Estate agency red tape cut
Two key changes have been made to regulations governing estate agents as part of a government initiative to cut red tape.
The Estate Agents Act is to be amended whilst the Property Misdescriptions Act will be removed.
Under the amendment to the Estate Agents Act businesses hosting private property sales advertisements, without getting involved in the sales process, will no longer be subject to various regulations aimed at estate agents.
The measures will ensure that these businesses do not face disproportionate costs as a result of regulations intended for traditional estate agents.
The change will help home owners privately advertise and sell their houses.
It comes after a consultation on the proposed change was held this summer.
Very few knew about the consultation. Consumer Affairs Minister Jo Swinson said: "A flourishing housing market is hugely important to the economy.
“These intermediaries help buyers and sellers contact each other at a low cost but don’t engage in other estate agent activities, so it’s unfair to expect them to go out and check all the property details of all the sellers on their websites.
The Government has also repealed the Property Misdescriptions Act. Instead, traditional agents and other operators will be bound by other legislation.
This is big news news for estate agents but what will it mean for conveyancers?
Should conveyancers warn their clients that these businesses are not subject to some of the legislation that estate agents have?