Too many property listings are breaking the rules – claim

A new report reveals property listing compliance rules are being flouted and highlights how consumers are not getting the critical information estate agents are legally required to provide upfront about properties.

To compile the report, the HomeOwners Alliance analysed 150 leasehold property listings across the three main portals – Rightmove, Zoopla and OntheMarket.

No EPC

It found that a quarter of listings do not even have an Energy Performance Certificate – a legal requirement since 2013.

It also identified big gaps in the provision of the non-avoidable costs of owning a property (service charges, ground rent, council tax etc) which trading standards clearly states should be on all listings.

Some of the key findings include:

Although 94% of listings state whether the property was leasehold or freehold, less than two-thirds (62%) mention service charges, less than half (49%) include details of ground rent and a tiny minority (9%) give the date of the next ground rent review.

No council tax band

Another 24% of listings failed to include an Energy Performance Certificate rating, and only two-thirds included the council tax band, despite being required for all listings. London listings were less likely to feature council tax (55%) than in Manchester (77%).

Just 9 in 45 high-rise property listings made any reference to an EWS1 certificate, which is required by lenders, and under 5% included details about accessibility and restrictions on the property.

Commenting on the findings, HomeOwners Alliance’s CEO Paula Higgins says: “We know location, price and parking are up there as the top things people look for when buying a home.

“But very quickly after that, we want to know about any potential deal-breakers: Is it a flat with only a few years left on the lease or sky-high service charges?

A year on, the picture is still patchy and simply not good enough”.

“Is there cladding which means we’ll struggle to get a mortgage and could face unfair costs? Is there a poor energy rating that means the house costs double what it should to run?

“So, the industry’s move to do more in providing information that could materially impact our decision to buy a home is very welcome.

“But a year on, the picture is still patchy and simply not good enough.

“Homeowners shouldn’t have to wait until they are three months down the line, have spent hundreds on legal fees and surveys, to find the ground rent is due to double, the house will cost more to heat than their current home, and they can’t get a mortgage because of cladding.”