Property industry players maintain activity during the health crisis

The newspaper Les Echos tells us that mortgage interest rates have risen by an estimated 0.25% on average since early April. Speculation is also running high about the impact of the lockdown on the evolution of market prices. Property news remains rich in this unprecedented period, during which measures are being taken to enable certain transactions to be completed. Activity which, although slowed, would help prevent excessive overload for the different property industry players at the end of the lockdown.

Property activity continues thanks to suitable tools

Lockdown being what it is, many people are having to work from home or stop their activity. Although virtual viewings can be carried out, it remains possible to follow the cumbersome stages of the property sale.

Diagnostics carried out using barrier gestures

An essential prerequisite to signing a sale contract, the property survey is one of the points preventing the continuation of transactions currently in progress. In order to support activity and in particular to enable independent surveyors to hold firm during this period, the FNAIM issued a working protocol allowing surveys to be carried out under optimal security conditions and according to a good practice guide. For example, the property in question must be empty of any occupants during the intervention.

Solicitors authorised to continue their activity

Another essential stage, the appointment with the solicitor to read and sign the deeds cannot be maintained during this health crisis period. However, the legislator has intervened to facilitate continuity of services. Thus, a decree published on 3 April 2020 in the Official Journal allows the solicitor to collect remote signatures from the parties in order to complete the sale deeds. A large number of them already have suitable video conferencing systems, and many procedures are already carried out in this way.

The obstacles to completing transactions

Several flexibilities have therefore been granted so that the property market is not forced into total immobility. However, Le Figaro tells us that 100,000 transactions are awaiting completion, for various reasons.

The impossibility of moving house

Signing the purchase of a property when the uncertainty over the date of the end of the lockdown does not guarantee being able to move in at the desired time is not reassuring. As a result, some buyers are having to postpone the signing of sales. The gradual exit from lockdown being considered by the government after 11 May does not yet make it possible to know whether everyone will be able to move freely between the different regions of the country, among other things.

Other necessary services sometimes blocked

The solicitor compiles, to complete a sale deed, numerous documents provided by various services which themselves are often at a standstill. For example, co-ownership managing agents who are no longer able to provide dated statements, or town halls remaining closed for civil status or pre-emption rights.

One thing is certain, everyone is doing their best and it is together that all property industry players will get through this exceptional crisis. Ideas are coming thick and fast to improve the situation and plan for efficient processes in case this happens again in the future. Until the recovery that is finally on the horizon.