The government’s newly announced plans to reform the home-buying process are being described as the most significant shake-up to the system in decades.
Many would say that these changes are long overdue. The current process has been labelled “chaotic” and even “a barrier to home ownership” – and it’s easy to see why.
Far too often, transactions collapse at the final stages, resulting in wasted time, lost agent fees, and frustration for buyers, sellers, lenders, and brokers alike. In fact, it’s estimated that more than £800 million is lost through house sale collapses each year – an average of £3,000 per seller.
Therefore, a proposed move to improve the process has, naturally, been broadly welcomed across the property industry. But what exactly has been announced, and how might the new measures reshape the market?
Delving into the details
On 5 October 2025, the government unveiled a package of proposals aimed at cutting costs, reducing delays, and minimising failed sales.
Under the reforms, sellers and estate agents would be legally required to share key property information at the start of the transaction, increasing transparency and helping buyers make informed decisions earlier in the process.
There would also be an option for a binding contract, which would prevent either party from pulling out in the final stages of a deal – a move that could significantly reduce the number of sales that fall through. It would mean that anyone who breaks the contract could be fined, although how this would work in practice, and what would count as a justified reason for withdrawal, remains to be seen.
According to government estimates, the reforms would improve both affordability and speed in the lower echelons of the market. In fact, they could purportedly save first-time buyers an average of £700 and cut around four weeks from the typical completion timeline.
More broadly, a new Code of Practice for estate agents and conveyancers has been proposed. Combined with performance data comparisons across agents and conveyancers based on expertise and track record, these measures aim to raise professional standards and increase consumer confidence throughout the buying process.
Potential downsides and challenges
However, the proposals are not without potential downsides and challenges. The government’s figures suggest that sellers could face additional upfront costs of around £310 to provide the required information packs.
Some industry commentators have also called for greater clarity on how the measures would be implemented. Comparisons have already been drawn to the Home Information Packs (HIPs) scheme that was introduced under the last Labour government, which was eventually scrapped amid concerns it deterred sellers from listing their properties.
Critics also note that not all buyers would realise the claimed savings, as the government’s figures include the average cost of failed transactions, which some buyers never experience.
Market impact
Judging market impact in the early stages of these proposals is something of a fool’s errand, but the general consensus is that this is a positive move from the government.
If implemented correctly, they could foster a more efficient, transparent and professional property market. In turn, this would go some way in reducing the uncertainty that has been harming the sector in the last few years, and could lead to greater confidence in the process among sellers and buyers alike.
However, as suggested by the proposals, there will be some upfront costs that sellers will need to shoulder. Getting their properties surveyed before going to market, for example, would incur an initial cost that may discourage some vendors.
Overall, the shift would mean that brokers and investors will need to get to grips with new compliance requirements and data-sharing obligations. A faster pace of transactions is also likely, which means that brokers should build relationships with lenders that have promptness built into their offering.
How RAW can help
Fortunately, the RAW approach to lending is designed with speed in mind. This case study, where we delivered a loan in as little as 10 days, is a good example of what our expert team can do.
Thanks to our in-house credit team that meets twice a day (mid-morning and mid-afternoon), we are able to provide a decision in principle (DIP) within one business day of the initial enquiry. If the proposed reforms do result in a speedier transaction process, being able to secure finance at pace could make all the difference.
What’s more, we understand the regulatory requirements that brokers and their clients are under. That’s why we try to minimise their impact on our customers by making our requests a) concise, b) comprehensive, and c) justifiable. Our aim is to ask only once and only for what is required.
Our process speeds up deals and saves brokers valuable time – they don’t need to provide documents, chase our team for decisions, and can rely on the fact that we will provide a DIP when we say we will.
Time will tell whether the new reforms will have their desired effect on the house-buying process, but RAW’s expert team is on hand to provide brokers and their clients with the speed and certainty they need – come what may.
Need to place a case at pace? Get in touch: https://rawcapitalpartners.com/mortgages-70