Covid-19: Residential buyers and sellers, what can you do?

Thursday 2 April 2020

With Easter approaching and summer just around the corner, now may usually be the time that you look forward to having a spring clean or even a fresh start. However, the Coronavirus has taken the world by surprise, putting many of our plans on hold.

We are currently being flooded by realms of information, and although there is a great deal of communication about what you can’t do – there is little about what you can do.

This article aims to explain what you as a buyer and/or seller can do during this unprecedented and uncertain period.

Are you selling (or considering selling) your property?

Don’t be put off, there are many things we can all do to progress your sale, including:

• Sales of unoccupied properties can continue provided you follow the guidance currently in force from Public Health England and Public Health Wales on social distancing and you don’t endanger yourself and/or others.
• Some estate agents are setting up virtual tours of properties so that you can continue to market your property and attract buyers.
• Upon securing a buyer, the estate agent will provide your buyer’s details to us by electronic means.
• We will then provide you with all of the required documentation during the Conveyance by email, and we can accept e-signatures with the majority of these.
• We can identify you via newly introduced Apps, meaning you won’t be required to send your identification documents to us by the traditional method of post.
• A deep clean of your property will also reassure your buyer.
• You may find that putting your property on the market now will generate more interest. According to Home and Property, online viewing activity is starting to surge as millions of stay-at-home workers make use of the extra time at their disposal by browsing property portals, in the same way that they do in the days after Christmas.

Are you buying (or considering buying) a property?

Again, don’t be put off as there are steps we can all take to progress your purchase, including:

• You can take advantage of the virtual tours being set up by estate agents and avoid the risks associated with traditional viewings.
• Again, we can obtain all details from the estate agent electronically and we can arrange for you to sign almost all documents and provide your identification documents electronically.
• Generally speaking, mortgage lenders have agreed to extend the mortgage instructions for three months. You should have this discussion with your mortgage lender and seek clarification.
• You can complete a deep clean if you are moving to a new home. You should follow the advice given for decontamination of your new home if you know, or have reason to believe, that the previous occupants (or someone who they have been in contact with) have had coronavirus. Further information can be found via this link.
• Do not be put off by potential delays – they may allow you to save more money to put towards your deposit, furniture, fittings, or other decorative accessories for your new house.
• Sometimes completion dates can happen quite suddenly and with little notice, so you should use any delay period to organise and coordinate your move.

Are you an investor? 

• If you’re an investor seeking to purchase an unoccupied property as a Buy to Let purchase then you can continue to do so, provided you follow the advice from Public Health England and Public Health Wales on social distancing and must not endanger yourself and/or others.
• If you are purchasing a Buy to Let property with tenants in situ then you can continue with your purchase, as there won’t be anyone moving in or out of the property.
• Borrowing is competitive at the moment. Interest rates were already low by historical standards, and the economic disruption from containing the outbreak means they’re likely to stay lower for longer. This is encouraging news for Landlords.
• The uncertainty surrounding the spread of coronavirus and its impact on the world’s economy is unlikely to resolve any time soon. As each day brings new cases, new advice and new reactions in the global markets, many panicked investors will be looking to liquidate their assets in favour of a more stable environment. For those in search of an alternative, the housing market could provide a safe haven to ride out the storm.

So, what can you do? 

Ultimately, we are now in uncertain times and while health may be our primary concern, we must not let this virus bring things to a halt. As a growing economy we are not averse to fluctuations in market trends.

For those of you who remember, during the 1970’s postal strikes businesses were required to adapt their practices. At a time when the nation was totally reliant on paper based communication, no work could be undertaken (including legal work) meaning property transactions could not go ahead. However, the solution was found in the form of the Document Exchange (DX) postal system which allowed post to be circulated between Solicitors. This is evidence that when faced with difficult and unprecedented circumstances, we can evolve to find better ways of doing things.

A typical Conveyance takes approximately 10-12 weeks. For those of you who are buying and/or selling (whether you are in the middle of your Conveyance or only just starting) the team at Blacks Solicitors will work with you, adapting wherever possible to provide you with exceptional service and to help you achieve your objectives.

For more information or advice on any of the above, please email our specialist Residential Conveyancing team today.