Full list of ‘material information’ for agents published by Trading Standards
Exhaustive new guidance for industry revealed to enable agents to comply with Consumer Protection Regulations.
National trading standards has this morning issued its much anticipated and full guidance for sales and lettings agents on what constitutes ‘material information’ when marketing properties.
Developed in partnership with the major portals, redress schemes and key trade associations, the guidance will help agents to meet their existing legal requirements under Consumer Protection Regulations (CPRs).
Under the CPRs any information can be deemed material if it impacts a consumer’s transactional decision.
The National Trading Standards Estate and Letting Agency Team (NTSELAT) has therefore now issued the two key lists of material information disclosure for property listings following on from its ‘Part A’ initial guidance last year.
‘Part B’ includes the physical attributes of a property that must be included while ‘Part C’ relates to matters that may affect a property such as cladding, easements, flood risk and conservation areas – (see link at bottom for the full guidance).
NTSELAT says this new and exhaustive guidance has been developed in response to agents’ calls for clarity.”
NTSELAT says this new and exhaustive guidance has been developed in response to agents’ calls for clarity on what constitutes material information.
Agents are already obliged under the CPRs not to omit any material information on property listings but a list of what that constitutes has never been defined – until now.
This has left agents vulnerable to enforcement action, and the aim of this guidance is to help them meet their obligations and reduce this risk.
Conveyancers will also be required to help estate agents prepare relevant details at the start of the sales or letting process which, it is hoped, will lead to shorter transaction times and fewer fall-throughs.
Guides for agents, sellers, landlords, buyers and tenants have also been published, in addition to the industry guidance.
NTSELAT says it will also be monitoring Rightmove, Zoopla and OTM to ensure agents are implementing the new guidance.
Grappled
James Munro (pictured), NTSELAT’s Senior Manager, says: “For years, property agents have grappled with what information they should be providing and how, and when it should be disclosed.
“Their call for help was clear. And too many consumers suffer emotionally and financially because important information crops up late in the process and the transaction falls through.
“With all sections of the industry ready to support agents I am confident the process of change will be smooth and that the benefits – faster transactions, fewer complaints and fall-throughs and ultimately, greater consumer trust – will be quickly felt.”
Read the full official NTSELAT guidance page for material information.
Industry reaction
Lesley Horton, Deputy Ombudsman, The Property Ombudsman.
“Our data tells us that consumers value transparent and relevant information to support their decisions,” she says.
“Availability of good quality information earlier in the process will benefit consumers and should support the reduction of fall-throughs. Agents will have more certainty about the information they are providing and will see the benefit of a reduced risk of failed transactions.
Sean Hooker, Head of Redress, Property Redress Scheme
“This has been a phenomenal joint effort by everyone across the property sector,” he says.
“The obligations for transparency, and upfront information are far from new, but here for the first time is a comprehensive guide to what a property professional is expected and needs to provide to the consumer.
“As a major provider of redress, we also welcome the clarity and consistency, this will provide for when resolving complaints and will work with agents to raise standards and overcome the short-term challenges they face as they come up to speed.”
David Cox, Rightmove’s General Counsel
“We know that there will be a period of transition as agents consider the new information that they need to include on listings, ” he says.
“So we’re providing a range of resources, including webinars and a new CPR training course, to help agents feel confident in understanding and complying with the new guidance.”
Beth Rudolf, Director of Delivery at the Conveyancing Association
“Providing a defined list will make it much easier for estate agents to know what has to be provided,” she says.
“Overall, this will benefit consumers and stakeholders where the information will be gathered at the point of listing to identify the Material Information relevant to that property.”
Nathan Emerson, CEO of Propertymark
“To have essential information presented with a new level of clarity will help drive consumer confidence and assist agents with delivering essential detail with a unified approach,” he says.
Paul Offley, Group Compliance Officer & Director, The Guild of Property Professionals
“As with all change it may take time to fully embed but this is a major step in the industry looking at how it can improve the home buying process,” he says.
Andrew Bulmer, Chief Executive, The Property Institute
“The Property Institute, as the leading professional body for residential property managers, welcomes publication of this guidance [which] will help raise standards by encouraging a consistent and transparent approach to sharing material information,” he says.
Complete drivel.
Agents sell. They do not convey property. The guidance notes are 34 pages long.
Many agents I have spoken to wonder what was going through the minds of NTS with these unworkable ideas.
Defining the list of Material information might be the easy part for NTSELAT as policing this is going to be quite a challenge.
The biggest point must be that all this information must be made available before the property is listed, “In time, the aim is that listings without the required minimum information will be prevented from
being uploaded onto online portals. “