29,000 Home Sales Fall Through Because Of Crime Rates
As crime rates have soared by 12% since 2014 and 5.8 million crimes were reported in 2018, they have been blamed for an attributing factor in cautious home buyers pulling out of their property sales.
A recent report by Churchill Home Insurance found that 2.4% of all housing sales collapse every year because of the local crime in the area; this equates to more than 29,000 home sales falling through every year.
According to contemporary house prices, this means that £6.6 billion worth of property transactions are falling though each year at a rate of 558 failed transactions per week.
69% of the potential homeowners cited crime in their prospective area as a clear deterrent with burglary rates (11%), property vandalism, car theft and serious assaults being reported as clear reasons a home buyer will avoid a particular property or location.
Additionally, 15% of estate agents are concerned that increasing crime rates are putting a clear strain on the ability to sell property in certain areas.
Craig Rixon, Head of Churchill Home Insurance, said:
“With crime rates rising across the UK, it is no surprise to see that this is having a detrimental knock-on effect on homebuyer confidence. Buying a home is a major financial commitment and it is important to assess several factors when considering where to live, with local crime rates being one of them.
“However, this should not necessarily deter purchases of dream properties. No matter where the property is, or what the crime rates are in the area, homes should always be fitted with an appropriate level of security features, including locks, an alarm and security lights, as often burglars will look for the easiest home to enter on a street. For further peace of mind, it’s always necessary to have a comprehensive, up-to-date home insurance policy that covers householders in the event of them becoming victim of a burglary.”
How concerning is the issue of rising crime for conveyancers? Have you found this to a be major concern with home buyers?