"These prolonged periods of lockdown – due to the pandemic – have not meant the conveyancing process comes to a halt."
That’s only right and proper given the times we live in and the benefits that technology can deliver in this area.
Why does that matter? Well, in any normal time, it matters because it gets rid of a significant number of paper-based administration tasks and means firms – and clients – are not relying on snail mail or not relying on having to see a conveyancer face-to-face, in order to provide documentation or signatures, etc.
But, it matters doubly given the times we are currently living in, when the vast majority of conveyancing firms’ staff are working at home/remotely and you simply can’t get mail to them, or turn up at their home address to sign a document.
And, let’s face facts here, it’s because of the increased use of, for example, digital signatures or online ID verification, that these prolonged periods of lockdown – due to the pandemic – have not meant the conveyancing process comes to a halt.
Far from it - it is a significant positive, given a lot of the country is now again in lockdown, that conveyancing firms are able to continue working on cases.
So, when Conservative MP, Bob Neill, recently suggested that any new lockdown would significantly disrupt the process of property transactions going ahead because “people... cannot go to a solicitor”, that was a wrong reading of the situation.
Conveyancing continues and that should certainly hearten advisers and clients who currently have cases with firms and were perhaps worried that this current period would mean a further month of delay without any work being achieved.
That’s the good news. Where we need to be more focused is not on potential delays to existing cases due to lockdown but potential delays due to the sheer amount of cases conveyancers currently have, the expectation they will get many more through November, and whether – as we move forward – there is any chance that those cases may be completed before next year’s stamp duty holiday.
TwentyCI data suggest there are 515k sales between sale agreed and completion at the moment – 294k at sale agreed without searches ordered and 222k sale ageed with searches ordered.
It won’t need me to tell you that this is a significant amount of cases, with more anticipated, and with conveyancing firms already working flat-out on their existing pipelines.
It’s perhaps no wonder there are calls for an extension to the stamp duty holiday – calls that I support – and that, whatever the decision made, advisers will need to manage their client’s expectations right now, particularly those who are perhaps just putting their house on the market, or haven’t accepted an offer yet, or are waiting to have an offer accepted.
We are not saying that a completion is not possible before the deadline – in fact if all stakeholders follow the recent Home Buying & Selling Group pledges around provision of upfront information, instructing a conveyancer on marketing, etc, then there is a much better chance of achieving that – but we are saying that as the clock ticks, and with no extension, the chances of this get slimmer and slimmer.
Lockdown 2 is undoubtedly an important time, but it does not really change the playing-field for the housing/mortgage sector. Work continues but the circumstances and ongoing demand dictate the speed of work, and with a deadline looming, it will certainly pay to ensure your clients are completely aware of what that might mean for their case and the money they may eventually pay.
