Beware those who cash in on desperation in slow market

option for their circumstances. For those who do need to sell quickly, The Advisory has launched a brand new guide to help spot the rogues that operate in this sector.

This concern is backed by the OFT’s recent decision to launch a study of the quick house sale market to consider options for improving the services currently offered to vulnerable homeowners.

As an unregulated market, some of the claims made by quick sale firms are misleading, and can prove to be a costly mistake, especially for homeowners who jump in hoping for a quick fix. The reality is that less than one per cent of enquiries to property buying firms result in a sale, so do your homework first.

Gavin Brazg of The Advisory, says: “It’s good news that the OFT has stepped in to investigate this market. We have seen first-hand the devastating consequences for some people when it goes wrong, so it will be interesting to see what the OFT recommends.

“However, in the meantime, we have published a new guide, to help homeowners first decide if a quick cash sale is the right option for them, and second to ensure that they are dealing with a genuine firm.

“Selling your house in this way can be a great solution for people who need a guaranteed way to unlock the cash in their property quickly, but only around 1,800 homes in the UK are sold this way each year because it is a service designed to meet a very specific need.

“The quick sale service is for those whose need to move is greater than their need to sell for the best possible price.

“For those homeowners who are frustrated with the slow sale process, or whose chain has collapsed for example, this is not the best solution as they will not achieve full market value for their property.

“However, if you do need to move quickly, you need to approach with caution or you could end up with substantially less than the offer you initially accepted, have to pay upfront fees, face long delays in selling or all of the above. Our guide helps homeowners understand how the quick sales market works, what you should expect, and crucially, how to identify a reputable buyer and sell your home quickly and safely.

“If you need to move quickly, perhaps due to cash-flow or debt issues, or perhaps you are emigrating, and you are not looking for the full market price for your property, then a quick cash sale can be the answer.“

Regardless of the OFT’s findings and decision on regulation of this market, The Advisory recommends that if you face any or all of the following six obstacles when dealing with a quick property buying company, walk away and find another firm.

The buyer requests any upfront payment of any kind

The buyer cannot provide proof of “cash funds” upon your request

The buyer cannot or will not provide contact details of recent clients, so you can ascertain customer service levels

The buyer’s “formal offer” is not based on an independent valuation report from a RICS Chartered Surveyor

The buyer will not share the RICS Valuation Report with you and/or your solicitor

The buyer requires you to sign a “lock-in” contract or “option agreement” – walk away.

To read the full guide, visit: www.theadvisory.co.uk/ quicksaleguide.php.