Improvements continue to be made to estate agency listings, aimed at giving house buyers more information upfront.
National Trading Standards Estate and Letting Agency Team (NTSELAT) have set out more details of what information must be included by estate agents, as of Autumn 2023, when drawing up property listings.
What do estate agents currently need to include in property listings?
In May 2022, it became necessary for estate agents to include the Council Tax band for all property listings as well as the price and information about tenure, i.e.. whether the property is freehold, leasehold or leasehold with a share of the freehold.
The government was keen to ensure that the critical material information buyers need was made available digitally from trusted sources. Estate agents are required to display the information on online portals when offering property for sale.
Senior manager of NTSELAT, James Munro, said at the time: “This represents an important milestone in the journey to improve material information on property listings. I’m delighted with the progress that has been made with the industry to help define and clarify what constitutes material information and I am grateful to the property portals and other industry leaders who have supported this work.
“These technical changes will prompt all players in the property market to do things a bit differently. Vendors and agents may find that bringing conveyancers on board at the outset helps ensure all information is available for marketing, and issues with things like restrictive covenants or boundaries can be addressed earlier. For consumers, a better understanding of why certain information such as a property’s tenure is important will enable them to make informed decisions when they embark on a property search.”
Price on application ‘unlawful’
NTSELAT later published its opinion of sales details that show ‘Price on application’ instead of the price of a property, finding that this was unlawful.
It worked with the Competition and Markets Authority to produce the opinion, which found that using the term ‘Price on application’ or ‘POA’ contravenes consumer protection laws. It was likely to be misleading as the price was hidden from consumers, who need this information to make an informed decision about whether to view the property or make further enquiries.
James Munro, said: “I am pleased to be able to provide a clear position that the use of ‘POA’ or ‘price on application’ in property listings is unlawful. I am grateful to colleagues, the CMA and legal experts for their input and we hope this clarity will be helpful for property portals and agents as they prepare their listings. This position will form part of our general industry advice and guidance moving forward.”
New details required as of Autumn 2023
In Autumn 2023, the next phase of disclosure will begin. This will require estate agents to include a wider range of legal information regarding properties as well as other relevant details.
This could include:
- Restrictive covenants that deal with what can and can’t be done at the property, for example, preventing extensions or fencing a front garden
- What utilities are at the property
- Any known flood risks
- Building safety issues
- Other factors that could influence a potential buyer’s decision to make an offer on a property
James Munro said: “Thanks to the commitment of the property portals, we are already seeing listings with more detailed information on leasehold and other information such as council tax.
This year, in early Autumn I am told we will start seeing early stages of information on utilities, building safety issues and flood risks.”
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