Key topic:
Property purchase
Award:
£100 compensation
Resolved by:
Proposed decision
What happened?
The complainant buyer said that they:
- were told that the property was next to local shops and a pub
- enquired about the pub closing times and the agent responded that the pub closed at 11pm
- subsequently discovered that the pub had made an unsuccessful application the year before to extend its opening hours on a Friday and Saturday, to midnight
- decided to withdraw from the transaction as they were uncomfortable with the prospect of future licensing extension requests the pub may make
The agent said:
- they were unaware of the unsuccessful application
- any licensed establishment could make an application for extended hours at any time
What evidence was provided?
Sales particulars and email communication
What was decided and why?
The agent should have:
- carried out all reasonable checks to see whether there were any issues which may affect the buyer
- provided the buyer with all the material information they needed to make a fully informed decision
While the buyer provided no evidence to show that they had suffered any actual loss, due to the agent’s lack of due diligence into a potentially sensitive circumstance, £100 compensation was awarded.
How can you avoid this happening in future?
- An agent has a duty to make all reasonable enquiries and advertise a property with all material information so a consumer can make a fully informed decision
- An agent must always highlight the possibility of known or potential disturbance and inconvenience in any circumstance
- For more information see unfair practices now detailed in the Digital Markets, Competition and Consumers Act 2024