‘Questions to be answered’ as worries grow over fairness of MMoA sales
Summary
The article reports growing criticism of the modern method of auction (MMoA), with conveyancers and auction professionals calling for greater transparency around fees, incentives and the way the process is marketed. Concerns centre on buyer confusion, the non-refundable reservation fee, and the pressure created by the 56-day completion timetable, especially where title or information issues emerge late in the process.
Why it matters
Residential property surveyors may encounter MMoA transactions where marketing claims, title issues and transaction timescales affect buyer expectations and deal viability. The complaints highlighted also point to wider consumer-protection and disclosure risks that can affect property professionals involved in sales and due diligence.
Key points
- Calls are growing for clearer disclosure of MMoA fee structures and estate agent incentives.
- Critics say MMoA is marketed with auction-style language despite not creating the same binding contract at the bidding stage.
- The 56-day completion target can place pressure on conveyancers and buyers when title or documentation issues arise.
- The Property Ombudsman has identified MMoA as a recurring issue in consumer complaints.
- Concerns include non-refundable reservation fees and the risk of buyers losing money if the transaction does not complete.
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