Santander urges government to digitise homebuying process
Santander has advised the government and regulators to digitise the homebuying process, as well as prevent gazumping ad gazundering.
A government-owned centralised property data system could help smoothen the process, as well as utilising AI.
David Morris, head of homes at Santander UK, said: “Buying a home should be a moment of excitement and hope, but for too many people, it’s an uncertain and exhausting process, that drains their mental, emotional and physical health.
“The homebuying journey is still operating in the confines of a framework that was established a century ago. This antiquated system is an increasingly heavy anchor weighing on the economy and fixing it must be key.
“While the government has put the housing market firmly on its agenda – as this research shows – the scale of the challenge remains largely underappreciated, and that’s why we’re calling for powerful reforms to give buyers and sellers more confidence, ease the financial and emotional strain and create a housing system fit for the needs of today’s consumers and economy.”
The cost of failed property transactions is 40% higher than government estimates, Santander’s ‘fixing the broken chain’ research shows.
Over half a million failed transactions a year costs the wider economy £950m, as well as £560m to consumers.
Some 23% of consumers have experienced a property chain failing, with the process having a profound emotional impact on buyers, with more than half (54%) feeling stressed throughout the transaction.
As it stands, these difficult and stressful processes deter activity, as 28% of movers said they’d be less likely to move again due to their experience.