TRADING STANDARDS PUBLISHES MATERIAL INFORMATION GUIDANCE
The National Trading Standards Estate and Letting Agency Team (NTSELAT) has released its highly anticipated and comprehensive guidance for sales and lettings agents regarding the definition of ‘material information’ in property listings.
Developed in collaboration with major portals, redress schemes, and key trade associations, this guidance is designed to assist agents in fulfilling their existing legal obligations under Consumer Protection Regulations (CPRs).
According to the CPRs, any information can be considered material if it influences a consumer’s transactional decision.
The National Trading Standards Estate and Letting Agency Team (NTSELAT) has now issued two crucial lists of material information disclosures for property listings, building on its initial ‘Part A’ guidance from last year. ‘Part B’ outlines the essential physical attributes that must be included, while ‘Part C’ addresses matters that may impact a property, such as cladding, easements, flood risk, and conservation areas (full guidance available in the link below).
I have long advocated a more streamlined and transparent process in the property buying and selling journey, principally by addressing the way the conveyancing process operates and making upfront information mandatory.
This is a welcome and significant step forward that will benefit consumers and agents. I do, however, hope this encourages the industry to go one step further by looking, in the future, to supplying buyers with a full pack of information collated prior to properties being marketed, in the form of a property logbook.
A logbook, including essential documents such as law society protocol forms, fixtures and fittings details, and property information forms for freehold properties, and additional information for leasehold properties like fire risk assessments, asbestos reports (depending on the building’s age), building insurance, and financial accounts, would give prospective buyers access to a wealth of information right from the beginning.
This not only simplifies the decision-making process for buyers but also ensures that relevant information is readily available, promoting transparency and trust in property transaction.
Local authorities do not have the capacity to provide retrospective planning in the time-frames often required as part of the current transaction timeframe. This would give sellers more time to solve potential problems without the need to rely on indemnity products.
Arguably it could be compared to buying a property at auction, where all the information is available upfront. It creates a more level playing field for buyers, enabling them to make well-informed decisions and reducing the likelihood of surprises later in the process.
If the industry continues to move in this direction, it could lead to a more standardised and efficient approach to property sales, benefiting all parties involved by enhancing buyer confidence, and contributing to a smoother overall experience in the property market.
Stuart Forsdike, Founding Partner of PCS Legal