Agents warned they will be accused of mis-selling
A leasehold reform campaigner claims estate agents face “growing calls to be held accountable for mis-selling leasehold properties.”
Louie Burns, managing director of the Leasehold Solutions Group, says: “Estate agents are facing mounting pressure to ensure they are listing leasehold properties correctly by providing prospective buyers with the information they need to make an informed decision. There is a high chance that failure to disclose these details could lead to accusations of mis-selling in the future.
“It is right that estate agents and online property portals should be transparent and provide home buyers with key details about the lease, including the number of years remaining, and the cost of any service charges and ground rent. However, we recognise that leasehold is a very complex area and estate agents are facing a steep learning curve to get up to speed with the ever-changing face of the leasehold system.”
Last year National Trading Standards published guidance for consumers seeking redress for leasehold matters, which states that estate agents must provide information consumers need to make an informed decision about a property and ensure that they treat the buyer and the seller honestly, fairly and promptly.
Burns continues: “Estate Agents should protect themselves and their firm’s reputation by adopting a policy of full disclosure. Any estate agent that does not disclose information relevant to the sale may find themselves in breach of the Consumer Protection from Unfair Trading Regulations (2008).”
Burns makes his claims in a statement promoting a half day course he is to hold, alongside Mark Chick, an enfranchisement lawyer and partner of central London law firm, Bishop & Sewell LLP.
The event takes place in London on February 4.
“Our training is intended to ensure estate agents fully understand the imminent changes in legislation to enable them to market and advise on leasehold properties most effectively and avoid any accusations of mis-selling” says Burns.