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Video Will The OFT Stop Quick Sale Companies? Friday Q&A Video #6 :3 House Buy Fast (Office of fair trading rental guide)
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The last question today, which is a very current one has come in. This might not mean muchto everybody because it has only just come to the news. Actually, over the course oftoday, but it's going to be quite a big story in the world of property, I think.Will the OFT stop the quick sale companies?Now, the OFT is The Office of Fair Trading, and quite rightly they are looking at thequick sale market. Unfortunately, obviously like anything, not everybody is reputableand don't follow along with basic rules and regulations that most people in the propertybusiness, surveyors, solicitors, estate agents all have to follow as a matter of legality,and also because they belong to associations. They have sort of minimum standards of workthat they should do.I should say that we are member of such an association. So, a quick plug for the companythere.I don't think the OFT is going to stop the companies from trading. At the moment, theyare conducting a survey of around 50 companies such as ours. We've been sent a questionnairelate last night.They want to get a snapshot of what the business actually does, the market that we work inand how we work. They are also asking consumers who may have sold with companies, us for exampleor anyone else to contact them as well with, I suppose, all good or bad experiences.From there, they will decide whether more regulations are needed or whether the industryneeds to be closed down as a whole or can carry on exactly as it is.I suspect, although the results won't be up until July of this year, I suspect that
probablyregulations will be beefed up a little bit. There are plenty of regulations governingestate agents and so on and so forth as already said.So, I think that probably just to include fast sale companies within a lot of estateagency law will probably be enough and hopefully that will stop some of the bad stories thatyou hear about people who have paid fees in advance and then not actually sold their property,or get caught on the last minute with the removal van on the drive with an unscrupulousbuyer looking to re-negotiate the price really when they are up against difficult time.So, there are certain things you need to watch out for. In the meantime, these regulationsalmost certainly won't come in for some months if at all.What I suggest is do your research if you are thinking of using a quick sale company,ensure that they are members of some regulatory organization. Also, find out who works there,do you like them when you seek to them on the phone, do they seem experienced, courteous,knowledgeable, and above all, and this is the most important thing, to seek the adviceof a solicitor before you sign anything at all.You shouldn't really get committed to any form of contract until exchange of contractson the property itself at a price that you are relatively happy with. If you stick tothose rules even before the regulations come in, hopefully, you should be okay.Thank you very much, and I look forward to speaking to you next week.
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