Stricter regulation needed for development of second-hand homes

Stricter regulation needed for development of second-hand homes


Stricter regulations are being called for to standardise the second-hand property market and bring it in line with measures regulating new builds.

Property specialists working across the industry are urging developers to include second-hand property transactions within the new Consumer Code for Home Builders, which comes into effect April 1.

The code will enforce specific guidelines hoped to prevent the outcome of costly litigation in worst case scenarios.

Under the new code builders’ responsibilities will be clearly laid out, and a “low-cost, speedy, independent dispute resolution scheme” will provide opportunities for customers and builders to settle disputes without taking legal action.

However, it does not cover second-hand properties, such as homes taken in part exchange and re-sold.

Property specialists movewithus, who sell properties on behalf of developers, warn that looking at the new build, when there is a PX or Assisted sale property involved, is limiting the opportunity to please the customer as they are equally concerned about the sale of their existing property

David Perrin, movewithus sales & marketing director, said: “The move to a new build property is often an exciting occasion for buyers. However, it should not be overlooked that their hard earned equity often sits in their current property and therefore they are normally just as, if not more than, keen to see best practice with its sale.

“Developers that appreciate the importance of this part of the equation are likely to see higher conversion rates and a more satisfied customer, which is why we are urging all developers to include the second-hand properties within their code of conduct.”

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