Property reforms could speed up sales and clean up billions in dirty money – SmartSearch
In response to government plans to overhaul the homebuying system, Phil Cotter CEO of digital compliance experts SmartSearch said the proposals could both streamline transactions and help drive out the criminal funds inflating UK house prices.
“We welcome the government’s plans for a major reform of the house buying system – which aims to cut costs, reduce delays and halve failed sales. It’s high time the UK property system was cleaned up and these plans to overhaul the buying and selling process could be a real turning point, not just for speeding up transactions and improving transparency, but for tackling the billions in dirty money that continue to distort the market.
“The National Crime Agency estimates up to £10bn is laundered through UK property each year*. Our own analysis shows this illicit wealth has inflated house prices by around £3,000 across the UK and more than £11,000 in London, putting homeownership even further out of reach for ordinary families.
“By introducing greater upfront transparency, binding contracts and strong source-of-funds verification, the proposed changes won’t just speed up sales and cut costs, they will shine a light into those opaque structures that have allowed illicit wealth to distort our housing market. Estate agents who adopt trusted identity verifications will win credibility and customers, while helping ensure every buyer and seller can see the system is fair.”