Following a recent government announcement – Read the BBC article – there is renewed discussion around whether providing more information at the outset of a residential transaction could reduce the number of sales that fall through.
At first glance, the idea is appealing. If buyers have access to key documentation earlier in the process, the logic goes that surprises are reduced and transactions should proceed more smoothly. However, in practice, the position is more nuanced.
In our experience, transactions fall through for any number of reasons, and often those reasons have little or nothing to do with the legal paperwork itself. A buyer’s financial position may change, a chain may collapse, or one party’s personal circumstances may alter unexpectedly. These “human factors” are often the decisive point of failure, rather than any inherent defect in title or missing document.