BLOG: Conveyancers are paid for success AND failure, and that’s the problem
Leading estate agent rails against the conveyancing business model and highlights his own poor recent experiences dealing with them. Do you agree?
Here’s a question for you – how many conveyancing solicitors do you know that don’t charge a fee, unless the job is successful?
And there ladies and gentlemen is why the conveyancing process is so slow. Solicitors are paid no matter what the result and whether the deal happens or not. As I see it, if you remove the reward, you remove the incentive.
Unlike estate agents (and myself), we only get paid once the job is done. That is why you find estate agents come barrelling into a proposed transaction when terms are agreed at full tilt.
However many solicitors are sat still and are then expected to get up to immediate speed, which is very difficult to do and few are capable of doing.
The situation with conveyancing has progressively got significantly worse over the last several years and I feel that the sector is at rock bottom.
While the estate agency profession has really upped their game over the same timeframe, it is almost like the legal profession has gone back to the 1970s.
Over the last few weeks, I feel I have experienced some of the worst that conveyancers have to offer in terms of abysmal service and a lack of client care, that has even shocked me and I’ve been doing this for over 25 years. These weren’t bargain basement firms either, but established names who supposedly had good credibility.
Four emails
In one notable transaction we were trying to exchange contracts, however the partner in charge of the firm’s conveyancing didn’t respond to four emails from the selling agent, nor two phone calls from their own client.
It got so bad that my only option was to call their switchboard and asked to be placed on hold until the conveyancer picked up their phone. After 20 minutes of ringing, their PA finally picked up and gave me a mediocre excuse.
Their own client then had to specifically come up from London and marched into their offices unannounced the next morning. It turned out there were a few more questions which needed answering. The owner immediately did this, however the solicitor then sat on these replies for a further six hours before letting the other side know so we could exchange.
Most regrettably, this case hasn’t been a one-off as in order to rescue another deal, myself and the selling agent had to work on the file at 10pm on a Friday night due to both solicitors falling short of the mark. I don’t say this in some contrived sympathy type of way, but more to give you some insight and understanding what having motivation does to the overall cause.
Mass volume
Conveyancers have gone the way of mass volume. More caseloads and legislation, however with less staff and even lower fees, which are guaranteed regardless. Is it any wonder then, that their incentive to progress matters for their clients goes out the window?
Furthermore, you can now see that estate agents and conveyancing solicitors are coming in from the most polarised extremes of the property process. One side knows they will get a fee no matter what happens, whilst the other side could walk away with nothing after several months work unless they push it over the line. The whole system just doesn’t make any sense.
So my strong advice to all buyers and sellers, please make sure that your appointed conveyancer is the very best they can be. Never go for cheap and always ask your estate agent who they really rate.
To all the conveyancing solicitors, I am throwing down the gauntlet and challenge you to come over to my side of the fence. You may then find that transactions are fast tracked and everyone wins.
Author bio: Alex Goldstein is an independent bespoke property consultant in Yorkshire and London (www.alexgoldstein.co.uk) or 01423 788377.
PIC credit: Alex Goldstein
