data and stakeholder simplicity should be key goals.”
Santander Head of Homes David Morris highlighted that, despite advances in technology, the home-buying process has changed little since previous generations.
However, Conservative shadow Housing Minister Paul Holmes cautioned that while digitisation is positive, the reforms risk repeating the failed Home Information Packs policy of the last Labour government, which reduced the number of homes put on sale and increased costs for both buyers and sellers.
The government believes that this home-buying overhaul, which includes clearer upfront information, earlier binding contracts, digital tools, and improved professional standards, the proposals could modernise the UK’s property market, reduce costs and delays, and make the process smoother and more secure for buyers, sellers, and those caught in housing chains.
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