In brief
- The Government is proposing reforms to speed up and simplify house buying in England and Wales
- Sellers and estate agents may need to provide key documents before listing, but concerns remain about added costs and outdated information
- Early binding contracts could reduce failed transactions and gazumping, but standardised agreements are needed to avoid delays and extra complexity
- Regardless of reforms, buyers and sellers can minimise delays by preparing documents, instructing solicitors and surveyors early. Local Authority search delays also need to be addressed.
The UK Government is proposing major changes to the way residential property is bought and sold in England and Wales, aiming to cut costs, speed up transactions, and reduce the number of sales that fall through. But how will this affect you?
As property lawyers with many years of experience, we have seen plenty of reforms come and go, some promising, some problematic. Here is what you need to know about the latest proposals.
Mandatory upfront information
Sellers and estate agents will need to provide key documents before a property goes on the market including search results, physical condition assessments, title information, planning history, leasehold charges and chain status.
Binding offers
Buyers and sellers could enter into binding contracts earlier in the process, making it harder to walk away without consequences.
Higher professional standards
A new mandatory Code of Practice for estate agents and conveyancers.
Is This Just HIPs 2.0? If you remember the failed Home Information Packs (HIPs) launched in 2007 (and scrapped in 2010), you may be feeling déjà vu.
HIPs aimed to speed up sales by requiring sellers to provide information up front, but they often had the opposite effect. They added upfront costs, caused delays (especially because on many occasions, the searches obtained would be out of date by the time the property transaction progressed) and many buyers did not trust or use the documents anyway, preferring to commission their own surveys and searches.
There is a risk these new proposals could fall into the same trap, particularly if they burden sellers with extra costs or offer outdated or unreliable information that still needs to be verified by a purchaser and their professional team. This echoes the issues with the ‘material information’ requirement under the Digital Markets Competition and Consumers Act 2024, which has not lived up to expectations. So, the question remains: Will this new approach truly speed up transactions, or just shift the delays elsewhere?
Another concern is that mandatory upfront information may blur the lines of "caveat emptor" – the principle that buyers are responsible for doing their own due diligence before committing. Currently, sellers do not necessarily have to disclose problems unless directly asked or unless they lie or mislead the buyer.
Binding contracts: A game changer?
One of the biggest frustrations in the UK system is how easily deals can collapse before exchange of contracts, often with no legal consequences. Buyers can get "gazumped," sellers can change their minds, and thousands of pounds can be lost in legal, survey, and other professional costs.
The proposed option for early binding contracts could offer protection for both sides. This already happens occasionally at the high end of the market through lock-out or exclusivity agreements, where a seller agrees not to consider other offers for a fixed period in exchange for a deposit.
While sometimes helpful to get a deal initially agreed, these agreements are far from bulletproof. They do not guarantee a sale and often take time and legal costs to negotiate, sometimes more time than just pushing on with the transaction itself.
If the Government wants this to work, they need to consider the use of a standardised agreement with clear terms and fair deposit rules, not a complex, time-consuming extra step.
The potential upside
If these reforms are implemented well, they could make a real difference: fewer failed transactions, less gazumping, and faster completions. The Government claims it could shave up to four weeks off the average deal.
That is welcome news.
But seasoned professionals will understandably be sceptical. We have heard big promises before.
What really speeds up a property deal?
Whether or not these reforms happen, there are practical steps buyers and sellers can take right now to avoid costly delays:
For sellers:
- Instruct a solicitor early before your property hits the market.
- Prepare a full contract pack including planning history, consents for any alterations, and title documents.
- Leasehold property: get the management pack ready straight away. Delays here are one of the most common deal-breakers.
For buyers:
- Arrange your financing early, especially if you're relying on international funds.
- Order your survey promptly from an experienced, recommended surveyor early inspections help avoid nasty surprises.
- Instruct a reliable solicitor one who is not juggling too many cases. Often, cheaper is not better; you want someone who can prioritise your deal and who will be responsive, proactive, and contactable.
For both:
- Push for fast local authority searches. Some councils take days, others take months. If the Government is serious about reform, funding for faster searches should be top of the list.
What about tax changes?
Rumours of changes to Capital Gains Tax and potential wealth taxes are also swirling and could have a significant impact on the property market.
While these are not directly part of the announced reforms, they are part of a wider conversation about making the property market “fairer.” If you are holding or restructuring UK property assets, now is a smart time to prepare to protect your property interests.
Final thoughts
On paper, these Government reforms aim to make buying and selling property less stressful, less risky, and faster. That is a goal we can all support.
But the devil is in the detail. If not carefully implemented, these changes could add costs, confusion and red tape, especially if they repeat the mistakes of the past.
Whether you're buying, selling, or just planning for the future, being prepared is key. Work with the right professionals, get organised early, and keep an eye on what's coming down the pipeline.