Delayed local authority searches can exacerbate cashflow problems for developers, but an industry expert said the stress of waiting for responses can be easily eradicated.
There is still a huge disparity between the length of time it takes local authorities to return the local searches necessary to complete a property transaction, with some performing relatively well, while others are taking anywhere up to 60 days. For developers of all sizes, but particularly SMEs, this can cause serious cashflow headaches by slowing down completions.
Amanda Giles, Director – New Build at searches specialist Move Reports, said the turnaround for local searches can be simply reduced to just 24 hours by getting ahead in the process.
Amanda said: “There are few things more important than maintaining healthy cashflow in housebuilding, particularly if you are a small regional builder. “Housebuilding is incredibly capitalintensive and front-loaded, with costs for land acquisition, planning, materials and labour all piling up before a property has been sold and any money has come in.
“That is why it is particularly frustrating when local authorities hold up a sale at the final hurdle with delayed local searches. It’s utterly infuriating for sales professionals.
“At Move Reports we work with dozens of developers – from the biggest bluechip operators to SMEs – to prepare all necessary search results in advance so they can be sent out with the Contract Pack or downloaded by the panel firms upon reservation.”
Move Reports is the UK’s only new homes search specialist and can produce all the required regulated search results for new builds within 24 hours – provided on a no exchange, no fee basis.
The business’s team of experienced property professionals draw from their commercial and residential experience to prepare a bespoke New Homes Search Pack for every development across the country.
These are continually updated to ensure lender compliance and they are ready to access whenever required, eliminating delays as sales target deadlines loom.
Ultimately, it means developers have cash in the bank sooner – and customers are happier.
Amanda added: “We provide a bespoke service for the new homes market which was developed in conjunction with the top ranked new homes law firms.
“Along with the much-talked-about staff shortages at local authorities, delays with local searches often occur as a result of conveyancers deploying traditional methods that are simply not effective or workable for the new homes market.
“Instead, we produce one easy-tounderstand, fully lender compliant report – and we’ll also provide additional details including abutted planning, HS2 information and Coal & Green deal checks to alleviate further enquiries.
“We understand the new homes industry and have built a product that has been used on thousands of sites across the country.” Move Reports is also set up to help developers with tricky part exchange deals involving existing residential stock. The businesses’ vast experience means it can reduce waiting times for local searches on secondhand properties to under two weeks.
Launched in 2002, Move Reports has developed and grown to become the UK’s largest independent search company. The business has significantly increased its number of employees and boasts more than 100 years of combined property industry experience at director level.
Visit www.newhomessearches.com or www.rdr.link/dbf023 for more information
