Gazumping hits one in 10 UK purchases
One in 10 property purchases has fallen through due to a seller accepting a better offer from someone else, despite already accepting a verbal offer.
According to a survey of 1,300 homeowners and prospective buyers by Homelyfe, gazumping was proving a problem for many.
The survey also found that of those who were gazumped, it had cost one in three £500 or more.
The insurer also found that only 37% knew the legally required insurance necessary when purchasing a property.
When asked how they would like insurance improved, 60% of homeowners and homebuyers said they would like to know they could renew their policy with the same provider without premiums going up, followed by 45% who wanted less jargon in the process.
Vast majority unaware
Homelyfe said the vast majority (82%) of those it quizzed were not aware that homebuyer insurance existed and only 2% had ever purchased it.
“The insurance industry is notoriously complex and archaic in its approach. The unfortunate result is that a lot of British consumers spend a long time answering outdated questions and are not getting the adequate protection or cover they need and want,” said Peter Goodman, founder and CEO of Homelyfe.
“Some providers are still posting quotes rather than emailing them and each time you get insurance, you need to provide the same information fresh again, regardless of whether you are with the same provider.
“It shouldn’t be as difficult as it is – life is easier than that now – and it is time the insurance industry caught up with today’s consumer expectations,” he added.